Politics 17 March 2026 The Observer (Uganda)

Government Requests Parliament's Nod for Shs 6 Trillion Spent in 2024/2025 Financial Year

Uganda's government has presented the Supplementary Appropriation (No.2) Bill, 2025, to parliament for approval of Shs 6 trillion already drawn from the Consolidated Fund last year. The funds addressed shortfalls in sectors like energy, State House, works, defence, and local governments amid revenue shortfalls and rising costs. Source: https://observer.ug/news/govt-seeks-parliamentary-approval-for-shs-6-trillion-already-spent-last-year

The Ugandan government has submitted the Supplementary Appropriation (No.2) Bill, 2025, to parliament, requesting ratification for Shs 6 trillion expended from the Consolidated Fund during the 2024/2025 financial year.

These funds were drawn via a supplementary budget to cover deficits in critical areas, including State House, defence and security, and local governments. Major recipients were the Ministry of Energy and Mineral Development with Shs 915.4 billion, State House at Shs 606.4 billion, Ministry of Works and Transport with Shs 442.8 billion, and the Ministry of Defence and Veteran Affairs, plus local government salary allocations.

Minister of State for Finance Henry Musasizi, while tabling the bill, explained that the extra spending stemmed from lower-than-projected revenues, increased recurrent costs like wages and debt interest, and unexpected needs.

Introduced near the end of the 2025/2026 financial year, the bill aims to legalize prior expenditures under the Public Finance Management Act. It was signed by Finance Minister Matia Kasaija in December 2025, retroactively covering spending from July 1, 2024.

Opposition MPs, civil society, and analysts have criticized the frequent use of supplementary budgets, viewing them as routine rather than exceptional. They argue this ‘spend now, approve later’ approach erodes accountability and parliamentary oversight.

Julius Mukunda from the Civil Society Budget Advocacy Group (CSBAG) called for rigorous parliamentary review to verify the necessity and value of these expenditures, warning of risks to fiscal stability and debt sustainability.

Musasizi countered that such requests are constitutional for urgent or insufficiently funded needs. Treasury Secretary Ramathan Ggoobi blamed recurring supplements on poor budgeting, including ‘low-balling’ by accounting officers who understate initial requests to secure later funds, fueling inefficiency and corruption. He noted ongoing reforms to enhance transparency.

Source: The Observer (Uganda)