Politics 16 April 2026 Parliament of Uganda

Parliament Finance Committee Calls for PDM Funding Overhaul Amid Equity Concerns

Uganda's Finance Committee has urged a review of the Parish Development Model's uniform Shs100 million per parish allocation, citing disparities in population, land size, and poverty levels that undermine equity and impact. The committee also flagged rising domestic debt rollovers and project inefficiencies in its report presented on April 16, 2026. Source: https://www.parliament.go.ug/news/4404/finance-committee-wants-pdm-funding-structure-reviewed

The Committee on Finance, Planning and Economic Development has demanded an immediate revision to the Parish Development Model (PDM) funding approach. Launched in 2022, PDM aims to shift subsistence households into the money economy via parish-based planning and revolving funds, disbursing Shs100 million equally to each parish for production and enterprises.

During the plenary session on Thursday, April 16, 2026, chaired by Speaker Anita Annet Among, Committee Chairperson Hon. Amos Kankunda highlighted how the one-size-fits-all model ignores key differences in parish population, land area, and poverty rates. ‘Uniform funding leads to unequal per capita support and dilutes impact in high-need areas,’ he stated, emphasizing the need for equity.

Kankunda noted that data from the 2024 National Housing and Population Census could inform a needs-based formula. The committee proposed that the Ministry of Finance revise the model ahead of the 2027/28 budget, including impact simulations, while boosting extension services and financial literacy in vulnerable parishes.

The report also addressed surging domestic debt rollovers, projected to climb from Shs10 trillion to Shs14 trillion in 2026/27, signaling sustainability risks as borrowing funds debt repayments. Interest costs are squeezing space for priority programs despite rising revenues from Shs37.2 trillion to Shs44.1 trillion.

Further concerns included delays in donor-funded projects like GROW and INVITE, incurring avoidable fees, and lapses in gender-equity compliance. Recommendations cover better debt strategies, project readiness, and penalties for non-compliance. Speaker Among forwarded the report to the Budget Committee.

Source: Parliament of Uganda