Health PS warns on reckless borrowing

Jun 28, 2017

Ministry of Health Permanent Secretary Dr. Diana Atwiine, has warned against unplanned borrowing saying it increases the debt burden on government . Atwiine made the observation during the The Uganda we Want (a forum that brings about different stakeholders on topics affecting Uganda)2017 summit at the Silver Springs Hotel in Bugolobi, Kampala. “In the first place how can you borrow money to finance a workshop when you can put up tents and use available space at your office for the same event?” she wondered. “ I have got issues with borrowing, you become dependent. We are still a developing country, why can’t we efficiently maximise the little resources we have?" She noted with dismay how the ministry is struggling to pay an earlier debt that has accumulated interest rate, yet the purpose it was meant for, is yet to realised. The Auditor General report for the financial year 2015/16, indicated that Uganda’s domestic debt had increased by sh446b from sh11.6 trillion by June 2016 to slightly over sh12 trillion. The report further showed that sh168b was spent on items which do not reflect the nature of expenditure. Atwiine called for prior adequate planning on projects before taking on loans to avoid losses to the Government. “At the ministry, now you must prove that the money you are asking for is worth it. For example, you cannot go to Jinja for duty and then bring fuel receipts amounting to sh10m. If a chopper cannot consume that amount of fuel for the same distance, why make unrealistic claims? On using resources maximally, Atwiine proposed a policy that will see medical students under government sponsorship sign a contract to work for government hospitals for a specified time.

Ministry of Health Permanent Secretary Dr. Diana Atwiine, has warned against unplanned borrowing saying it increases the debt burden on government .

Atwiine made the observation during the The Uganda we Want (a forum that brings about different stakeholders on topics affecting Uganda)2017 summit at the Silver Springs Hotel in Bugolobi, Kampala.

"In the first place how can you borrow money to finance a workshop when you can put up tents and use available space at your office for the same event?" she wondered.

" I have got issues  with borrowing, you become dependent. We are still a developing country, why can't we efficiently maximise the little resources we have?"

She noted with dismay how the ministry is struggling to pay an earlier debt that has accumulated interest rate, yet the purpose it was meant for, is yet to realised.

The Auditor General report for the financial year 2015/16, indicated that Uganda's domestic debt had increased by sh446b from sh11.6 trillion by June 2016 to slightly over sh12 trillion.

The report further showed that sh168b was spent on items which do not reflect the nature of expenditure.

Atwiine called for prior adequate planning on projects before taking on loans to avoid losses to the Government.

"At the ministry, now you must prove that the money you are asking for is worth it. For example, you cannot go to Jinja for duty and then bring fuel receipts amounting to sh10m. If a chopper cannot consume that amount of fuel for the same distance, why make unrealistic claims?

On using resources maximally, Atwiine proposed a policy that will see medical students under government sponsorship sign a contract to work for government hospitals for a specified time.

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