National
Minister Wakikona grilled over UDC
Publish Date: May 06, 2014
Minister Wakikona grilled over UDC
State minister for trade and industry David Wakikona
  • mail
  • img
newvision

By Umaru Kashaka

MPs on the committee of trade and industry have tasked the state minister for trade and industry David Wakikona to explain why they have failed to come up with a legal framework to institutionalize Uganda Development Corporation (UDC) despite the approval of its establishment principles by Cabinet two years ago.

This was during their Tuesday meeting with the officials from the ministry led by the minister over the national budget framework paper for financial year 2014/15.
 

Legislators heard that in 2012, Cabinet approved the principles for establishment of UDC as a Statutory Corporation and directed the minister of trade and the First Parliamentary Council to draft the UDC Bill which was done and completed in September 2013.
 

“What is the legal status of UDC and who is now carrying out the functions of the secretary as provided for in section 42(2) in the absence of the Board?” the committee chairperson and Lyantonde Woman MP, Grace Namara, asked.
 

The minister explained that for his ministry to return to Cabinet with the Bill requires a Certificate of Financial Implication, which the ministry of finance has not provided together with UDC capitalization.
 

“Owing to this, UDC does not have a legal status of its own yet the 1952 UDC Act was repealed. UDC therefore continues to operate under subvention from my ministry until passing of the Bill into an Act,” he stated.
 

He argued that due to lack of the Act, the ministry has no authority to appoint the statutory governing structure of UDC, including the secretary to the Board.
 

“Since it was never anticipate that the law would take the duration it has taken, the minister (Amelia Kyambadde) thought it wise to first constitute a legally sound entity then follow up with the necessary enabling structure,” he said.
 

Wakikona stressed that in the interim however, a skeleton structure continues to carry on the activities of the anticipated UDC while reporting to the minister as its Board.
 

The Government took a decision to re-establish UDC in 2008 to be the overall government arm for all public investments in all sectors.
 

It’s also mandated to invest in strategic sectors of the economy to trigger the industrial and economic development of Uganda.
 

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
14 killed in DR Congo machete attack
THE incursion by the Ugandan rebel group ADF took place overnight in the town of Kampi ya Chui....
Businessman sues UNRA over Entebbe Expressway
A businessman has dragged UNRA to court seeking sh5b in damages for loss of business and the inconvenience over the construction of the Entebbe Expressway....
US Commander of Africa Forces visits
President Yoweri Museveni has said that the main challenge in Somalia today was clan-related issues. The President made the remarks at State House Entebbe in a meeting with the United States of America Commander of Africa Forces, General David Rodriguez....
Museveni hails Uganda-North Korea ties
President Yoweri Museveni describes the North Koreans as friends who have helped Uganda for a long time on visit of one of its leaders....
Slain Unilever boss mourned
Speaker after speaker described Makanga as a smart, classy, humble, respectful, joyful, hardworking man at his funeral in Kampala....
Muntu warns Mafabi, Nabila over media exchanges
ACCORDING to John Kikonyogo, the party spokesperson, Muntu said discussing the issues in the media was affecting the image of the party...
Should the absence of bride price prevent couples from wedding?
Yes
No
Can't Say
follow us
subscribe to our news letter