The Ministry of Finance has kicked off countrywide sensitization for local government leaders on the budget for the financial year 2022/23. 

Meeting local leaders in the Buganda region in Masaka, Finance permanent secretary Ramathan Ggoobi assured them that although the government is still faced with the challenge of COVID-19, it will continue to ensure that substantial resources are provided to Local Governments for improved service delivery over the medium term. 

Ggoobi also reminded the leaders in Buganda region about the directive by President Kaguta Museveni that with effect from FY 2021/22 all new construction projects under Health & Education facilities must be undertaken by Army Construction Brigade. 

He, however, expressed concern that Local Governments return money to the Consolidated Fund and then later ask for supplementary. 

For example, he noted that at the end of FY 2020/21, a total of sh589bn was returned to the consolidated fund. 

"It is unfortunate that funds are returned unspent at the end of the financial year. Going forward this cannot be tolerated anymore, and I will not approve any supplementary for unspent balances without clear justification on how the funds were not absorbed," he said. 

Launching the budget strategy for the financial year 2022/23 at Kololo Independence ground, in Kampala early this month, Finance Minister Matia Kasaija outlined six key priorities that will catapult the economic growth to the pre-Covid-19 period. 

The key priorities, he said will form the budget strategy for the financial year 2022/23. 

They are the restoration of business activities by increasing access to capital, industrialization focusing on agro-industry and light manufacturing and enhancement of the wellbeing of Ugandans by improving health infrastructure and systems and learning of students. 

The other priorities include improving productive infrastructure to support digitizing the economy, energy reliability and effective transport development, commercialization of oil and gas resources, expedite mineral beneficiation reform the public sector for greater effectiveness and efficiency. 

“If well implemented, the selected key priorities will mitigate the impact of Covid-19 and spur the economic growth to six, in the financial year 2022/23 and to at least 7% in the medium term the medium,” he said. 

Officiating at LG Budget Consultative workshop in Fort Portal Tourism City Minister Thursday, September 23, Lugoloobi urged the Local leaders to implement strategic interventions to restore business activity and deepen financial inclusion through Emyooga and Parish Development Model. 

Lugoolobi encouraged LG leaders together with other stakeholders to put in place the relevant structures and modalities to allow for full-scale implementation of the Parish Development Model in FY 2022/23.