Parliament has approved a supplementary budget of over Shs4 trillion to cover outstanding payments for road construction, security, and infrastructure projects. Among the allocations, an additional Shs298 billion has been approved under debt servicing for Lubowa International Hospital, a decision that has sparked mixed reactions from legislators.
Hon. Henry Musasizi, the Minister of State for Finance, Planning, and Economic Development (General Duties), defended the funding, emphasizing its necessity for the hospital project. However, opposition voices, particularly from Kira Municipality MP, Hon. Ibrahim Ssemujju Nganda, raised concerns over the financial transparency of the project.
Presenting a minority report, Ssemujju Nganda referenced an Auditor General’s report that highlighted lapses in the government’s due diligence regarding the project’s agreements and implementation. He cautioned that approving additional funds without proper accountability posed a risk of financial loss to taxpayers.
“There is significant risk of financial loss for Ugandans if additional funding is allocated to the project. It is recommended that the project be halted until a special audit report is completed and Parliament can deliberate on the findings,” Ssemujju stated.
Beyond the Lubowa Hospital funding, Ssemujju also questioned other allocations, including Shs115 billion for the reoperationalization of Atiak Sugar Factory and Shs67 billion earmarked for a coffee value addition park in Ntungamo District. He urged his fellow lawmakers to scrutinize every funding request against legal criteria, asking whether the expenditure was unforeseen, unavoidable, or an emergency.
Another area of contention was the supplementary funding for the Umeme buyout. Hon. Denis Oguzu Lee (FDC, Maracha County) challenged the move, pointing out that Umeme has been recovering costs through feed-in tariffs. He questioned why the company was seeking additional funds from the government when its concession was nearing expiry.
“Umeme has been recovering their costs through feed-in tariffs. Now they are demanding money from Ugandans when their concession is about to expire, yet this matter has not been resolved to a logical conclusion,” Oguzu stated.
The Deputy Chairperson of the Committee on National Economy, Hon. Robert Migadde, noted that the Ministry of Energy and Mineral Development had yet to present a detailed report justifying the US$190 million loan request for the Umeme buyout.
“Ministry of Energy was supposed to produce a report of the Auditor General on how they arrived at the US$190 million loan request, but it has not yet come back to the committee,” Migadde revealed.
Speaker of Parliament, Anita Among, clarified that the approval of the supplementary budget did not interfere with the ongoing loan request assessment.
As the debate continues, concerns remain about transparency, accountability, and the prioritization of national resources. While the government pushes forward with its funding plans, some legislators insist that further scrutiny is needed to ensure public funds are utilized effectively and for their intended purposes.
