UGANDA: SERVICE DELIVERY ISSUES REQUIRE LOCAL GOVERNMENT ATTENTION-STATE MINISTER FOR FINANCE

I welcome you to this Budget Consultative workshop for FY2-2027/2028. Which follows the

National Budget Conference held on September 10^th 2026. Officially commencing the Budget process as mandated by Article 155 of the Constitution, and the Public Finance Management Act (PFMA) Cap 171/

GULUCITY-SEPTEMBER 24-2026

By Okumu Livingstone Langol (Uganda Correspondent)

Hon. Hajjiat Aminah Mualazi, the Minister of State for Privatization and Investment in the Ministry of Finance, Planning and Economic Development mooted, while Government

continues to expand fiscal space and remain in resources to Local Governments.

Significant challenges remain in translating those resources into quality. services for citizens.

“We need to reflect on the specific issues affecting service delivery, including persistent staff

absenteeism, weak performance, and the return of unspent wage resources despite

staffing gaps. We must also address weak supervision by Accounting Officers and

Head of Department, which contribute to poor performance, misuse of resources,

and delays in resolving service delivery bottlenecks.”

The Minister added, this. workshop also follows the recent Programme Conditional Grant negotiations with Central Government MDAS, where several key undertakings were agreed upon to improve delivery.

The Budget formulation process has been informed by strategic policy guidance from President Museveni, initial consultations with accounting Officers, other Officers and the 10^th High-Level Economic Growth Forum. Stressing today, we want to directly hear your priorities, the challenges affecting implementation and what should be done to improve service delivery.

The theme of the FY 2027/2028 Budget will be “Full Monetisation of Uganda’s Economy through Commercial Agriculture Industrialisation, Expanding and Broadening Services, Digital Transformation and Market Access” The purpose of this workshop therefore is threefold: (i) to provide feedback on issues raised during the FY 2026/2027 budget consultations; (ii) to highlight key service delivery issues requiring your urgent attention; and (iii) to obtain your views on the

Budget strategy and to prioritise FY 2027/2028 recommendations will guide the Finlandization of the Budget for the ensuing fiscal year.

Feedback on FY 2026/2027 budget concerns

Hon. Hajjiat Aminah Mukalazi implored the audience at Bomah Hotel in Gulu City: ladies and gentlemen, the government has taken several measures to address the issues raised during the previous consultations. To strengthen leadership, planning, and oversight, the government in FY 2026/2027 provided UGX 13.2bn for the induction of political leadership. Secondly, retaining UGX 32 bn for vehicles for Accounting Officers; thirdly, enhancing the planning Grant by UGX 16.05bn; and fourthly, allocating UGX 64bn for Physical planning and coordination of public infrastructure. Phased salary enhancement also continued for selected administrative, technical, and health staff, including Accounting Officers, Heads of Department, teachers, and health workers. She furthermore argued that, in addition, we need to reflect on how procurement delays, weak contract. management, cost overruns, and inadequate infrastructure maintenance undermine

the quality, functionality, and value for money of public investments.

I therefore urge you to propose practical and actionable measures to address these challenges and

ensure that public resources translate into tangible improvements in services for our people.

On the budget strategy for FY 2027/2028

The FY2027/2028, will be distinguished by seven strategic shifts: firstly, Revenue-led fiscal consolidation: Domestic revenue mobilization will be placed at the centre of budget formulation by broadening the tax base using data technology to curb revenue leakage, improving compliance and mobilizing complementary financing. Secondly, Prudent management of oil revenue: oil revenues will be managed transparently and sustainably in accordance with the PFMA, Cap 171.

mobilizations of private capital for the ATMS to boost growth, create jobs, and increase household incomes, the minister echoed that this will require exploring new and innovative sources of financing by strengthening partnership with the private sector, and further improving the business environment to attract higher levels of foreign direct investment

Added that to accelerate the realization of the Tenfold Growth Strategy through effective implementation of the ATMS and their enablers effective. Thus, this will require strong.

coordination of public institutions, strong partnership with the private sector, and ensuring policy and implementation consistency.

Inter-liar putting jobs, exports, and household income at the centre of the budget. Higher growth will be converted into structural economic transformation, making it export-oriented, generating productive jobs, and fiscally sustainable.

Making wealth creation programmes: governments have invested heavily in wealth creation programmes, including the OPM, Emyooga, and the Presidential Skilling and Industrial Hubs. Among others. The government will strengthen the wealth creation programmes to increase production, employment and household incomes.

Hon. Ayikobua Cosmas, District Chairman, Arua, appealed to the Acholi community to give land for Regional Industrial Skilling since Acholi Sub Region has a lot of land.

“I appeal to the Acholi community to give land for Industrial Hubs, and to the Government to construct regional Skilling hubs for Northern Uganda, for job creation for our youths, because skilling is one of the ways for the ward to develop the region” All the districts in the Greater North would benefit from such programs.

The state minister reiterates that this will enforce key budget, which is meant to strengthen budget discipline, credibility and accountability that will improve allocative efficiency, internal controls and audit systems, and strengthen procurement and accountability for results.

Further details of the strategy are contained in the Budget strategy presented with details of specific Local Government Interventions.

Conclusion and call to action

Hon. Hajjiat Aminah Mualazi, the Minister of State for Privatisation and Investment in the Ministry of Finance, Planning and Economic Development, warned, argued as I conclude, I urge you to prepare focused, realistic, and results oriented budgets that translate national priorities into tangible results for citizens.

She further stressed, at the same time, you should embrace innovation domestic revenue for money; your budget framework paper for FY 2027/2028 should be submitted in full compliance with the PFMA, Cap. 171, not later than Friday 13^th November 2026. This consultation marks the beginning of the budget PROCESS FOR fY 2027/2028, and also kick-start your own engagements on the budget with the lower Local Governments and others key stakeholders.

Government keenly awaits the outcomes of the deliberations. I wish you fruitful deliberations and hereby declare the workshop open. Key issues raised: procurement of vehicles for all services in Lamwo District under staffing; Lamwo District has four Town Councils, and there are no town Agents; Lamwo has only 222 staff.

The recommendation for regional provision of wages: the regional workshop on budgeting rejected the provision of UGX 1bn for district engineering that is meant to construct district roads. Argued that out of UGX 2bn, UGX 100 million would be used for Fuel and wages, leaving the road construction with UGX 800 million that will not be enough

Programme Name:     Integrated transport and infrastructural services program, urbanization and housing

Table 1: Assessment of Service Delivery through the Programme Approach    

Table 2: Composition of the Group

Table 3: Assessment of Grant Guidelines (Equity, Adequacy and Effectiveness)