By Jamillah Kemigisa
The Ministry of Finance, Planning and Economic Development has released Shs18.43 trillion to various government entities for the second quarter of the 2025/26 financial year, bringing total disbursements to Shs38.61 trillion, representing 53.4% of the approved national budget of Shs72.38 trillion.
Announcing the release at the Finance Ministry headquarters on Tuesday, Deputy Secretary to the Treasury, Patrick Ocailap, said the funds are intended to support the ongoing implementation of government programmes, sustain service delivery, and accelerate Uganda’s economic growth.
“Out of the Shs72.38 trillion approved for this financial year, the Ministry released Shs20.18 trillion in the first quarter and now Shs18.43 trillion in the second quarter, making a cumulative 53.4% of the annual budget,” Ocailap explained.
He emphasized the need for accounting officers to ensure timely payment of salaries, pensions, and gratuities by the 28th of every month, warning that officers who delay payments despite the availability of funds would be sanctioned.
“Why delay payment when you have the money?” he questioned. “All accounting officers must adhere strictly to the Public Finance Management Act.”
Ocailap cautioned ministries, departments, and agencies against committing the government without confirming the availability of funds, and warned against recruiting new staff without budgetary provision for salaries.
He also reminded entities that the government had banned procurement and payment for services in foreign currencies, urging compliance with the directive.
To ensure efficiency, he directed accounting officers to convene quarterly finance committee meetings to prioritize activities within their approved budgets.
Representatives from civil society groups raised concerns about the slow compliance by local governments in submitting development plans, a requirement for accessing funds.
Paskal Muhangi from the Civil Society Budget Advocacy Group (CSBAG) noted that by the end of September, only 25% of the 176 local governments had submitted their plans, yet all were expected to have done so by March 2025.
He also questioned the government’s progress in addressing the teachers’ strike over salary enhancement, urging faster implementation of commitments.
In response, Ocailap reaffirmed that the government remains committed to fulfilling the salary enhancement promise in the 2026/27 financial year budget and called on teachers to resume work.
Jane Nalunga, Executive Director of SEATINI Uganda, also expressed concern about the failure of some local governments to develop plans aligned with National Development Plan IV (NDP IV), warning that this could affect service delivery.
Ocailap said the releases were aligned with the four pillars of the fourth National Development Plan (NDP IV), including agriculture, tourism, mineral development, and science, technology, and innovation.
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Agro-industrialisation: Shs320 billion for agricultural research, operations, and project development.
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Tourism Development: Shs53.65 billion for sector branding, marketing, and hospitality standards.
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Science, Technology & Innovation: Shs124.25 billion for digital innovation and ICT infrastructure.
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Mineral-based Industrial Development: Shs16.64 billion under the Petroleum Authority of Uganda.
Key institutions in the security and governance sectors received substantial allocations:
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Ministry of Defence and Veteran Affairs: Shs642.85 billion
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Uganda Police Force: Shs261 billion
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Uganda Prisons Service: Shs89.6 billion
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State House: Shs83.97 billion
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Office of the President: Shs114 billion
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Internal and External Security Organisations: Shs34.9 billion and Shs18.56 billion, respectively
The Electoral Commission received Shs52.7 billion, completing the full funding of its Shs450 billion electoral roadmap for the 2026 general elections.
The Ministry of Works and Transport received the largest share—Shs1.7 trillion, representing 82% of the sector’s annual budget, to support road maintenance, construction, and the ongoing works at Entebbe International Airport.
The Ministry of Energy and Mineral Development got Shs361.55 billion for rural electrification, transmission lines, and power generation projects.
In the urban development portfolio, Kampala Capital City Authority (KCCA) received Shs145.68 billion, while the Ministry of Kampala and Metropolitan Affairs was allocated Shs292 billion under the Greater Kampala Metropolitan Urban Development Project.
Under Human Capital Development, the Ministry of Health received Shs471 billion, National Medical Stores got Shs205.4 billion, and National Cancer and Heart Institutes received Shs84.85 billion.
The Ministry of Education and Sports obtained Shs172.21 billion, while public universities were allocated Shs144.62 billion to strengthen higher education and research.
Local governments shared Shs390.78 billion, including Shs252.44 billion for capital development projects and Shs138.35 billion for grants.
To reduce government debt obligations, Shs187 billion was released for the clearance of domestic arrears, with the remaining validated arrears pending audit by the Auditor General.
Revenue-generating institutions also received funding to enhance collection and compliance:
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Uganda Revenue Authority (URA): Shs114.9 billion
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Uganda Registration Services Bureau (URSB): Shs8.45 billion
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National Citizenship and Immigration Control: Shs61.42 billion
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Lotteries and Gaming Regulatory Board: Shs3.06 billion
Ocailap reaffirmed government’s commitment to transparency, efficiency, and value for money, saying the timely releases demonstrate continued fiscal discipline and the drive toward economic transformation.
“These releases reflect government’s determination to ensure that resources reach the intended beneficiaries and that every shilling delivers results,” he said.
