In the budget speech read before the Ugandan Parliament at the Kololo ceremonial grounds on Tuesday, June 14, Finance Minister Matia Kasaija announced an allocation of US$3.9 trillion (US$1.02 billion) for security on the foundation of socio-economic transformation in the next fiscal year.”
“Peace, security and stability, and the rule of law must remain the top priorities of the government,” said Mr. Kasaija.
< p>Although it While there has been no serious war in Uganda, apart from pockets of insecurity caused by ranchers in the Karamoja region, Uganda has allocated a significant amount of money to the sector every year.
This time , Mr. Kasaija said that the allocated Money to strengthen operations in eastern DRC. However, he did not specify how much went into the mission.
“The UPDF (Uganda People’s Defense Force) will also continue the pacification of eastern DRC in accordance with the agreement with the government of Uganda DR Congo,” he said.
“Maintaining peace, security and stability, as well as macroeconomic stability, are important foundations for economic recovery, growth and socio-economic transformation,” said Mr. Kasaija.
The Ugandan army launched operations in November 2021 in eastern DRC against rebel Allied Democratic Forces, blamed for more than two decades of terrorist activity in Uganda and mass killings in DRC. Working with the Congolese army, the UPDF has announced major wartime achievements and called for a troop surge for an operation that army spokesman says will continue as long as the threat persists.
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The finance minister said the government intended to cushion vulnerable Ugandans against skyrocketing commodity prices in the country by helping farmers to more quickly ripen food and oilseeds for domestic supplies, non-interfering in the market via the prices, supporting alternative fuel supplies, particularly around Lake Victoria, to avoid supply disruptions, and using fiscal policies to mitigate the impact of rising commodity prices.
He resigned the construction of additional fuel storage infrastructure and the expedition of the process to oil production. Uganda has a fuel reservoir at Jinja, 80 km east of the capital Kampala, with a capacity of 30 million liters for a country that uses around six million liters a day.
“The government cannot influence the price level, its Changes are driven by external shocks beyond his control. We will therefore not apply any measures that may lead to long-term and painful distortions in the economy,” the minister said.
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The economy is struggling with a public debt burden of over US$73.5 trillion (US$19 billion), inflation at more than 6 percent and rising prices fuel and essential necessities such as groceries, cooking oil, soap, sugar, bread and a projected loss of revenue of $939 billion ($250 million) for the fiscal year ended June 30, 2022. However, Mr. Kasaija hopes to turn the economy around.
He said that commercial agriculture, industrialization, expansion and expansion of services, digital transformation and market access, implementation of the community development model, and promotion of agro-industrialization will be the magic, to transform the economy to have both of the 44 million people earn an income of at least US$3.7 million (US$1.00). 0).
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After the budget presentation, President Yoweri Museveni said there is no need to worry about economic development and said it would be worrying if the country lacks food.
“As long as Uganda produces food, there is no problem that we cannot solve could.” He said before adding that problems with irregular rainfall and prolonged droughts would be solved by irrigation.
He said the problem of high fuel prices would be solved once the country had an efficient transport system for fuel, such as B. the railway, have and water transport, adding that the country will soon produce its own fuel according to the final investment decision agreement signed months ago.