Finance Ministry releases over Shs 500bln for PDM
The PDM money is part of the Shs 19.7 trillion MOFED released for quarter 4 of the current financial year 2024/2025 which ends on June 30, 2025
KAMPALA, April 9, 2025 — The Ministry of Finance, Planning and Economic Development [MOFPED] has released Shs 529 billion for the Parish Development Model [PDM], taking a big step in Uganda’s wealth creation efforts.
The PDM money is part of the Shs 19.7 trillion MOFED released for quarter 4 of the current financial year 2024/2025 which ends on June 30, 2025.
Each financial year government releases over Shs 1 trillion for the PDM, with each of the 10,594 parishes receiving Shs 100 million for the programmes beneficiaries that must get Shs 1 million soft loan from the parish revolving fund [PRF] to invest in selected enterprises like coffee farming, dairy farming, fish farming, piggery, poultry keeping, and banana growing among several other enterprises.
The PDM, a government initiative was launched in February 2022, to move 3,5 million households in Uganda from the subsistence to the money economy, with focus on the commercialisation of the agricultural value chain in the country.
Meanwhile, Shs 115 billion has been allocated to the Uganda Development Corporation, while Shs 18 billion will support the Uganda Development Bank [UDB]. These funds, along with the earlier disbursement for the Emyooga Programme, are part of the government’s drive to promote economic empowerment at the grassroots level.
The Shs 19.79 trillion released accounts for 25.64 percent of the revised budget. This includes significant allocations for wages, pensions, infrastructure development, and key national priorities.
Ramathan Ggoobi, Permanent Secretary/Secretary to the Treasury, yesterday highlighted in Kampala that the release includes Shs 8.903 trillion for wages and development projects, with additional funds earmarked for agro-industrialization, security, health, education, and infrastructure. The finance ministry’s ongoing focus on economic growth and modernization continues to guide the distribution of these funds.
The budget also includes Shs 288.75 billion allocated for pensions and gratuities, with key institutions such as Parliament receiving Shs 172.64 billion, the Electoral Commission Shs 94.22 billion, and the Judiciary Shs 58.23 billion to support their activities.
Additionally, significant allocations have been made towards Uganda’s development priorities, including Shs 524.68 billion for agro-industrialization. “Of this, Shs 130.77 billion is dedicated to operations and research, while Shs 393.91 billion will support development projects,” Ggoobi noted. He further pointed out that agro-industrialisation is essential to Uganda’s vision of enhancing agricultural productivity and industrial capacity.
Tourism development also received attention with Shs 41.12 billion earmarked for the Ministry of Tourism, Wildlife, and Antiquities. “This funding will support the development of key tourism infrastructure, such as the Source of the Nile project,” said Ggoobi, emphasizing the importance of sustainable tourism in driving Uganda’s economic growth.
The government has also invested in mineral-based industrial development with Shs 224 billion allocated to the Uganda National Oil Company [UNOC], and the Petroleum Authority of Uganda. This investment is geared towards strengthening the country’s oil and gas sector.
In line with the ongoing digital transformation, the Ministry of ICT and National Guidance will receive Shs 169.31 billion, with a focus on last-mile connectivity through the Uganda Digital Acceleration Project [UDAP] and the promotion of the science economy.
Infrastructure development continues to be a cornerstone of Uganda’s growth strategy, with Shs 2.11 trillion allocated to the Ministry of Works and Transport. “This funding will support major projects such as the National Roads construction and the Standard Gauge Railway implementation,” Ggoobi explained.
The health sector has also benefited, with Shs 303.46 billion allocated to the Ministry of Health, supporting global vaccination efforts, healthcare infrastructure, and procurement of essential medical supplies. A further Shs 110.65 billion will go towards the National Medical Stores to secure necessary drugs and medicines for the population.
Education has been a significant focus, with Shs 290.28 billion released to the Ministry of Education and Sports, including funds for the Uganda Secondary School Expansion Project [USEEP] and rehabilitation of health training institutions.
Reflecting on the priorities for this financial year, Ggoobi said, “The budget is designed to support the implementation of the Ten-fold Growth Strategy. The main emphasis is on the Accelerated Transformation and Modernisation Strategy [ATMS] and the corresponding enabler actions, including infrastructure, security, and human capital development.”
https://thecooperator.news/pdm-sacco-in-kapchorwa-district-operating-without-physical-office/
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