MBARARA – Mbarara City councillors have passed a draft budget of Shs 67.7 billion for the next financial year 2023/2024 which kicks off on July 1, 2023.
John Kavigi, the chairperson social services committee, said the city’s budget expenditure increased from Shs 40.2 billion tabled in the financial year 2022/2023 which ends June 30, 2023.
According to the new budget estimates, education has remained the most dominant sector funded with over Shs 19.7bln. Health is allocated Shs 3.8bln, while roads and engineering Shs 3.9bln among others.
The city’s planned local revenue of Shs 9.1bln is expected to come from local service tax, land fees, hotel tax, business licences, property tax, animal and crop husbandry-related levies, inspection fees, and market gate charges among other fees.
The city expects to get discretionary government transfers of Shs 30.5bln, conditional government transfers of Shs 26.5bln, and other government transfers of Shs 1.2bln plus external financing of Shs 215 million. The Finance minister Matia Kasaija is expected to read Shs 52 trillion budget on June 14, 2023.
The councilors noted the low revenue performance of 52 percent in the current financial which they say arose from the under-declared revenue sources.
“Last financial year we approved a local revenue collection estimate of Shs 9.1 billion but we ended up collecting Shs 5.5 billion. Why is it that our revenue targets keep reducing? This time around we need serious action because we need money to deliver services,” said the speaker, Bonny Tashobya.
Lt. Col. James Mwesigye, the resident city commissioner warned city leadership against corruption if they are to deliver services to the communities.
Elsewhere, Rwampara district has passed a budget of Shs 26.3bln for the 2023/24 financial year, according to Michael Mukiiza, the district finance secretary.
According to Mukiiza, Shs 23.6bln will come from the central government transfers, Shs 874.9mln from development partners, while Shs 1.5bln will be realised from local revenue. Emphasis is put on education and road works.
Richard Owomugasho, the Rwampara district LCV chairperson noted the Shs 26.3bln budget for the next financial year is higher than Shs.23.9bln presented for the current financial year.
Owomugasho however said the district is still battling with lack of its own road equipment, thus appealing to the central government for support.
https://thecooperator.news/lack-of-funds-frustrates-road-works-in-mbarara-city/
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