Government priorities for the Shs 34 trillion budget
Government intends to spend more than Shs 34.3 trillion to finance the national budget for the 2019/2020 financial year.
The figures contatined in the national budget framework paper that is currently under review by the various government departments represents an increase of more than Shs 2.4 trillion from the current financial year’s Shs 32.7 trillion budget.
Considering the planned expenditures for 2019/20, the works and transport sector still takes the lion’s share with an allocation of more than Shs 5.3 trillion which an increase of Shs 600 billion from the sector’s 2018/19 allocation.
Payment of interest comes will consume Shs 2.9 trillion about Shs 800 billion more than the Education sector whose allocation will fall to Shs 2.7 trillion down from Shs 2.8 trillion the sector received this financial year .
The allocation to the Health sector will also reduce by Shs 100 billion from its Shs 2.4 trillion to Shs 2.3 trillion.
The Water and Environment sector budget will also be slashed from Shs 1.2 trillion to Shs 764 billion next financial year while the Science , Technology and Innovation sector will suffered the biggest budget cut, receiving Shs 118 billion down from 184 billion.
Expenditure on domestic arrears will double from Shs 300 billion to Shs 600 billion.
Payment of salary and pension arrears will consume Shs 126 billion while pension and gratuity expenditures are budgeted at Shs 170 billion.
Government also plans to spend Shs 650 billion on making external debt payments that have accumulated from loans over time and Shs 126 billion on shortfalls in salary.
Agriculture, a sector that employs the largest percentage of Ugandans has been allocated Shs 919 billion.
Domestic revenue collections are expected to rise from Shs 16.4 trillion to Shs 18.3 trillion. This will be achieved through introduction of new taxes.