The accounting officers are particularly expected to explain why the funds for major construction projects meant to improve service delivery in the local governments were not spent.
“They will also be required to explain why funds for construction projects under the Uganda Intergovernmental Fiscal Transfers (UGIFT) and the Uganda Support to Municipal Infrastructure Development (USMID) programmes were unspent,” a statement from the finance ministry said.
The projects
The UGIFT project is implemented under the finance ministry during the period July 2020 to June 2024.
The programme, which is aimed at improving the adequacy and equity of fiscal transfers and improve fiscal management of resources by Local Governments for the selected sectors, is supported by the World Bank.
UGIFT originally supported local government health and education services, and it is being broadened to include; local government water and environment services, micro and small-scale irrigation, and integration of services provided to refugees and host communities into the local government system.
The USMID project on the other hand is implemented under the Ministry of Lands, Housing, and Urban Development. It was funded by the World Bank-IDA through a $150m loan for a startup period of five years (2013 – 2018).
The program was designed to enhance the institutional performance of 14 Municipal Councils so as to improve urban service delivery.
The USMID program is being implemented in a context where Uganda since 1986 has experienced high economic growth, poverty reduction, and an average annual GDP (Growth Domestic Product) growth.
