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Uganda: Museveni states that the merger of government agencies will save Uganda Shs1 trillion annually.

Rédaction Africa Links 24 with Peter Sserugo
Published on 2024-02-03 13:53:55

President Museveni recently appealed to Members of Parliament (MPs) to throw their weight behind the rationalization of over 30 government agencies. He emphasized that the merger would result in a significant reduction in Uganda’s operational costs, estimating savings of at least Shs1 trillion. He made these comments the day after meeting with MPs from the ruling National Resistance Movement (NRM) party at State House Entebbe.

The NRM caucus subsequently passed a unanimous resolution in support of the rationalization of government agencies and public expenditure through the enactment of legislation in Parliament.

President Museveni stressed that the government’s structure should prioritize supporting wealth creators, as they are essential for the country’s development. He also outlined the importance of enabling families, companies, and individuals to produce and sell goods or services in order to create wealth. This includes supporting commercial farmers, manufacturers, service providers, and the ICT sector. The President pledged that the government would ensure these wealth creators have access to peace, infrastructure, capital, skills, and technical support.

He also advised legislators that in order to be successful politicians, they must help the people they serve to create wealth by promoting the four key sectors of the economy: agriculture, industry, services, and ICT.

The rationalization process, if implemented, will involve moving 33 agencies into their mother ministries, consolidating and merging 35 agencies into 19 entities, and retaining 80 semi-autonomous agencies.

The House of Committee on Public Services and Local Government has estimated that the government will need close to Shs80 billion to compensate at least 2,000 employees whose jobs will be abolished as a result of the rationalization of various public agencies. Additionally, information minister Dr. Chris Baryomunsi revealed that the cabinet was finalizing a bill to be tabled in parliament on the rationalization of government agencies.

It is worth mentioning that government has been considering rationalization plans since 2021, but the idea has always been hindered by limited resources required for the merger, among other factors.

Overall, President Museveni’s call for the rationalization of government agencies has gained strong support from the NRM caucus, signaling potential progress in streamlining government operations and reducing costs. The anticipated savings from this effort could significantly benefit Uganda’s economy and contribute to its overall development.

Read the original article on Uganda Monitor

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