Finance Ministry Warns of ‘Budget Games’ Inflating Public Spending

Uganda’s Ministry of Finance has raised concerns over deliberate manipulation of the national budget process by government officials, describing it as a growing channel for misuse of public resources.

Ramadhan Ggoobi, the Permanent Secretary and Secretary to the Treasury, said some accounting officers have been inflating their budget requests—a tactic he labelled “budget games”—to secure more funds than they actually need.

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Speaking at a meeting on budget execution for the 2025/2026 financial year, Ggoobi told accounting officers from central and local governments, Uganda’s foreign missions, regional referral hospitals, and public universities that the practice must stop.

He said finance ministry budget analysts will now carry out deeper scrutiny of submissions to curb the malpractice. Among the common tactics, Ggoobi cited the “padding play”, where agencies request funds in excess of actual needs, and the “crisis card”, in which they warn of severe consequences if their full requests are not met.

The PSST also criticised a decline in integrity among public servants, noting poor compliance with ethical standards. He referred to an Auditor General payroll audit that uncovered irregularities such as ghost workers, unauthorised recruitment, misallocated payments, salaries processed outside official systems, and delays in pension and gratuity payments.

Under Uganda’s decentralised payroll management system, Ggoobi reminded officers they are fully responsible for managing salaries, pensions, and gratuity through the Human Capital Management platform.

Some local government officials at the meeting raised concerns about poor coordination with central government agencies and limited wage budgets that hamper recruitment. In response, Ggoobi announced that salaries for chief administrative officers, as well as city and municipal clerks, had been raised from Shs 1.8 million to Shs 12.75 million per month.

He reaffirmed the government’s commitment to its fiscal consolidation strategy, which includes increasing domestic revenue, rationalising spending, and reducing the fiscal deficit.

The meeting, chaired by Head of Public Service and Cabinet Secretary Lucy Nakyobe, also stressed the importance of accountability and transparency. Nakyobe urged accounting officers to avoid making financial commitments without confirmed funding, eliminate domestic arrears, fast-track project implementation, and streamline procurement.

“You should guard against committing the government without adequate resources,” she said. “Do not commit beyond cash limits.”

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