On Tuesday, Parliament approved two reports on the state of indebtedness, grants and guarantees and another one on the performance of the economy.
According to the report, Uganda's public debt stock increased by 22% from Shs 56.938 trillion in the financial year 2019/20 to Shs 69.513 trillion by end of the financial year 2020/21.Migadde explained that public debt is projected to increase over the medium term as the government continues to implement its investment programme to boost economic recovery.
Whereas the debt level is still sustainable, he said debt service ratios point to elevated risks majorly due to the slower growth of export earnings.He proposed that the government should support economic growth by boosting exports to enhance the country's reserves among other things. The committee called on government departments, agencies and ministries to prioritise counterpart funds to ensure efficient, effective, and timely implementation of projects to maximise returns to borrowing and minimise deviations from fiscal plans.Get the latest in African news delivered straight to your inbox
nilepostnews !