From tomorrow, the government of Uganda will seek urgent Parliament approval of a Shs1.7 trillion loan to finance the country’s development and infrastructure budget for the current financial year, amid concerns of soaring public debt, expenditure shortages and limitations.
The Finance ministry in a long letter to legislators on the Committee on National Economy, acknowledged the growth of the country’s debt, revealing that the nominal value of public debt as a percentage of Gross Domestic Product stood at 48.58 percent at the end of June 2022, increasing from 46.70 percent registered in June 2021.
Similarly, the Present Value of total debt to GDP increased from 37.60 percent at the end of June 2021 to 40.17 percent in June 2022.
Legislators will have a strict deadline of less than 72 hours or three days to evaluate and approve the request by the government. A report from the Committee on National Economy is expected to be tabled before the House on November 2.
