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Archive for the tag “10th Parliament of Uganda”

Uganda: Fresh report states that the debt-service has grown 129% within one financial year!

 

The Republic of Uganda’s economy is really reeling, it cannot be sustainable as the Government of Uganda is growing their debt like there is no tomorrow. While the fiscal growth is substantially lower than their rate of debt-service. As the growth of debt combined with lacking growth to substantiate the shortfall.

In addition, with the knowledge of added expenses, growing shortfall of funds in the upcoming Financial Year of 2019/20 and the election year of FY 2020/21. There will be more add-ons on the need for debt service, as the state already had loans outstanding, which the grace period ends and the debt-service begins on. Therefore, the amount of loans will transpire even more, than what is in this report. The endless cycle of debt and growth of it, is worrying, as well, as the state thinks that the magical wand of oil-money will clear this debt. Even as the first operational oil field and such has been postponed yet again.

Just look!

“The total Government of Uganda external debt service by end of FY 2017/18 amounted to US$275.75 million, which was an increment of l29% compared to US$120.62 million in FY 2016/17” (…) “Debt service of Uganda’s external debt is on the rise and outstripping growth of the country’s income, currently at 6%. This poses risks for future debt repayments, especially as the country continues to acquire external debt at less concessional terms, especially to finance the oil development programme” (P: 6-7, 2019)

“It follows that as interest rates increase, the debt service obligations of Government also increases. The rise in external debt interest costs attests to the fact the government is increasingly contracting non-concessional debt, which will increase the repayment burden” (P: 24, 2019)

“However, this may not be the most likely scenario, as most projects have been discounted and some excluded in the macroeconomic framework. With the development of the NDP III, additional project and other pipeline project related to the oil developments and other infrastructure, will increase the financing requirement of government in the medium term. The inclusion of the above projects will re-classify Uganda from low risk of debt distress to moderate risk of debt distress or high risk if the export shocks materialize. A downgrade would have significant implications for the program with the IMF, where Uganda’s credit risk rating will worsen; implying that accessibility of nonconcessional financing will be limited. This will limit credit to Uganda to only concessional and grants financing.” (P: 28, 2019)

You don’t need to smart about it, as the state has bigger budgets with higher shortfall in the economy, combined with debt service and higher interest payments on the growing amount of loans. You know sooner or later, the economy will tank, as the fiscal responsibility is taken for granted and that fresh funds are lacking, because these are taken out of the economy to finance the payments of the old debts. Instead of generating growth and actually naturally grow the economy, by spending and investing as a state. The money is taken away to service debt, instead of building the state. That is what they are doing and at a alarming rate. Peace.

Reference:

NEC1-19 – ‘REPORT OF THE COMMITTEE ON NATIONAL ECONOMY ON THE STATE OF INDEBTEDNESS, GRANTS AND GUARANTEES’ June 2019, Parliament of Uganda

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Uganda Peoples Congress: Caution on Coffee Bill (17.07.2019)

Not Breaking News: The Supreme Court Validated the Age Limit Amendment today!

If you ever thought the Supreme Court would allow the appeal on the Age Limit or the abolishment of the Article 102(b) your wrong. The 1995 Constitution is a document that is to change, as the President see fit or as he is in need.

The ones that believed that the Supreme Court would dismiss it. The result 4 Judges to dismiss versus 3 to appeal. Seems more like trying to make it balanced, than it really is. Because, the judges could have just made it 7 to dismiss or even 6, maybe even 5. Since, the result is practically the same. Close, but no cigar.

There are nothing that is changed, only that all legal remedy before the General Election 2021 is gone. The road for the sole candidate of the National Resistance Movement. Nothing will stop him, yet again. Like it is child’s play, which it is. Because, everyone around him plays to his tune. The ones who doesn’t end behind bars for silly reasons like Besigye. That is just life in the republic.

Again, and again, all the remedy, all the legal and Parliamentary steps is taken to secure the Self-Styled dictatorship of the President. In the vision and way of Museveni. If you think it is brilliant. It is not, it is just misuse of state institutions and ensuring one man get everything.

This isn’t validating a constitution or rule of law. This is validating the Presidency and his cronies. There is nothing noble or justification of it. Except keeping the status quo and the misuse of the power, which the NRM and the ones around the President already does.

If you think the verdict of 18th April 2019 is splendid and worth celebrating. Than celebrate the arrests of opposition members, the assaults on civil society organizations, political rallies ambushed, concerts blocked, journalists silenced, radios losing their licenses and everything else that is used to stop the opposition from organizing. It will only get worse, before it gets better.

For one reason, there is less and less reasons for Museveni to play around. He has everything and all laws is in hands. All the security organizations is following his memos and the Parliament is doing as directed. There is no one questioning or stopping him from doing what he says. Even if it failure and foolish.

Don’t anticipate this verdict to make things better. It won’t, it will just give the President all the reasons to continue his run. To continue his persistence of stealing, dealing and killing everyone else seeking office. Ensuring overpower and control. Giving no way. Just being him. There is no other way to look at it.

This is again, giving all the powers to the same man, that has run the republic since 26th January 1986. We could joke, may even say Bosco is out of his mind. But he isn’t, his just using the Supreme Court, like he has used everything else for 3 decades.

He just got the final nudge, the final nail in the coffin. He has abolished the term limits, now he officiated the destruction of the age limit. Who knows what is next, but this man will do whatever it takes to be in power. To think otherwise, is a lie or you haven’t gotten the whole picture. If not you are naive and thinks this is a good. Which is not.

This is validating the corruption, the arrest of democracy and also the ability of others to compete. As it is yet another fixture ready for the victory of Team Museveni. Peace.

Bank of Uganda: Monetary Policy Statement for April 2019 (01.04.2019)

Kamya kicked out of her own party: Given up federo for Bosco!

There is a joke here somewhere, certainly there is, as the former reform agenda and founding member of Forum for Democratic Change (FDC). After that, the founder of her own party and own agenda, the now Minister of Kampala, Beti Kamya has been kicked out of her own party. As she has shown to much loyalty to the party and President that appointed her.

This is really funny and tragic, not that the Uganda Federal Alliance (UFA) ever has had any significant impact, other than being an avenue for Kamya to have a voice and call herself the President of something. Not that she has had a big voice, as she even struggled to become a MP in the Rubaga North, which she even lost in 2016 and still was pronounced the winner. That is because of her sudden loyalty to the President. Who later appointed her to a Ministry.

That is why the news of her down-fall in her own party wasn’t shocking, but more fun actually. Which I will explain more after the news.

BETI KAMYA CHASED OUT OF HER OWN PARTY!

Minister for Kampala, Beti Olive Namisango Kamya has been kicked out of Uganda Federal Alliance (UFA), the party she started in 2009! According to the members of UFA, Beti Kamya betrayed them when she joined the ruling government in 2016! According to the UFA Spokesperson, Baker Byayi Ssenyonga, Beti Kamya was given enough time to change her decision and go back to the party but has failed! Hon. Beti Kamya is yet to say anything because she’s currently in Kyankwanzi for the NRM retreat!” (87.7 BABA FM, 16.03.2019).

Kamya has been arrogant, been bitter and been a busy body within the Cabinet. Trying to show her worth and really doing whatever she could to be relevant and also loyal to the President. But that comes with the job. When you have been appointed by the President and comes from another party. You need to go overboard and show your value. Because, the President has to see your intent. That is why she has counter the will of the KCCA and the City Hall. That is just what she has done.

Kamya is really a victim of her own work. She has ditched her own party of ten years, she knows it is a mess, a structure built on her own personal ambition and being a vessel for her career. That it has been, as it was supposed to also work for the federo and federalism in the Republic. This has been shattered, as she turned a yellow fellow, whose mellow jell-o, who sucks at playing cello.

However, lets get serious a minute, she was so unpopular, she had to get the credits and mercy to become a MP, who happen to get a Ministry, because the President wanted to assault the Opposition. She has been a tool of that and a massive suck-up the President. Into levels of ridiculous. Into a manner, where even Opondo, Mwenda or anyone else of the praising brigade cannot follow. Kamya, looks like a fool, as she couldn’t even follow protocol or even build her own party. Why do I say that? Well, her attacks on Besigye and Bobi Wine. She should not attack them for building things as opposition in the Republic. She couldn’t even manage to stay loyal to her first Reform Agenda, neither stay in the FDC, couldn’t even say in the UFA and now is loyal suddenly to the NRM. It is so rich.

That is why Kamya, should go off her high horse. Surely the power, the prestige and the office makes her feel untouchable, as long as the President see a use of her. However, the day she isn’t valuable. The President will drop her, she is soon a party member, a NRM MP and another person in the patronage and official cronies of the President. That is because, she couldn’t even build her own party and be loyal to it. She didn’t even believe in the cause and the political agenda of her own party. Where she was initially running the show. Still, that wasn’t enough.

Dear Beti Kamya, hope you enjoy your minutes in power, your place in the corridors of the President and the ability of being a useful minion of the president. Because, the day when that ships ends. You will not have anywhere to turn. Not even to the UFA, as all the other bridges have been burnt or destroyed by your lack of will or your own empty ambition. This just show your an empty vessel ready to get used. Kudos. Do you, but don’t expect a handout, when the NRM and Museveni era is over. Peace.

Opinion: Mzee, its your system that let the Minister’s sleep!

Do not blame people and their attitudes: the problem is not corruption or greed, the problem is the system that pushes you to be corrupt. The solution is not, “Main Street, not Wall Street,” but to change the system where Main Street cannot function without Wall Street.” Slavoj Zizek

That this is an issue now isn’t strange. The National Resistance Movement have run the Republic since 1986. The growing amount of cronies, corruption and filled with useful idiots around the President. The President are clearly acting out. The NRM knows this, because they have made the entitlement, the ones who are eating, but not talented or anything. They are appointed, not on merit, but by either family or loyalty. That is why the Ministers and Presidential Advisors are like they are.

President Yoweri Kaguta Museveni knows this perfectly well. He could have sacked all of them. The growing level of the Cabinet, which is about 81 Ministers in total and 146 Presidential Advisors. They can all chill-out, as they can rarely be changed or even sacked. Cannot remember that in a long while. If something is happening, there are some minor changes or they end up in the NRM Party Organizations, like Dr. Tanga Odoi ended up with NRM Electoral Commission for the Primary Elections. That is how the NRM does and the President knows. Therefore, there are no need to overwork or do to much. Because, there are no sanctions or such. Since they are all secured and eating as they are in office under this President.

Many of my ministers are sleeping. They are selfish and only think about themselves. Ugandans know how to listen if they are told the right things, that is how we managed to build the Movement by learning and listening to others” Yoweri Kaguta Museveni while addressing investors during the sixth Presidential Investors Round Table (PIRT) at State House on the 8th February 2019 (Misairi Thembo Kahungu – ‘Museveni: My ministers are selfish, sleep on job’ 08.02.2019, link: https://www.monitor.co.ug/News/National/Museveni—My-ministers-selfish–sleep-job/688334-4971964-60mn1qz/index.html).

There are reasons why they are sleeping. There are Ministers for small or minor Ministries with Micro-Budgets, where they have a lax mandate or not even enough Principal Secretaries or Organization that matters to fulfil the work they need. The Ministries are inter-connected and doesn’t have the funding or the manpower. As there are so many Auditor General reports, where the open post of lacked hired staff comes up, again and again.

There are so many systemic defects, but surely that is done deliberate by the President. As he offers the most funds to the Ministry of Defence, State House, Office of the Prime Minister and so on. The others are getting less, as well, as the amounts of funds that goes to pay back loans that the state has collected. This is known, as the deficit are filled not with donor funds, but loans, which they are now paying more and more by every year.

The President can complain about his Ministers. But he appointed them and trusted them. He has made their positions and made them responsible. They are supposed to answer to him and follow the mandate the government have given them. The possibilities to do so, are made by the budget and funds given. Also, the strategic and willing to let them develop it. However, the President usually goes for quick fixes and not for long-term planning, as his erratic micro-management style. That is well-known. As well, as the President always blame others, but take all CREDIT.

Therefore, this President is not someone who will stay behind his people, but push them to the crocodiles, if they are not doing their thing or if they become to ambitious. Certainly, the President can complain, if they don’t do enough. He should sanction the ones or give them a carrot to act. Peace.

Bank of Uganda: Monetary Policy Statement for February 2019 (07.02.2019)

Preparation for General Election 2020/21: When these budget posts are served extra-funds!

As we are aware and since the National Resistance Movement (NRM) dropped their Road Map for the General Election of 2020/21, the whole system has started to flair up for it. Both with Electoral Reforms and other measures, to secure swift results in favour of the President and secure his cronies. That is just the way it is.

As we will see in the Budget Framework Paper for Financial Year 2019/2020, the government and their agencies are clearly gearing up for elections. As the NRM wants to make sure the appointed and anointed get their cut ahead of scheduled elections.

The first ones whose secured and getting well funded is the Residential District Commanders, they are getting 5,5bn shillings to promote government policies. There is also estimated right before the elections, the state will go from 128 districts in 2018/19 to 135 districts in 2019/2020, there the state has to use more on them just for the need of new RDCs too.

To give RDCs possibility to do their work, the Office of the President has asked for 25.4bn shillings to buy 165 Double Cabin Pickups, but there is only small fry for what is coming up.

The State House itself is gearing up, as the Office of President has asked for an allocation of 741.1bn shillings.. Just to give a feeling of the changes of gear, is that in National Budget Framework for Financial Year 2018/19, alone, the State House got 265,342bn shillings. We can see a significant change ahead of the coming elections.

To top it off, the logistical support, welfare and security to H.E the President, Vice President require 118.38bn shillings. Therefore, the Presidency, the State House and everything concerning that is much more expensive in Election Times and ahead of campaigns. As proven by the Report delivered to the Parliament.

This are just small pieces of what the Committee and what Jesca Ababiku MP delivered the Parliament, as requested to secure funding and also more funds to certain aspects. As it is fitting the elections and the timing for more cash to certain places. We saw it before the General Election in 2016 and is seeing it now. Repeating itself, getting budget for cars and more expenses paid. More funding to the State House and President. Just as programmed. To think otherwise is to be blind to what is up.

This is just what they do, not building institutions or such, but buying to time to linger in Office. Peace.

Reference:

REPORT OF THE COMMITTEE ON PRESIDENTIAL AFFAIRS ON THE BUDGET FRAMEWORIT FOR F’Y 2OL9/12O – 2023/2024, Parliament of Uganda, January 2019

Age Limit: The value of the Life Presidency is now about two Koenigsegg CCXR Trevita!

What if I told you that, based on the incoming numbers from today’s reporting and last year. We can establish the certain cost of the Age Limit Bill and how much the National Resistance Movement (NRM) or the NRM MPs has cost in total. An amendment of the Constitution, which in purpose have given President Yoweri Kaguta Museveni, Life Presidency.

With that in mind, I have calculated what each of the NRM MPs have gotten in payment. As it first was the cost of Consultations and the total value of that, later I have taken the direct payment for passing the bill. So take a look!

Latest report on the payment:

The first installment of Shs 40 million was paid before the amendment was passed in 2017 with another installment of Shs 100 million coming immediately after the passing of the Bill. The final installment of Shs 60 million was to be paid on November 30 last year. At the beginning of this week, the MPs received telephone calls from the leadership of the NRM Parliamentary caucus to go for the money but instead of the Shs 60 million, the MPs received Shs 45 million” (Kabuubi, 2019).

Lets do some calculations:

Each of the 317 Members of the NRM Caucus have gotten in total Shs. 85 million shillings or offered this, as it is reported. I will look at the whole sum for everyone, as it is to hectic to calculate the ones that didn’t receive it all, as they wanted the whole sum of Shs. 100 million, but the proof of cost is still up-to-date. As it shows how much the state anticipated to pay for the whole operation to the MPs in question.

So the sum for passing to date is about Shs. 85 million Ugandan shillings doesn’t say so much internationally, so if your using the foreign exchange today. Each MP would get in about $22,740 US Dollars. That is in both instances with the total fee, however, today, they got equlent about “only” $ 12,041 US Dollars or £9,415 Great British Pounds.

This is the payment done for the bill itself, but for the ones remembering back in time. This isn’t the first fee, these honourables got for doing so. The MPs got a consultation fee each. Which I stated like this in October 2018, when the MPs got Shs. 29 millions each for consulting their constituents.

To put the 29 million in perspective is about $ 8000 United States Dollars or £ 6000 Great British Pounds (With the exchange rate in October 2018). So it isThe whole cost of the consultation of the bill was $ 3,553.660 or about 3,5 million United States Dollar. That is the cost of the MPs consultations is equivalent of 13 billion Uganda Shillings or about 3,5 million US Dollars.

That was then, but now with the revelation, there are more money at play. Making the calculation more interesting. As the whole freaking project is getting under wraps. Because, we should calculate all the millions spent on these MPs, to prove the value of Life Presidency in the eyes of Bosco. As he sees this sums fit to give life to his dream of ruling until eternity. The $ 3,5m USD was premature. Since there was even the direct payments to the 317 NRM Caucus MPs. Which was revealed today.

With that in mind, lets do the Math:

Shs. 29m + Shs. 85m = Shs. 114m or $ 30,501 USD or even £ 23,844 GBP each.

That is what the MPs gotten each in Consultation Fees and Direct Payment. We should still look at the whole shindig. Therefore we have to look into how much Shs. 114m are times 317 MPs. That is about Shs. 36 billion or into $ 9,6m USD, or about £ 7,5m GBP.

To put that in perspective how much that really is. In Ugandan Perspective, it is as much as the Namugongo Museum Development Committee planned in 2016 to spend on Anglican Martyrs Shrine in Namugongo, as they would develop the museum, build a conference centre, guest house and a library.

To do another one, the value of the Age Limit bills as of today, it is about the value of two Koenigsegg CCXR Trevita, which is valued about $4.8m USD. Which is an upgrade, as in October last year, the value of the Age Limit was valued to one single Aston Martin. Which is fine itself, but a bit low, considering the value of the Presidency and its perks. The Presidency should cost more and be more expensive. This is still cheap, even if two Koenigsegg is a costly affair.

We should expect more, as we know how the prices on good players are in the Premier League, they are through the roof and a slot of the Presidency shouldn’t be sold for cheap, it should be some Gareth Bale, Christiano Ronaldo, Kylian Mbappé or Neymar. The Ugandan President cost as much as the transfer of Nottingham Forrest Michael Antonio to West Ham in 2016, which in the schemes of things. Is nothing in comparison to the trade of Age Limit. The gift of extension of Presidency and being the Head of State, the Commander-in-Chief and so-on. That should be valued more.

Two fantastic Koeningsegg or a Championship transfer to the Premier League isn’t capturing the seriousness in the trade. To get the opportunity of becoming President for Life, should cost more. We all should agree on that. Peace.

Reference:

Gyagenda Kabuubi – ’Cash bonanza in Parliament as MPs get paid age limit balance’ 09.01.2019, link: https://intelpostug.com/2019/01/09/cash-bonanza-in-parliament-as-mps-get-paid-age-limit-balance/

President Museveni letter to Hon Matia Kasaija: “Re: Massive Tax Evasion and Concealment of Rental Tax” (23.11.2018)

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