#UGBudget17: Half borrowed and a third paid back in Interests!

Today the Ugandan government, the National Resistance Movement finally read the Shs. 29 Trillion budget for the 10^th Parliament. However, it is not necessary the size of funds and all, which is allocated, but the way it is funded. Like “Government hopes to raise sh14.6 trillion in revenues to fund the 2017/2018 budget” (Uganda Debt Network, 08.06.2017). Of the 29 Trillion, they expect to get close to half of that, but the monies has get from somewhere and also be of use. What is left are relieved like this: “The balance sh14.3 trillion (49.5%) of the National Budget will be raised through internal and external borrowing” (Uganda Debt Network, 08.06.2017). With this in mind, half of the budget is adding more debt. So if a nation already having lots of debt and debt repayment, it still adds another half budget. This is a bad cycle of events.

There lets us put things in perspective: “Our concern is sh9.9trillion, which is 35% of the total budget, will be spent on debt repayment” (…) “Amount of money spent on debt repayment has escalated in the recent past now at 9.9 trillion for fy2017/18” (Uganda Debt Network, 08.06.2017).

Therefore, the state and the NRM are clearly getting funds through loans to pay-off their interests. AS the 35% of spending is on interest in the coming fiscal year. This should worry, even if the corruption, misspending of obnoxious amount of funds through the paradise of Okello house. Still, that 1/3 of the coming budget is paid interest on old loans, which are been made by this government and by this President. What it show is the lack of concern of the future and how sound fiscal policies. At this state, the government of Uganda are clearly footing the bill. They are filling in the blanks for where they in the past had happy donors filling the envelopes.

The NRM and President Museveni is overspending and misusing state reserves, as the revenue and the state coffers do not sustain this massive overspending. Certainly, it is visible, also the worry of the running interest rates and growing debt as close to half of this year alone are by loans. Neither if it is local, by foreign or multi-national financial institution does save the fact, that the state has a problem.

That of the coming fiscal year, the state is borrowing half, and repaying that with 35% says a lot. IT says the fiscal policies needs change and it is dire. The state are clearly walking the wrong path. And remember this, there will be supplementary budgets during the fiscal year, that will expose the overuse of funds and needs for more loans. Therefore, they are surely going to exploit the faith in future, without having the funds for it today. Peace.

Uganda: Civil Society Position on Tax Revenue Measures for FY 2017/18 (21.04.2017)

Uganda: CSBAG – “Reducing Wastage and Curbing Inefficiences to Finance our Priorities for the FY 2017/2018 (09.04.2017)

A look into the proposed International Contribution to the National Budget of Uganda for the Financial Year 2017/2018

There are many budget posts in a National Budget, but as there are talk of lacking international support of the budget in the Republic of Uganda. The certainty is that even as the donors are fleeing the National Resistance Movement (NRM) and the President Museveni own way of saying he doesn’t need them. Still, I want to show the world collectively what the NRM government have donor sponsored projects through the National Budget, these are projects and development of infrastructure that the NRM needs to show something after over 30 years reign.

Like take Japan the donor funding to the Northern Uganda Farmer Livelihood Improvement Project in the next Financial Year gives to the project Ush. 31.33bn. also donate funds to is the Nakawa TVET Lead Project got Ush. 4.69bn. Japan also donates to Kampala Flyover Construction and Road Upgrading Project with Ush. 155.44bn.

World Bank itself is donating funds in different ways to two other projects, which is African Centeres of Excellence that got Ush. 13.36bn. and Albertine Region Sustainable Development got Ush. 9.35bn. On the other hand the Kingdom of Saudi Arabia donated to the Construction of 5 Regional Technical Institutes with funds of Ush. 6.98bn.

Belgium has also offered their donor funds into the Ugandan state through various projects, like the Program/Project Support to Improve the Quality of Teaching and Learning with Ush. 11.97bn. also the Rehabilitation of the National Teacher Training Centre Kaliro allocated Ush. 15.16bn, they also gave to Rehabilitation of the National Teacher Training Centre Muni funds of Ush. 15.16bn. another project that Belgium was behind is the Support to the Implementation of Skilling Uganda with Ush. 15.96bn.

The Democratic People’s Republic of China has donated to new development projects in Uganda, like they are donating to Industrial Substations Ush. 91.74bn. they also donated to Isimba Hydro Power Plant Ush. 407bn. and also  Karuma Hydro Power Plant where they have pledged Ush. 1,305.07bn. or Ush. 1.3 trillion to that alone! The Chinese is also involved in Entebbe Airport Rehabilitation where they have funded Ush. 148.13bn. the pledged funds for Standard Gauge Railway will first come next Financial Year 2018/2019 and not this financial year.

African Union (AU) funds to the UPDF Peace Keeping Mission in Somalia with total Ush. 256.66bn. United Kingdom pledged funds to the Road Infrastructure for Delivery of First Oil with Ush. 252.63bn.

The pledged funds for Kampala-Jinja Highway are first for FY 2018/2019, but no official donor or loaner of funds. Therefore the estimated funds come from thin air. What is also relevant is to see that the Funds from Austria and Denmark has been suspended for different development projects. Still, which I haven’t mentioned is the funds from African Development Bank, also GAVI and Global Funds still gives to health care development, even with the knowledge of the rampant corrupt behaviour in the Ministry of Health.

Therefore if the NRM are contemplating that they are themselves giving these sorts of projects to the people, I hope the donors are putting up boards or signs in the entrance or hallways, even start of the roads where it says what sort of amount of funds they spent on it. So that President Museveni or any other crony can take all the credit, because the credit and the footing the bill to somebody else! Peace.

Opinion: Mzee must have angered his donors when seeing the dwindling budget support for FY 2017/2018!

I haven’t been much focused on the budget for 2017/2018 because the more I know, the sadder I be for the citizens of Uganda. Since the revelations of the use of funds and allocations are usually not in sync. The allocations and maladministration is so rampant that the allocated funds are most likely spent on other projects than we’re they was anticipated to be. Either saves a Bank with owners tied to Museveni or to pay for gasoline for his Presidential Jet. Who knows right?

Well, we know that over the past few months and year President Yoweri Kaguta Museveni has attacked the hypocrisy and the West for interfering in his democracy. Mr. I-Am-Not-A-Civil-Servant, but I am your President. Since there are some questionable things in Uganda National Budget Framework Paper of December 2016. That are putting numbers for how they see fit for the government use of funds.

Key numbers:

Area	FY 2016/2017	FY 2017/2018
Budget Support	926,6bn	33,8bn

This numbers says a lot of the usual donor-friendly regime of Museveni, which has been since he was the new-breed of African leaders that was even praised by Bill Clinton during the 1990s. Therefore the revelation that over a year period the donor-funding to direct budget support is scrapped says something. That of 30 Trillion budget of 2017/2018 is only getting meagre sum of 33 billion. That is just a few Presidential Handshakes to loyal cronies an then they are spent!

President Museveni must really angered and made them tired of throwing monies at his regime since they are not as friendly with their taxpayers monies as before. I am sure they have another cause and another country that they are doling their budget aid funds to. Now they are not directed at the NRM or the Mzee who certainly eats more alone. Peace.

Opinion: Why is there so little sanction on Corrupt behaviour and why don’t the donors stop the funds?

We should question the ability of certain leaders to be able to squander away government funds, donor-funding while keeping their citizens in poverty and neglect the civil service, the state functions and keeping the state fragile; so that the Executive can brown envelope the Members of Parliament and that other civil servants to get paid, instead of government salaries depend on being paid under table for government delivery.

This is not one nation problem, this is not a one continent problem, and this is a worldwide problem. Not only government acts like this organizations, multi-lateral organizations and businesses. Corporations and other LLCs are also misusing their fortunes and ability to generate wealth for their stakeholders through intricate and complex banking structure that fixes the profits away from the countries we’re they earn high profits; while squandering away the profits so that the owners and stakeholders gain massive funds and leave the consumers, workers and the nations as they keep the funds away from the State of real business.

Why can I address the neglect of government in the same regard as tax-avoidance in modern business, because the same ethics and norms are made and regulated by the Parliaments, Executive Power and by the interests of politicians; that needs funds and create business in their constituency as they earn currency on opening business there. So with that in mind, the way the business is set-up and regulated are by admission from the political framework and laws, not to talk about tax-regulations together with multi-lateral agreements that either opens or closes doors for tax-fugitives from the profitable country.

The Government are the Sovereign Power, the ones that represent and distribute the resources and funds to their citizens through departments, ministries, institutions and programs that are sufficient to make sure of education, security and development of the country. That happens as they can either use their taxes, aid and loans to fund the government work. Well, they could if they wanted to represent the people who paid the tax and elected them.

One key reason for the maladministration and mismanagement from the government are that they are responsible for sham elections and rigging themselves in power; worst case scenario the government and executive took the power with the gun; so the responsibility is more on the ammunition instead of the transparency and accountability towards the citizens. The citizens are supposed to have safe-guards from corrupt behaviour and alleged graft; as the Auditor General and Ombudsman are supposed see through the files and budgets, together with registered procurements, so that the actual facts are the same as the planned efforts from the State.

That is why the breaking figures and knowledge of squandered monies from the funds. Something that shouldn’t be that easy to do or get away with; as so many leaders and executives have saved giant bank-accounts in Swiss Banks and in Tax-Havens. So the humble men from villages all of sudden own 30 luxury cars, 4 mansions and have a wife who spends a ministries months salaries on exclusive clothing and shoes in Paris and London. While the taxpayer are struggling to eat and feed their families, which is an issue that shouldn’t be there when the Executive and wife can have a cortege of 25 cars driving from their State House to their Ranch without any consideration.

The worrying sign is that the International Monetary Fund, World Bank and other Multi-lateral organizations don’t sufficiently sanction this kind of activities or even punish the countries with this behaviour; except when the nations are on their back hunting wild goose. The United Nations and European Union, other Pacts doesn’t even sanction much either. The diplomatic tensions and the wish for resources sometimes stop the knowledge of the thievery, if not to save face of both parties as they doesn’t want the public of the nation importing to know about the maladministration.

What I am wondering with all the corruption scandals, with the rich executives and the haemorrhaging of monies from the state and businesses; It happens daily while the begging for funds from international community and also getting investors from the exterior to invest in business. These businessmen are set in function with civil servant and government officials that are corrupting the state; something that the world knows… and still keeps it going around.

Certainly the knowledge of this isn’t something in the shadow, some places all of this is in the spotlight and expected by the officials, as a second way of getting add-ons on their meagre salaries as the government doesn’t pay enough or on time for the Police Officers and Teachers to secure pay to pay for food and even rent. Therefore the system generate where the Government can’t even supplement funds for their own, while their leaders eat the most delicious stakes. This should be a warning, but the world moves on.

What worries me… is how this keep on happening with different names, different places and with different funds, while the sanctions and the stopping of funding from the communities doesn’t stop; while the massive overload of stolen monies are hidden and the ability to use this banked currency in developing the state and nation, instead lost in trail of lies and deceit where the accountability got dropped in the ocean.

We should question these transactions and not accept these facts of life, this is the ones that steal the development and progress, steal foreign taxpayer’s monies into personal bank-accounts and private business of elites instead of the public functions as they we’re supposed to go.

I am just writing in frustration… and tired of seeing and hearing about the scandal after scandal… While the ones dishing it out are silent, while the punishment is not happening and the characters who are behind the thieving is walking like kings and queens in main-streets of capitals all around the world. That is what is bugging me. It shouldn’t be like this and the behaviour should be tormented, questioned and also charged for their stolen cash. This cash we’re not automatically made for and created for the Executive’s and their Elites; which isn’t justified. So why does it seem that some people are allowed to steal a country, steal a national treasury and the foreign exchange funds are walking scotch-free while hanging around the mayors and government-officials; but when a pocket-thief or a man stealing a goat, gets detained and not hired again.

The rules for this is provable not equal, not for all men are equal under god, except if you like shrimp. Well, that is not the case in this matter, there are too set of standards, the Executives and their Elites; while the citizens and public are a disgrace and can be disregarded easily, but the rich can get-a-way-jail-free-card! Peace.   

Don Museveni says “I would never accept these foreigners to give me orders about Uganda”; Time to cut the direct donor assistance to the government budget of Uganda and after that let Don Museveni eat alone!

“I wouldn’t ask these foreigners, but I would never accept these foreigners to give me orders about Uganda. Or about anything in the world! They got their own countries to run. Let them go and run them. Uganda is ours. Nobody gives us orders here” – President Museveni at Kololo Independence Grounds Speech while celebrating the “Double Victory” on 9^th April 2016.

Now that it is not long ago he told the world that Uganda was his playground and he could shot and kill opposition because they had no place in his country. From the same man and leader comes this. Let me ask the international community to react to violent behavior and the aggression this President shows his own county.

The racketeering of the NRM and their Executive has to stop at one point. That can happen when the funds dry up and the ammunition does come with the next boat. The American should stop with their alliance and their UPDF trainings. The Americans should do as they did with the MCC in Tanzania; suspend the projects and direct-donor aid to budget funding of the Ugandan Government.

The French should stop supporting the Government projects in Northern Uganda and cut their loans as they have promised to effect directly the RDC and the other loyal cronies of Northern Uganda. This does so the Capos of the Don get their monies and keeps eating. While the Japanese should stop supporting infrastructure projects together with the Chinese Foreign Ministry, while the CNOOC should terminate their contract with the Uganda Government. Total Oil firm of the French should suspend their operation until the government accept their blood-money. The Same with Heritage Oil for Britain so the UK Gov. should disband their direct government support and take away the incentive from UK to Uganda. The Norwegian Government should suspend the Oil for Development Program that have been a steady program since 2006. Because if you hurt it where it could become most important, then the Don Museveni might listen.

The European Union should to hurt the Foreign Exchange rate suspend the import of Robusta Coffee beans from Uganda, as the export of this is a major factor in the economic trade in the land-lock country. “A total of 271,941 bags of coffee valued at US$ 25.12 million were exported in February 2016 -Source UCDA report”. If you want to hit where it hurts, then you take away the foreign exchange and the foreign exports. This here could really hurt the government that does not want to have any interference or questions about their rule.

If the Donors and giving aid, would suspend or cut the services for the Peacekeepers, the same reaction that the Dutch did with the Burundian Peacekeepers in the AMISOM in Somalia. The same could be done by the American Government and EU as they are the major benefactors for the economic spending ground and facilitators for it.

It is not like I am for neo-colonialism, but when a totalitarian and gangster like Don Museveni complains about the US Mission questioning his oppressive behavior and European Union saying their opinion on the display of character showed during the Election and announcement of the results. Then it seems like he does not need any-more international legitimacy for his rule. Only their money and aid when it comes in handy too fuel money to a private plane, refurnishing the State Houses, buying new cars and more estates. Especially considering in FY 2013/2014 the donor assistance of the total budget was 21 % of it. Therefore the USAID, World Bank, IMF, DFID, European Commission, Irish Aid, NORAD and the other contributors should suspend that for the coming financial year of FY 2016/2017. To not hurt the citizens do this instead!

They should support the IDP camps and refugee camps in the Ugandan country through United Nations programs and organizations, build stronger relationship with NGOs in Uganda and forge good governance programs instead of supporting a government who is carrying out rigged election and embezzlement of government funds and international aid. Therefore progressive use of the tax-payers money from the Western Hemisphere, and if that is not working then, use it instead on local infrastructure projects to their own tax-payers.

Especially when a specialized report on Donor Aid to Ugandan Government says this:

“Budget support has not helped much in relation to cross sectoral dialogue. Some improvement was realized in education sector as dialogue with Ministry of Local Government and Ministry of Public Service improved. But this has not happened for the health sector” (…)”The power relations between bilaterals and Global Health Initiatives including PEPFER, Global Fund, GAVI, Stop Malaria etc shifted in favour of the latter who had no experience in the development of the budget support process and completely ignored to an apparent ineffectiveness” (…)”Budget support resulted in a greater commitment and quality of dialogue on PFM issues, especially after 2007 with the launch of FINMAP and JBSF. The influence of performance measures on sector dialogue declined from 2011/12, as the link with releases became less clear” (Joint Evaluation of Budget Support to Uganda – Final Report – 2015, P: 132).

This here proves the values of the Donor-Funding and the Budget Support from the International community to the Ugandan Government and the NRM-Regime. The NRM mafia under Don Museveni who says that the Ugandan authority do not want to have internal interference and foreign people questioning his playground. Therefore the authority and the Don want to rest things into peace he lets the people end up resting in peace. As he takes the Army and Police to detain the ones it needs and use draconian laws to oppress his own people.

Therefore with also the fraudulent election to keep the NRM mafia in order and also silence the opposition; as it even did yesterday the 9^th March 2016 with the Military Police taking over the Nakivubo Settlement Primary School so the “Victory Celebration” that was supposed to be held there with Lord Mayor Lukwago and FDC Leader Besigye. This happen while the Crime Preventers, NRM Diehards and the new MPs we’re celebrating at Kololo Independence Grounds while costing the 1, 5 billion shillings. The racket also carries to pay their own and let the kingpin eat the money alone. As he has done since 1986 and the donor have continued to fund the budget support and give Don Museveni money to do his bidding.

Therefore I ask the governments to question if they want to deliver more money the NRM Mafia who uses monies to the army and police, squander away State House money on funding his campaign and also rumors of AMISOM contingent. There are certain numbers on his spending on military is staggering over the years. In between 2011 and end of term 2016 the taxpayers and donor-funding the total Shs. 6.617 trillion to the Army, Police and Intelligence Agencies. Of this in MPS in February 2015 into the portfolio of sophisticated military equipment there was the extended use of Shs. 470 billion, alone that year.

So with that knowledge and knowing the international donors should consider some reactions as he does not accept any interference not internal and not external. The Playground might be for the moment him, the Don Museveni has spoken of killing demonstrating citizens and opposition. The harassment of the ones that question the power of the kingpin!

That is when the international donors in the powers of US Mission in Kampala and their Amb. Malac recently; and also when the European Union does state the fact that the election was not free and fair. Therefore the Don Museveni feels betrayed as this has been loyal men who have given money to his government and not question his power or rule. Because they needed him to do their dirty-laundry and also have a steady ally in the East Africa; as the US have a relationship with Ethiopia and also Kenya, but have a longer engagement with the Ugandan Government, and now accepting the harassment of opposition as a price for some form of stability.

While the other donor-funding is not questioning other than expressing some have cut funding over the $12 Million that was going to Northern Uganda Development Fund (NUDF) in the 2012, that went lost to through the Prime Minister Amama Mbabazi. Also the Anti-Gay Bill had their reactions from UK, Norway and Dutch who cut parts of their aid. So now it is the time again, as the oppression, election fraud and the man who want to be the Don and acts like the Don of Uganda. The Godfather of Uganda has spoken. He does not want to be inference. So since he does not wish to have interference the international donors and bilateral organizations should offer him a hand with that.

The International donors and bilateral organizations should certainly suspend their direct budget support to the Ugandan Government. As they don’t wish to have any interference and can handle it all on their own. The money should instead spend on the Multi-National Organizations working in Uganda, as the OCHA, UNICEF and WFP as they will submit and carry out quick resolved matters in Internal Displaced Camps and around the borders through their projects. Since that will not have any other government questioning their actions, then the other governments should not help to fund their actions. Simple rhetorical assessment that banish the 20 % power of the funds that Don Museveni has at his disposal and use; when outsiders are such a pain, then the pain should leave Don Museveni alone and not support him.

So the Donors and Bilateral organizations should cut their aid and give less power to Don Museveni and his NRM Mafia who spends and eats alone; while his government does not have money to build health care, roads, schools or the other necessities in the Ugandan Society. But not with Foreign tax-payers money, when they get used on the expensive cars, lavish lifestyle, foreign health care and private planes for the Godfather. There is time to take action as the gangster will act as Don and not as a Statesman. Henceforth, when a player does not want question, but accept your money and not accountable for them; and when the player squander the money and expect to get away with it. Then the Player should lose the ability to get the money from you. The Don Museveni have already had long enough time to deliver and used enough of donor-funds without showing progress. Time to cross out the donor-funding to direct budget support; then Don Museveni does not need to be questioned. As the international community will not have put a stake and being stakeholders for certain parts of the budget. But when they step away, then Don Museveni can be the kingpin and the gangster he want to be in military fatigue and do as he want in his playground, without opposition who should just stay home; and also without foreigners questioning him. Then he can rule alone with the capos, underbosses and then be grand Don Museveni. Peace.