The State Minister for Finance for planning David Bahati has said that over Shs8.15 trillion is sitting idle in the state coffers due to poor utilisation and management of huge and heavily capitalised infrastructure projects in the country.
Bahati who was giving his opening remarks during this year’s second national project management conference this week said that his ministry has fought by all means to secure loans for infrastructural development but because of the delayed procurement programs process, there has always been poor absorption of infrastructural funds.
According to Ministry of Finance figures, Uganda’s investment in infrastructure to Gross Domestic Product (GDP) is 12 per cent which is approximately Shs30 trillion.However, such figures can be changed if such money is well planned for.
“We have been able to mobilise close to Shs9.3trillion, by processing close to 23 loans through Parliament but out of them, only three have become effective in the last 12 months. This means that our coffers have close to Shs8.15 trillions ready to be utilised but it’s sitting idle,” he said.
He attributed the setback to lack of capacity to prepare the proposed projects in time and lack of adherence to edify code of ethics and other international standards.
He, however, said that the only way to curb this problem is to set a new procurement guideline policy that will manage challenges and taping the procurement period of three months.
“If it needs legislation please propose, I will take it the Parliament and have an institute or policy established by an act of Parliament, I don’t know what is hindering this? If you need the assistance I will work with you so that we can move this bill,” Bahati said.
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