http://www.finance.go.ug/bpr01-02/Background%20to%20the%20budget%20final%20draft.pdf
- Uganda has only two expansive sectors - the transport and telecommunication sectors. These two industries, given our proximity, to the sea and geographical location, if the NRM government had an insight, not corruption ridden and sense of time, will generate both a fledging industry and service sectors. - Apart from ICT, what is Uganda State input, financially, educational (human resource development in the motor industry) and technical education (infrastructure) input plus state support i.e. in auxiliary component and machine fabrication. None - There is Wavamuno technical school, in motor vehicle mechanics but one wonders as to what extent given the computerisation and automation (machine, computerised engineering) of motor vehicles and environmental concerns vis � vis fossil toxicity? Now Kyambogo is teaching market psychology, business management and theology! - Makerere University and the so-called fledging independent village universities teaching business management and the like � are making money from an un-suspecting student can't expand their imagination far and wide. - Despite the fact that any student with; basic mathematics, physics, biology and chemistry courses done on secondary level, can do those courses and for Uganda to get a good number of human capital resources into the area. - Now Britain is also jumping on the bandwagon with their trading delegation re- introducing the Land Rover. - Now, before these sectors, reach their optimal consumption level, based on imported items what has the government done to equip production sector base, especially vehicles motor machine fabrication and mobile phones component lego-industry, given the growing demand for transport and telecommunication services. - You can�t get a locally made water MOTOR PUMP, A GRASS MOWER, HAND HELD MOTOR PLOUGH, not even an ELECTRICAL MADE SWITCH by Ugandans � Industrialisation indeed and were are there since we can import from Japanese and European waste dumps! - we are developing and soon adding value on vanilla (Budget 2004-5) URA revenues come from direct and indirect domestic taxes as well as from international trade taxes while non-URA revenues include fees and licenses collected by Central Government ministries and departments, and dividends from enterprises and agencies in which Government has interests. (Budget 2004-5) Uganda�s economic development challenges are beyond its individual capacity to address especially given it�s being a small land locked economy. Pg. 24 !!!!! (Budget 2004-5) Government undertook a second revision of the PEAP to take stock of progress, challenges and emerging priorities. In light of recent increases in poverty in Uganda, four core challenges have been identified namely: restoring growth in agricultural incomes; restoring security in disturbed parts of the country, consolidating achievements in human development and using public resources more efficiently and effectively to address poverty. - Today investors mix colour, sweeteners flavoured to smell fruits and sell to Ugandans to kill http://p201.ezboard.com/fugandamanufacturersassociationfrm1.showMessage?topicID=138.topic - Its foolish of a government that has been in power for 18 years to imagine that through reorganising words they will fight poverty in Uganda. a ). Why is poverty increasing YET Uganda has been on the list of those which received a debt relief from world bank, imf and individual countries today Uganda debt is reaching 5 billion dollars! b) liberalised the economy so that everyone can make money are people making money or not c). There is over production of food products and non- cash crops yet there is no corresponding consumption structure but export markets. - Second revisions of the PEAP will not work- a) . it is the government that is cause to the macroeconomic instability- through wars and subsequent human life and property destruction .b) unwarranted and unplanned expenditure (recurrent budgets instability) hence fiscal and debt unsustainability (MP wages and presidential akasimo - rewards) c). Modernisation of agriculture is rhetorical since it lacks a local base i.e. home based organised agro-based industry and consumption. d ). State official�s involvement in the destruction rather than preservation of the natural resource base, particularly forests and rural mis-planning e ). Ugandan government is the under-developer of the legal system causing non-transparency, none accountability and corruption (IGG- solicitor general, parliament � executive, where are the ssebutide reports??!) f) . Education without practical effects is rubbish �start research in areas that matter for this country. g). Increasing people�s a bility to plan the size of their families � is nonsense since education itself can reduce family size therefore government is wasting time and money as long as the largest population remain largely poor and outside the mainstream economy. (Budget 2004-5) The PEAP based transformation of the economy through private investment, industrialisation and export-led growth is a dead end. - Proof how many people are doing well since the inception of Uganda investment authority � Uganda is getting taxes only from 25 corporate enterprises from the 99 Uganda developments Corporation before 1986!! - (Budget 2004-5) Total export earnings of both goods and services for the year 2003/04 are projected to increase by about 20% over last financial year�s out turn to US$ 927.53 million this year largely due to improved performance of most notably, cotton, fish, tea, maize and flowers. The improved export performance is mainly on account of improved export prices especially for non-traditional exports and also higher volumes shipped. Of this, exports of goods are projected to be US$ 628.2 million, while exports of services are projected to be US$ 299.30 million, (Budget 2004-5) over the medium term, the results of the privatisation program are likely to act counter to fiscal consolidation as the costs of divesture appear to outstrip the sale proceeds and no sale proceeds are expected from concession out of public utilities companies, the Uganda Railways Corporation and the Civil Aviation Authority. - in heavens name which of the above is worthy any money- Uganda has got only one cargo plane and Uganda railway stock is not convincing enough to get such funds for the most attractive lines would be Kampala Mombasa � Tororo Pakwach and Kampala kasese for both commercial and hotels services � - Efforts made to enlighten the administrative core of URC have all but failed � what else can be done? URC is money making not any institution which just swallow money so running URC as a state ministry is all but a very shallow method of business doing. - Moreover start an urban light railway ring for tram transport will boost URC (Budget 2004-5) Traditionally, donor project support in form of loans and grants has been mainstreamed in Government expenditure, yet the inflow of these funds creates the demand for counter part funds to be availed in the budget. In addition, they contribute to the fiscal deficit through their impact on the exchange rate and domestic interest payments on government securities as government tries to mop up the excess liquidity in the economy caused by such expenditures. - This is a problem created and generated by poor planning and indeed budgeting based on recurrent budget planning. - What is the total factor cost of our real needs and wants, does the ministry of planning know? Wee have decentralised entities that should know! To argue that donor funds create demand for counter funding hence inflationally tendencies is rubbish � how could the donor fund something that the state has not budget for?! - The above shows that the government of Uganda and the ministry of planning have no overview of project execution and projected expenditures as per district budgetary concessions over time. Is tax money therefore spent on the same things every financial year? (Budget 2004-5) If more resources could be mobilized domestically, Government expenditure would then be able to grow faster without jeopardizing the policy objective of deficit reduction. In addition to the combination of reduced donor dependence and increased domestic revenue mobilization, the public sector program is to focus on quality, rather than quantity of donor aid. - This is achievable but not with a government or a regime which thinks that it is above the law. Start wars without national consent. How many investment has the government initiated over the years nothing to assume that it can generate internal funds other than playing the fiscal and monetary card- BOU is everywhere making money on treasury bills and bonds for the state implying that the above mentioned privatisation is nothing but a fuss. - Indeed by doing so it means those who have more more is added to them and banks are having a field day as they reap where they never saw. Now they have the money to sell out at high interest rates and then its government turn to fight inflation what a mess! Why does the government invest to make real money instead of going around in circles???! (4.10 Government�s interest payments are projected at Shs 266 billion next financial year, of which Shs 201 billion is interest on domestic securities (Treasury bills and Government bonds and the rest is interest on external debt.) - What if that money went into public investments like tourism, railway facilities and small-scale factories in strategic areas like communication and transport, small-scale hydropower facilities, urban planning and commercial buildings in towns, housing? BIDCO; BIDCO; BIDCO etc,,,,,. - And indeed that the message that has been forwarded that business is at its road to the highest level is empty. Now we know, inflation is created by cash inflows in terms of donor funds and nothing else - (Budget 2004-5) 4.08 Externally funded projects during the next financial year are expected to amount to US$ 471 million equivalent to Shs. 946 billion. Project support in 2005/6 and 2006/7 is expected to fall to US$ 420 million, while in shilling terms it is projected to decline to Shs 890 billion in 2005/6 before rising to Shs 939 billion in 2006/7. - . (Budget 2004-5) 4.14 The 2004/05 Budget is faced with additional funding commitments to cater for existing obligations and other priorities amounting to Shs.295.7 billion. These include wage shortfalls, pay reform, recruitment of primary and secondary teachers, and salary enhancement for medical workers, pension shortfalls school feeding program, the referendum and the value addition fund for industrialization among others. (Budget 2004-5) 4.17 ��.In the area of rural development, an increase in the agriculture sector�s envelope appears to be justified and it will be possible to estimate the costs more precisely as the investment plan is developed. Government target is to increase the ratio of investment in agricultural research to 2% of agricultural GDP, which implies spending about Sh.75 billion per year. Funding social organization of farmers through groups such as Area Marketing cooperatives and an increase in funding for the Energy for rural electrification project could be expenditure priority options. - WORKABLE INDEED. Where are farmers going to sell pineapples, avocado and bananas? Give the shs. 72 billion to schools and buy foods only from cooperative entities other than using the money for stupid seminars. - Apart from the REFERENDUM I wonder how this could be a short fall � wages money for food all generate more money for the economy. This is money well spent on the people by the people for the person indeed comes back to the state. How is agriculture promoted in this country really from exports of vanilla and agoa! - In fact if the government was innovative enough it will invest in for example school food and supplier will pay a small but effective tax � of school food supplies which money over time will be used to expand this very sector. (Budget 2004-5) 4.15 Education will take the highest share of about 22% of total allocation to sectors amounting to Shs 548 billion followed by Public Administration, which will account for Shs 396 billion, equivalent to about 16% of total allocation to sectors and closely followed by Security amounting to Shs 371 billion. - so long as there is no socially directed research facilities in the development our country the government and indeed the ministry of planning will continue to weep over the money seemingly wasted. - Uganda is in the middle of underdevelopment but we can�t design a road, a single machine, apart from maize and coffee haulers in katwe and ndebba, Research in railway construction, engineering construction, eco- tourism, biochemistry, tropical medicine, irrigation, magnetic turbine power generators, urban pollution, dam construction and indeed agriculture will give this country million of dollars in return. ----------------------------------------------------------- Spela poker mot verkliga m�nniskor �ver Internet. �ver 40 000 spelare online http://www.multipoker.com -------------------------------------------- This service is hosted on the Infocom network http://www.infocom.co.ug
