No administrative units will be created in the financial year 2024/25 as earlier advised, says finance boss 

(Last Updated On: 21 September 2023)

Kampala | In his directive to the accounting officers and CEOs of state-owned enterprises and public corporations to prepare budget framework papers and preliminary budget estimates for the financial year 2024/2025, Deputy Secretary to the Treasury, Patrick Ocailap ruled out the creation of more administrative units next year. 

Ocailap said the ultimate goal of the Budget Strategy for the financial year 2024/25 is to accelerate economic growth to at least 7 per cent. 

“The preliminary resource envelope for the financial year 2024/25 is UGX52.723 trillion,” he added. 

“The Development Committee will no longer consider any new project proposals for construction of office buildings.

“Local governments’ indicative planning figures (IPFs) for FY 2024/25 for all programs as generated off the Online Transfer Information Management System (OTIMS) are now ready and should be used in preparation of Local government budget framework papers for FY 2024/25,” he added. 

“No administrative units will be created in FY 2024/25 as earlier advised,” he emphasised. 

Also read: Accounting officers, CEOs of state-owned enterprises issued BCC for fy2024/25

Expert opinion

Martin Onyach-Olaa, a senior urban specialist at the World Bank said earlier, “If land is assumed constant, then service delivery can only be improved based on how labour and capital are allocated and used by the government.

“One would intuitively argue that if the government spends more on administrative costs, the opportunity cost will be less service delivery.”

He noted that creating more districts by itself unless it’s accompanied by a number of other things, may not translate into improved service delivery. 

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