Gov't to Borrow UGX 92bn to Rehabilitate Yumbe and Kayunga Hospitals Top story

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In short
Of the 92.5billion shillings, 17.5billion is to be borrowed from the Arab Bank for Economic Development, 37.5billion from the OPEC Fund for Economic Development and another 37.5billion from the Saudi Fund for Development.

Parliament on Tuesday evening approved arequest for Government to borrow 92.5billion shillings towards the rehabilitation and expansion of Kayunga and Yumbe General Hospitals project. 
This was after Parliament chaired by DeputySpeaker Jacob Oulanyah adopted and considered the harmonized report from the committees of National Economy, Finance and Health on the request to borrow. 
The report was tabled by National EconomyCommittee Chair MP Xavier Kyooma representing Ibanda County North. 
Of the 92.5billion shillings, 17.5billionis to be borrowed from the Arab Bank for Economic Development, 37.5billion fromthe OPEC Fund for Economic Development and another 37.5billion from the Saudi Fund for Development.  
Although the MPs approved the request, theycastigated government for not planning ahead. They said this sort of contigencyborrowing exposes the tax payer to high interest fees on loans.   
Kumi County MP Amuriat Oboi Patrick noted the contingencies are for situations that are not foreseen but that the Kayungaand Yumbe projects are rehabilitation projects which are measurable andgovernment should have planned for them. 
Budadiri West MP Nathan Nandala Mafabi saidUganda should put health as a first priority in the budgetary process.  Mafabi said some technocrats siphon moneyfrom these loans and little actually reaches the communities it is intended for. He said all the means to rehabilitate the two hospitals are available in the country.  
Mafabi said he hopes Parliament's National Economy Committee should monitor how the money is used.  //Cue in: "I can tell you…….Cue out:……..move in that line"//  
Katikamu South MP Khiddu Makubuya taskedthe Finance Ministry to provide Parliament with a guarantee on how the money is to be used because it is hard to understand how the two hospitals could deteriorate without being noticed before. //Cue in: "I think the gist…….Cue out:……in the implementation"//  
The State Minister for Planning in the Ministry of Finance Matia Kasaija said when the project begins, districtleadership will be closely involved. He assured the house the 92.5 billion shillings would be well used as intended.  //Cue in: "honorable Speaker……Cue out:…to keep an eye"//    


About the author

Olive Nakatudde
Olive Nakatudde is a URN journalist based in Kampala. Nakatudde has been a URN staff member since 2013.

Nakatudde started out in journalism in 2009 with Dembe FM radio in Kampala. In 2012, Nakatudde joined Voice of Africa as a political reporter. She has been a photographer since her journalism school days at Makerere University.

Nakatudde is interested in good governance and public policy, which she reports on intensively from the Uganda Parliament. She is a keen follower of cultural affairs in Buganda Kingdom and covers the kingdom's Lukiiko (parliament). Nakatudde also reports on education and health.