Government funded primary and secondary schools in Kampala have welcomed the new capitation grant payment system saying it ensures timely and regular release of funds. With the new system, districts will receive money from Bank of Uganda on behalf of the schools. The districts will then disburse appropriated funds to schools within the district according to the number of pupils/students reported to be in a school.
Government this week announced a new system for disbursing capitation grants to schools. Patrick Muinda, Assistant Commissioner Communication in the Ministry of Education, says under the new system the district requisitions the funds on the behalf of the schools. Muinda explains that the new system is aimed at streamlining the disbursement of funds to the respective schools.
With the new system, districts will receive money from Bank of Uganda on behalf of the schools. The districts will then disburse appropriated funds to schools within the district according to the number of pupils/students reported to be in a school.
According to the ministry, government provides Shillings 10,000 for each pupil under Universal Primary Education. Those under Universal Secondary Education are allocated 41,000 and 85,000 Shillings for Ordinary and Advanced level respectively.
In the past, the Ministry would request for the money from the central bank and disburse it directly to school accounts.
Jane Kansiime, head teacher KCCA Primary School in Kamwokya describes the new system as fantastic. "We get the money on time compared to the old system," she adds.
Kansiime explains that with the old system, at times money came late and it was hard to know whether it has been deposited or not.
Edward Kanoonya, head teacher Kololo Senior Secondary School, says that with the new system following up on issues is easy.
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Ketty Wekwale, Deputy Headmistress East Kololo Primary School, says that the new system enables district leaders to be informed about what is happening in schools. "District leaders are the ones that carry out head counts in schools and this helps fight inconsistencies about numbers of pupils and money received," she says.
According to the Ministry of Education, the system was changed to ensure effective use of the money to streamline payments and increase on efficiency of service delivery.
Under the country's capitation grants programme, pupils and students in either Universal Primary or Secondary Schools receive a stipulated amount of money every year.
In the past, schools have complained about delayed disbursed of this money which has affected the normal running of the schools.
At least half of the grant is supposed to be used for the procurement of instructional materials while one third goes to fund co-curricular activities like sports. The money also caters for utilities like water and electricity as well as for school administration.