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Storm in Parliament as Shs 8 Trillion Supplementary Borrowing Wins Approval

Senior Reporter
4 Min Read
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Parliament has approved Government’s proposal to borrow an additional UGX 8 trillion from external and domestic lenders to fund the 2025/26 national budget, raising the total budget from UGX 72.376 trillion to UGX 78.631 trillion.

The approval followed the presentation of three supplementary expenditure schedules by the Ministry of Finance, first on 20 October 2025, amounting to UGX 1.696 trillion, and two others on 2 December 2025, totaling UGX 1.652 trillion and UGX 4.756 trillion, respectively. Combined, the three schedules amount to UGX 8.104 trillion.

Presenting the Budget Committee report during the 2 December plenary sitting, Committee Chairperson Patrick Isiagi (Kachumbala County) outlined the financing plan: UGX 42.96 billion will be raised through Non-Tax Revenue, UGX 13.03 billion from Local Revenue, UGX 4.278 trillion from External Financing, and UGX 3.770 trillion through Domestic Borrowing.

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However, the supplementary requests drew sharp criticism from the Opposition. Led by Kira Municipality MP and Shadow Minister for Finance, Ssemujju Nganda, the Minority Report dismissed the schedules as an unlawful rewriting of the national budget.

“In my 14 years in Parliament, I have never seen a supplementary request that casually rewrites the national budget like this one,” Ssemujju argued. “The national budget can only be revised through supplementary expenditure in cases of genuine emergency—natural disasters or unforeseen crises. Yet here we are with UGX 459 billion requested under State House, including funds for youth mobilization for the NRM presidential candidate disguised as classified expenditure.”

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Ssemujju further criticized the speed and manner in which the Budget Committee handled the schedules, saying he was informed of the meeting less than ten hours before it took place. He warned that the new supplementary financing would significantly deepen Uganda’s public debt.

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“These Supplementaries have revised the budget to UGX 78 trillion, with far-reaching economic consequences. We were already set to borrow UGX 32 trillion for the approved budget. Now we are returning to commercial banks to borrow for all sorts of things,” he said.

Defending his dissent, Ssemujju said Parliament must protect taxpayers who continue to struggle with basic services.

“They walk long distances for water, give birth under torchlight, and wait for electricity poles erected five years ago to be connected. They deserve planning, not improvisation; fairness, not favouritism. We refuse to endorse waste or political convenience,” he stated.

His strong criticism led Speaker Anita Among to suggest that Ssemujju was using the debate for political gain. “We are in campaign time; we should appreciate what Ssemujju is going through,” she remarked. Ssemujju shot back: “That is unfair, Madam Speaker. You are the one doing campaigns. Where is the procurement plan and work plan?”

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Minister of State for Finance, Henry Musasizi, dismissed Ssemujju’s claims that the State House allocations were intended for NRM youth mobilization.

“We also have a flag bearer in this campaign, but this is a longstanding State House programme aimed at remodeling the Youth Livelihood Programme. It existed long before the election period. To insinuate that this money is for mobilizing NRM youths is completely not true,” Musasizi said.

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