Uganda national public debt has increased to a high level of 98% due to stimulus misuse of public funds as well as income inequality or economical imbalance in the country.
Confidential information from different sources has come to us (Tv10 ganomazima) News department showing the index of the threshold percentages of African Low-income countries, Uganda is reaching 98%in both external and internal public debts.
The national budget which equals to 72.1 trillion for the financial year 2024 – 2025 increased from 52.7 trillion of the 2023 – 2024 financial year budget due to increase of Government public expenditure.
The source reveals that the budget increase is due to increase of misuse of public funds and corruption in government ministries and thus also leads the increase of public debts.
The Uganda’s increase of public expenditures and ministry of finance mismanagement of public funds, and corruption in government ministries has led to high level of borrowing leading to a fast accumulation of public debts over the past years.
Before the pandemic from 2018 – 2019 financial year budget the public debt was 34.6% and this surpasses the International monitory fund (IMF) and it increased again as a factor in the pandemic financial years of 2020 – 2021and again raise in 2022 – 2023 to 50.6%.
The source expressed concerns of the facts that the increased terms of the Uganda’s deficit budget as of the year 2024 – 2025 financial year, will absolutely led to an increase of 100% the public debt in the next financial year of 2025 – 2026 from the 98% debt of the current financial year 2024 – 2025.
Because of the widespread of unemployment by the increased tax revenue due to multiple factors of public debt increase every financial year, generally account for shap rises in the national debts.
By wakisafredw@gmai.com
