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Gov’t to support exporters

"Economies grow and flourish when they export. Those with capacity to produce and export, Government is here to support you," he emphasized.

Gilbert Akampa Kakurugu by Gilbert Akampa Kakurugu
June 18, 2024
in RELIGION
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PSST Ramathan Ggoobi speaking at the CSI Post-Budget Dialogue FY 2024/24 at Golf Course Hotel Kampala on Tuesday 18th June, 2024.

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By Leonard Kamugisha Akida, 
NATIONAL
The Permanent Secretary and Secretary to the Treasury, PSST Ramathan Ggoobi has retaliated government of Uganda’s commitment to support exporters for produces and services.

The PSST made these remarks while speaking at the one-day post budget dialogue FY 2024/25 organized by CSBAG in conjunction with ACODE and other partners at Golf Course Hotel Kampala, on Tuesday 18th June, 2024.

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In his remarks, Ggoobi said the government will support areas that will enhance export growth and development in the new financial year by creating a conducive environment that will help producers, manufacturers to access foreign markets and encouraged citizens to export.

“Exports drive economic growth and prosperity, and government is committed to supporting those with the capacity to produce and export,” PSST Ggoobi said.

“Economies grow and flourish when they export. Those with capacity to produce and export, Government is here to support you,” he emphasized.

According to the PSST, when households produce for the markets and export some of the produces, jobs are created, government collects much revenue meanwhile as the country’s gross domestic products grows.

The minister of finance, Matia Kasaija recently read to the nation a Shs72.1 trillion budget for the FY2024/25, with key priorities in; investing in the people of Uganda in health, wealth creation initiatives, accessing capital and Capitalizing women enterprises and graduate women owned business into bigger enterprises, supporting exporters of manufactured goods and large scale commercial farmers.

Although the government strategy is to grow the economy, many Ugandans including policy analysts, economists and politicians are worried about the country’s accumulating debt burden caused by frequent borrowing to finance the budget.

Julius Mukunda, Executive Director of the Civil Society Budget Advocacy Group (CSBAG)

Julius Mukunda, the Executive Director CSBAG says that there is a need to address the question of debts in order to achieve the Budget outcomes. He tasked the government to avoid domestic borrowing, noting that borrowing should be done mostly for infrastructure developments.

The CSBAG ED further noted that the FY 2024/25 budget doesn’t address the nation’s challenges but catering for the preference of MPs and other leaders.

“As CSOs and citizens of Uganda we should take seriously how govt spends our money, utilise feedback platforms provided by government effectively, engage leaders, monitor and demand for results. Citizens also need to speak out on issues that distort planning and budgeting process,” Mukunda said.

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He urged the government to invest in projects with sure returns and avoid risky investments which jeopardize the country’s economy.

Responding to Mukunda’s comments, the PSST said financing of the budget will be for Ugandans by paying taxes and assured the country of the critical strategic investments.

“We are trying our best to borrow for only strategic areas. In Uganda, we don’t borrow money to give people to go and buy expensive cars and go to benchmark somewhere, No! We borrow for a strategy. We are going to borrow for SGR, some new roads in tourism areas, electricity,” he said.

On the other hand, the Executive Director of ACODE, Dr. Arthur Bainomugisha observed that Uganda is ranking well in budget transparency and creating awareness but identified gaps in accountability and lack of inclusive economy.

Dr. Arthur Bainomugisha, Executive Director of ACODE.

He applauded the government of Uganda for ensuring economic growth with steadfast as compared to other countries in the region.

“Our economy has been doing well comparatively. In the region the economy has done quite well averaging economic growth of 5.5% and 6% by the end of the financial year,” Bainomugisha said.

He suggests that the government considers challenges like climate change, regional global geopolitical tensions, debt servicing and corruption if the budget is to achieve its goals.

Tags: ACODEArthur BainomugishaCSBAGDr. Arthur BainomugishaJulius MukundaPost Budget Dialogue

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