Sunday, November 24, 2024
Home > News > Museveni To URA: Improve Revenue Collection & We’ll Stop Borrowing
News

Museveni To URA: Improve Revenue Collection & We’ll Stop Borrowing

President Yoweri Museveni (2nd Left) commissioned the URA At 30 Monument. He was accompanied by First Lady Janet Kataha Museveni. Looking on are Finance Minister Matia Kasaija (3rd Right), URA Commissioner General John R. Musinguzi (2nd Right) and URA Board Chairman, Juma Kisaame

President Yoweri Museveni has urged the management of Uganda Revenue Authority to eradicate corruption in the tax body and realize enough revenue to finance the country’s budget.

The President also wants URA to increase the country’s tax to GDP ratio from about 14%  to around 20%.

Museveni made the remarks Wednesday afternoon as the Chief Guest at the thanks giving ceremony held at Kololo Independence Grounds in commemoration of 30 years of Uganda Revenue Authority (URA).

“The performance of the country’s revenue collection can be gauged by a universal yardstick, the tax to GDP  ratio. If our GDP is US$ 44 billion, our budget now is 40 trillion. If you collect 20% of the GDP, you get almost enough money to finance the budget,” said Museveni, who was accompanied by the First Lady and Minister of Education and Sports Janet Kataha Museveni.

The event was graced by religious leaders, former and current administrators of URA, heads of various government departments and ministries and CEOs of top corporate organizations among others.

The main celebrant at the service was the National Overseer, Association of Pentecostal and Evangelicals in Uganda Bishop Joshua Lwere and the guest speaker was the Bishop of South Ankole Diocese the Rt. Reverend Nathan Ahimbisibwe.

President Museveni pointed out that the Shs19trillion  revenue collected in 2020/21 of is far below the needed funds to finance the country’s budget, leading to the tendency of borrowing internally and externally.

“We shall expose those who steal the money. If you are honest you have a clear way forward in your life. You hear that I am now 77years. I have gone through a lot of difficulties, but if you are working for God and the people! Therefore eradicate Judaism (corruption),” he said.

Museveni told the audience the background of Uganda Revenue Authority, noting that from its inception the tax GDP was 4% that gradually moved to 10 % after some reorganization of the tax institution and has now stagnated at about 13% due to embezzlement of revenue collections.

President Museveni noted that the hemorrhage in tax collection is mainly rampant at the border points where goods brought into the country are either under or falsely declared due to absence of scanners causing heavy losses in revenue collection.

“The problem with URA is arrogance. You try to guide them but they don’t act. Scanners or X-ray machines will eliminate smuggling of goods. Modern technology simplifies work but my people have been avoiding this technology for reasons best known to them,” Museveni said.

The President was however happy to learn that after his long struggle, the customs officials had finally acquired 39 scanners that will supplement the six scanners already at border entry points.

Taddewo William Senyonyi
https://www.facebook.com/senyonyi.taddewo
William is a seasoned business and finance journalist. He is also an agripreneur and a coffee enthusiast.

Leave a Reply

Your email address will not be published. Required fields are marked *