Edward Akol (L), the Auditor General, hands over the annual report to Thomas Tayebwa, the Deputy Speaker of Parliament
HABARI DAILY I Kampala, Uganda I The 2024/2025 annual Auditor General’s report highlights a 40% surge in government revenue, largely driven by petroleum sector growth (69%) and tax improvements.
“This surge brought the total domestic revenue to Shs 32.357 trillion (approximately $8.6 billion), compared to Shs 22.098 trillion earned in the the previous fiscal year,” reads part of the report.
The Auditor General’s report typically includes an assessment of financial statements, evaluations of entity performance, and, for the 2024 period, a specific focus on forensic audits and IT system audits.
Issued by Edward Akol, the Auditor General recently, the report, which was recently submitted to the Speaker of Parliament for accountability, however flagged significant procurement inefficiencies, including 100% cost variations and poor management of the Parish Development Model (PDM), alongside ongoing investigations into fraud at the Bank of Uganda.
Key Findings
Concerning revenue performance, Government’s total revenue grew to Shs 30.885 trillion, with VAT rising by 26%. Despite this, the tax-to-GDP ratio remains below 15%, missing the IMF recommended threshold.
For expenditure and debt, the report pointed out that while revenue grew, total expenditure also rose to Shs 46.966 trillion, leading to a high fiscal deficit and high reliance on debt. The report also highlighted procurement irregularities.
“We identified persistent cost variations (up to 100%) for similar goods and services across ministries, alongside unplanned procurements,” reads part of the report.
It called for special investigations into Bank of Uganda. “A Shs 60 billion fraud was identified regarding redirected debt service payments at the central Bank,” further reads the report.
It also touched on Uganda Airlines, saying that continued mismanagement has persisted, putting the future of the organization at stake.
The Auditor General’s report also touched on the Parish Development Model (PDM), highlighting issues such as diversion of funds, delayed disbursement, and the funding of non-existent projects.
The 2025 audit cycle included 3,567 audits (out of a 3,762 target), covering 123 Ministries, Departments, and Agencies (MDAs), 97 Statutory Bodies, and over 2,000 local authorities.
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