Mbarara City Council Cuts 2024/2025 Budget by 15 Billion Shillings

The Ankole Times
Mbarara City

Mbarara City Council is facing a tighter budget for the upcoming financial year (2023/2024). They approved a reduced budget of 51.4 billion shillings, down from 66.89 billion shillings the year before.

This decrease is due to the completion of the Uganda Support to Municipal Infrastructure Development (USMID) program, which provided 23 billion shillings for road construction this year. The funds financed the building of Major Victor Bwana Road, Galt Road, and Stanley Road.




Despite the reduction, the council expects to collect more local revenue next year – approximately 10 billion shillings, compared to 9 billion shillings this year. Additionally, government transfers will contribute 35.329 billion shillings.




To further increase revenue, proposals were made to raise income from various sources. These include:




  • Nyakayojo Matooke market: Increase monthly collections from 10 million shillings to 16 million shillings.
  • Central market: Raise rental fees from 390 million shillings to 500 million shillings.
  • Local service tax: Boost collections from 656 million shillings to 800 million shillings.

The approved budget prioritizes several key areas:

  • Construction of the Katete Bridge (5.2 billion shillings).
  • Procurement of land titles for council land.
  • Opening new roads and maintaining existing ones.
  • Support for health unit infrastructure (800 million shillings).

However, not everyone is happy with the budget. Milton Mugume, a local trader, criticized the plan for not addressing taxpayer concerns. He pointed out that street lights remain unrepaired and the drainage system needs attention, while the council continues to collect taxes.

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