KAMPALA, Uganda – The Ugandan government has allocated over UGX 720 billion in the 2025/26 national budget for various private ventures and debt repayments, drawing sharp criticism from opposition Members of Parliament.
The allocations include UGX 465 billion for the ongoing construction of the International Specialised Hospital in Lubowa, UGX 247 billion for compensation payments to the Democratic Republic of Congo (DRC), and UGX 60 billion for purchasing preferential shares in Roko Construction Company.
These details were revealed by Kira Municipality MP, Ibrahim Ssemujju Nganda, while presenting the Minority Report on the National Budget Estimates for the Financial Year 2025/26 to the Budget Committee on Thursday, May 15, 2025. He heavily criticized these allocations, stating that public debt payments will dominate the recently approved UGX 72.376 trillion budget.
Ssemujju alleged that “part of the UGX 27.3 trillion debt servicing includes UGX 465 billion for President Museveni’s Italian associate, Enrica Pinetti. This money will be deposited in an escrow account accessible only by her.” He added that Pinetti had already received UGX 298 billion under Supplementary Schedule Three. With this new allocation, Ssemujju claimed, Pinetti will have received a total of UGX 1.239 trillion for the Lubowa project. He reiterated Parliament’s previous resolution that no more funds should be allocated to the project until a value-for-money audit is conducted, asserting that the current funding is suspicious as no such audit has been performed.
Oyam District Woman MP, Santa Alum, also condemned the continued allocation of public funds to private entities while critical public services remain underfunded. “We are struggling to finance the Parish Development Model, yet we are giving billions to individuals like Roko, Pinetti and others,” she stated, questioning the prioritization of funds when essential sectors like roads are pleading for funding.
The Leader of the Opposition, Joel Ssenyonyi, echoed similar concerns, deeming the allocations unjustifiable. He criticized the continued “handing out free money to companies like Atiak Sugar Factory, Dei BioPharma Ltd, Roko Construction, and Inspire Africa Coffee Factory,” while government service providers go unpaid.
Government Defends Allocations
Despite the strong objections, Speaker of Parliament Anita Among defended the Lubowa Hospital project, asserting that construction had progressed significantly and the facility would soon be operational. “I invite you all to visit Lubowa Hospital. We are about to open,” she said, offering to personally visit the site with the Leader of the Opposition.
Minister of State for Finance, Henry Musasizi, also justified the allocation, stating that all expenditures were in line with Parliament-approved project costs. He acknowledged initial challenges with the project but affirmed its steady progress.
Controversial Payments Detailed
Ssemujju also opposed the UGX 247 billion payment to the Democratic Republic of Congo (DRC), claiming it is compensation for atrocities allegedly committed by Uganda People’s Defence Forces (UPDF) soldiers during their deployment in the late 1990s. He specifically cited “rapes, looting of gold, diamonds, and timber—atrocities committed during Gen. Tibuhaburwa’s 1998/99 invasion,” adding that Uganda is paying 6% interest on the outstanding balance, with an additional UGX 40 billion earmarked for the DRC in the budget.
The International Court of Justice ruled in 2022 that Uganda must pay US$325 million (approximately UGX 1.2 trillion) to the DRC for damages, with US$65 million to be remitted annually. This compensation includes US$225 million for harm to individuals, US$40 million for damage to property, and US$60 million for exploitation of natural resources.
Furthermore, Ssemujju objected to the UGX 60 billion allocation for Roko Construction Company, which is part of a five-year UGX 207.13 billion bailout approved by Parliament in July 2022. He revealed that by May 31, 2022, Roko’s debts had reached UGX 419 billion. Ssemujju argued that this payment has become a public debt, alleging that President Museveni intervened due to Roko’s proprietors being his “comrades from the bush war,” effectively meaning the government is borrowing to pay someone else’s debt. He cited the Auditor General’s December 2024 report, which flagged the share purchase as irregular and warned of potential legal disputes.
Another contentious allocation is the UGX 14 billion to clear debts incurred by the Uganda Muslim Supreme Council under Mufti Sheikh Shaban Mubajje. Ssemujju accused Mubajje of mismanaging council assets and altering the constitution to cling to power. He claimed Mubajje sold council land in Sembabule to two different buyers, leading to a lawsuit that secured an order to attach UMSC property, including the national mosque, which the government is now seeking to cover with taxpayer money.
Despite strong objections from the opposition, Parliament approved Uganda’s UGX 72.376 trillion national budget for the 2025/26 financial year, including these controversial allocations.
