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Institute expenditure reforms -IMF tells govt

Institute expenditure reforms -IMF tells govt
Monday May 31 2021
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Government must institute administrative reforms and cut back on non-priority expenditure to reduce pressure on resource mobilisation amid a dip in economic performance resulting from Covid-19, according to the International Monetary Fund (IMF).
Speaking during a virtual presentation of the 2021 sub-Saharan Africa Economic Outlook, Ms Izabela Karpowicz, the IMF resident representative, said Uganda needs to institute administration reforms that will emphasise reduction in expenditures compared to “normal” times as well as cutting expenditure in non-priority areas.
This, she noted, must be done while preserving social spending and ring-fencing resources for financing vaccine distribution.

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Uganda's debt sustainable, says IMF - Daily Monitor

Daily Monitor
Monday May 10 2021
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It is a misconception to assume that Uganda’s public debt is unsustainable, according to the International Monetary Fund (IMF), one of the country’s leading creditors.
The IMF Resident Representative for Uganda, Ms Izabela Karpowicz, whose institution has so far lent Uganda about $491.5 million (Shs1.7 trillion), noted that the country’s public debt levels are still within a manageable threshold in the long term.

She said: “We used to rate Uganda at low risk and now it will be moving to a medium risk and this is due to Covid-19…”
She added: “…It is not correct to say the debt is not sustainable over the medium and long term.”

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How rising public debt jumbles recovery efforts

Daily Monitor
Friday May 07 2021
Summary
Government insists it need to continue to borrow to finance the budget and other key spending pressures.
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Economists and non-governmental policy advocates have called for prudent public finance management, and warned of slow recovery in the coming financial year if government fails to tame appetite to borrow.
Speaking at a high-level policy dialogue on the economy in Kampala yesterday, the experts under the theme, Economic Recovery and Re-igniting Economic Growth, advised government to prioritise debt management and economic recovery.
This came after State Minister for Planning (Finance) David Bahati revealed that even with the rising public debt levels in the country, the government will continue to borrow to finance the budget and other spending pressures that are key to economic recovery.

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