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Budget and Covid dilemma: How did we end up here?

Patients suffering from tuberculosis outside a healthy facility in Nakapiripiriti  District in 2019. The  Health ministry was given Shs8 trillion for this financial year, which it says is insufficient. PHOTO/ RACHEL MABALA

What you need to know:

  • The action has left experts and analysts questioning the government capacity in planning.

The government has moved to slash budgets of ministries, departments and agencies by up to 40 per cent to raise Shs600b to fund the Covid-19 response, describing the pandemic as an “emergency.”

This comes less than a month after Mr Amos Lugoloobi, the State Minister for Planning,  while presenting the Budget said Shs560 billion had been put aside for procuring Covid-19 vaccines against the earlier pronouncement by the Health ministry that around Shs1.3 trillion would be needed to avail vaccines that cover a significant portion of the population.

The Shs600b for the multi-sectoral Covid-19 response is less than the Shs2.2 trillion that the government put aside last year.

The action has left experts and analysts questioning the government capacity in planning.

Some analysts signal that the move is a hidden agenda to swindle taxpayers money as it happened last year.

Dr Arthur Bainomugisha, the executive director of Advocates Coalition for Development and Environment (ACODE), told Daily Monitor yesterday: “What we see is erratic kind of planning, they are not being proactive, and they are just reactive. You have to be futuristic in terms of planning.”

“Covid-19 has been around and we cannot just remember and put supplementary budget. We have to prioritise health to protect our people first than anything else. When people are safe, then they can [think about] developing the country,” he said.

Government unveiled the Shs44.7 trillion budget for FY 2021/2022 on June 10 amid concerns from experts that it was largely silent on Covid-19 pandemic.

According to the Budget, human capital development where Health falls was given Shs8 trillion.

From this, Shs5.5 billion was going towards prevention and control of communicable diseases such as HIV/Aids, TB and malaria, in addition to other pandemics such as Covid-19.  

The October 2020 Covid-19 intervention report by the Budget Monitoring and Accountability Unit (BMAU) in the Finance ministry indicated that although resources were given to the Health ministry for Covid-19 response, there was delayed service delivery and procurement of substandard items in addition to inflating commodity prices.

Dr Madina Guloba, an economist at Economic Policy Research Centre (EPRC), said even after the 40 per cent slashing, the 2021/2022 Budget is not yet aligned to stage a good response against the Covid-19 crisis.

Dr Guloba said the biggest problem with the country is prioritising wrong sectors such as security even when it doesn’t play a central role in the response.

“Can we first put MPs and road construction works on hold and direct resources to critical areas such as improving hospital infrastructure, medical workers and availing vaccines for the population? Or we want to continue with the priority of giving MPs Shs200 million for vehicles,” Dr Guloba said.

“If you see the Budget, a lot of money is still going to security simply because someone [who controls everything] wants the money to be put there,” she said.  The pandemic started last year in March and even before the Shs44.7 trillion budget was passed by Parliament in May this year, health experts such as Dr Monica Musenero, the senior presidential adviser on epidemics, were warning the country about a severe second wave of the pandemic.

The rising numbers of infections and hospitalisations would see the Health ministry announce the start of second wave of the pandemic on May 5 after registering over 80 per cent increase in Covid-19 cases.

However, the Deputy Secretary to the Treasury, Mr Patrick Ocailap, and this week said government didn’t plan for the pandemic because they had not seen the lockdown and devastating effects of the second wave coming.

The Budget mainly focused on areas such as industrialisation and road construction even when it was clear that the health system was not adequately prepared.

Many public hospitals still lack or have limited capacity to handle Covid-19 cases and of the 42,000 beds that President Museveni had directed the Health ministry to establish to prepare for worst case scenario, but only 3,000 had been put in place.

Item


2020 cash for covid response


2021/2022 original allocation plus supplementary for Covid respons


The budget for the Multi-Sectoral Covid-19 response


Shs2.2 trillion


Shs600b


Covid-19 prevention (PPEs) and testing


Shs63.5b for masks

Shs5.5b for surveillance/testing 


Shs5.5b


Covid-19 vaccine procurement


Shs41b paid to UNICEF for procuring vaccines on behalf of Uganda.

Shs18.5b approved by parliament for procuring vaccines from India

Shs560b


In-kind and cash contributions from the public, private sector, and development partners towards Covid-19 response


$109,736,160 (Shs388b)


Yet to be determined


Setting up  oxygen plants


Shs6.4b


Shs94.9b


Establishing 42,000 beds for Covid-19 patients


Shs1.3b for 1000 beds


Yet to be determined


Establishing ICUs in hospitals


Shs42.3b


Shs11.5b


Ambulances and emergency services


Shs11b


Yet to be determined


Equipping Namboole


           

Shs3.8b

Yet to be determined


Mobile health facilities at border points


           

Shs7.5b

Yet to be determined