Govt denies being cash strapped

The Minister of Finance planning and Economic Development Matia Kasaijja refutes reports that government is cash strapped and has resorted to borrowing to pay salaries.

This, follows reports indicating that government had failed to raise money to pay its workers and that 738 billion shillings was to be borrowed from the local market to meet this obligation.

Minister Kasaijja however says that government is not broke since it has already paid 75% of all salaries but explains that due to a shortfall in revenue, government is borrowing the 738 billion but only 48 billion shillings will be used to pay salaries for the final quarter of this financial year.

Meanwhile, addressing Journalists at the media centre, government has started scaling down the number of staff travelling abroad as part of the wider government austerity measures.

Finance Minister Matia Kasaija says his ministry will no longer allow a delegation of more than two people to travel abroad.

He also says that his travels will be restricted to only 4 times in a financial year instead of 10 like he has had in the past

This he says will be replicated throughout Government departments in line with a cabinet decision to save money by reducing on travel expenses.

Story by

Kenneth Lukwago

February 20 2018