The activities for the Uganda Export Promotion Board – UEPB risk being stifled after Parliament proposed suspension of funding for the entity in the Financial Year 2022/2023 due to absence of a governing body.
This was brought to floor of Parliament by lawmakers on the Committee of Tourism, Trade and Industry led by Mwine Mpaka Rwamirama, who doubles as the Mbarara City South lawmaker.
UEPB is a public trade support institution established to coordinate the development and promotion of Uganda’s exports. It is the national focal point for export promotion and development supervised by the Ministry of Trade, Industry and Cooperatives.
The proposed budget allocation for the Board is 6.4 billion for 2022/2023 Financial Year. But Mpaka disclosed that the Board should not be funded because they have been operating without a governing body for the past three years.
“Considering the functions of the board, the existence of the Board as a governing body is paramount and all the processes carried out with the aim of seeking approval of budget estimates by Parliament are rendered irrelevant since they bear no legal push,” said Mpaka.
Adding that, ‘It is a glaring fact that the budget estimates were not prepared in accordance with the law and did not go through the required approvals. As such, the committee did not approve them and Parliament should not appropriate funds in this regard.”
Tororo North County MP, Geoffrey Ekanya also made it clear that if Government does not strengthen the Export Promotion Board, the country risks losing external sources of revenue.
David Bahati, the Minister of State for Industry told the House that government will appoint a board before the start of the next financial year, adding that the appointment of the Board is already being discussed by Cabinet. “There are just a few queries and by the end of June, we shall have a board in place,” said Bahati.
However, the committee insisted that the Board be constituted with immediate effect or seek disbandment or merger to avoid unnecessary government expenditure.
The Speaker of Parliament Anita Among Annet ruled directing the Board to be funded, but gave the Ministry up to May to ensure the new Board is established and inaugurated.
“We do not want to cripple operations of these institutions; we will give them money on condition that a board is put in place. Let us give the minister up to May to constitute the Board as we continue with appropriation,” said Among.
According to the Minister of State for Trade Tourism, Wildlife and Antiquities, Martin Bahinduka Mugarra, tourism sector is a key source of revenue to the Government that should not miss funding, saying the sector employs over 500,000 Ugandans, and fetches the country at least 1.6 billion annually, seven percent of Gross Domestic Product – GDP.