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Graft costs Uganda $100 m a year

2001-04-16 18:05
line

Kampala - Uganda loses up to 115 million dollars through corruption in the government each year, an NGO report released here on Monday said.

The Uganda Debt Network (UDN), which is campaigning for a reduction of the country's foreign debt, said its report was compiled from careful scrutiny of official reports of the Auditor General, which it said exposed "just a tip of the iceberg."

UDN official Zie Gariyo told reporters that "embezzlement, fraud, diversion of public funds are the main channels through which the loss occurs, with some more lost through improper accountability."

He added: "The list of public enterprises where huge chunks of public resources have been misused reads like the Who's Who of Uganda."

Gariyo said the UDN report catalogues how public officials have abused their offices and misused public resources, and gives as an example local government authorities who divert money meant for social services such as education.

He said that Uganda, ranked 11th in the list of the world's most corrupt countries, would be able to reduce its debt burden if more stern measures were instituted by the government to fight corruption.

Uganda's foreign debt is currently put at 3.65 billion dollars, while debt servicing eats up a big chunk of its budget. Donors fund 63 percent of Uganda's development budget.

According to the UDN report, the Ugandan treasury loses 200 billion shillings ($115 million) every year through corruption in government departments, particularly at high levels, involving both public officials and influential politicians.

Up to $ million dollars has been lost in the last seven years, the report said. - Sapa-AFP

- SAPA

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