• Latest
BOU Concerned About Delays in Financial Sector Amendments

Bank of Uganda Dispels Reports Claiming Gov’t Has Failed to Pay Shs11tn Debt

3 years ago
Museveni Pledges $500bn Economic Leap, Rejects Politics of Age and Careerism

Museveni Pledges $500bn Economic Leap, Rejects Politics of Age and Careerism

9 hours ago
Museveni Duly Nominated as Sole Candidate for NRM Chairman and 2026 Flagbearer

Museveni Duly Nominated as Sole Candidate for NRM Chairman and 2026 Flagbearer

11 hours ago
Magogo Re-Elected FUFA President, Sets Bold Agenda for 2025–2029 Term

Magogo Re-Elected FUFA President, Sets Bold Agenda for 2025–2029 Term

11 hours ago
Pictorial: Vibe, Dance and Fanfare as Museveni Arrives for NRM Nomination

Pictorial: Vibe, Dance and Fanfare as Museveni Arrives for NRM Nomination

11 hours ago
TikTok Tops Traffic: A Snapshot of Uganda’s Social Media and Streaming Platform Usage

TikTok Tops Traffic: A Snapshot of Uganda’s Social Media and Streaming Platform Usage

1 day ago
Among Faces Kadaga as Key Contenders Vie for NRM Entrepreneurs League Vice Chair

Among Faces Kadaga as Key Contenders Vie for NRM Entrepreneurs League Vice Chair

1 day ago
SoftPower News
Sunday, July 6, 2025
  • News
  • Tourism & Travel
  • Business
  • Lifestyle
    • Fashion
  • Regional
    • Kenya
    • Rwanda
    • Tanzania
    • Burundi
    • South Sudan
    • DR Congo
  • Defence & Security
  • Sport
  • Entertainment
  • More
    • Agriculture
    • Africa
    • Columnists
    • Education
    • Health
      • COVID-19
    • International News
    • News in Pictures
    • OpEd
    • Pearl Of Africa
    • People
    • Politics
    • Special Reports
    • Women
No Result
View All Result
  • News
  • Tourism & Travel
  • Business
  • Lifestyle
    • Fashion
  • Regional
    • Kenya
    • Rwanda
    • Tanzania
    • Burundi
    • South Sudan
    • DR Congo
  • Defence & Security
  • Sport
  • Entertainment
  • More
    • Agriculture
    • Africa
    • Columnists
    • Education
    • Health
      • COVID-19
    • International News
    • News in Pictures
    • OpEd
    • Pearl Of Africa
    • People
    • Politics
    • Special Reports
    • Women
No Result
View All Result
SoftPower News
No Result
View All Result
Home Business

Bank of Uganda Dispels Reports Claiming Gov’t Has Failed to Pay Shs11tn Debt

by Muhamadi Byemboijana
September 21, 2022
BOU Concerned About Delays in Financial Sector Amendments

Deputy Governor Bank of Uganda, Micheal Atingi-Ego

11
VIEWS

Bank of Uganda, has dismissed reports  that government has failed to pay it (Central Bank) Shs 11 trillion, it allegedly borrowed.

In a September 20, statement, the Central Bank was responding to an article titled: “Govt fails to pay Shs11t BoU debt,” published in the Saturday Monitor of September 17, 2022.

Related Stories

Museveni Pledges $500bn Economic Leap, Rejects Politics of Age and Careerism

Museveni Duly Nominated as Sole Candidate for NRM Chairman and 2026 Flagbearer

Magogo Re-Elected FUFA President, Sets Bold Agenda for 2025–2029 Term

The article alleged that Government, has excessively borrowed (UGX 11 trillion) from the central bank (BoU) outside the permissible limits.

However, the Central Bank clarified that, “Section 4 of the Bank of Uganda Act, 2000 mandates BOU to perform the functions of Banker to Government and Agent of Government in financial matters. As a Banker to Government, BoU can grant advances to Government in accordance with the Bank of Uganda Act, 2000 and the Public Finance Management Act, 2015 (as amended).”

BoU added that in line with these laws, Government obtained an advance of UGX 2.1 trillion in FY 2020/21, which was subsequently repaid in full, saying, Since then, no such borrowing has taken place.

“Therefore, Government has not borrowed UGX 8 trillion and there is no such outstanding loan to BOU as purported in the article,” it said.

The central bank, noted that as an Agent of Government in financial matters, it manages the issuance and redemption of domestic debt securities on behalf of Government, and this entails prompt repayment of matured government securities to investors.

It explained the current outstanding amounts due from Government to BoU relate to reimbursable attributed to this role.

According to the Bank, as at 30 June 2021, the outstanding reimbursables to BoU stood at UGX 3.033 trillion, adding that During the FY 2021/22, BoU made repayments of matured securities to investors worth UGX 11.940 trillion and received reimbursements from Government worth UGX 11.602 trillion.

“Therefore, Government’s outstanding reimbursables to BoU as at 30 June 2022 stood at UGX 3.371 trillion,” the Central Bank revealed.

It says that in the current financial year (FY 2022/23), BoU has made further repayments of matured securities worth UGX 2.510 trillion and received reimbursements from Government worth UGX 1.871 trillion; resulting in outstanding reimbursables of UGX 4.010 trillion as at 15 September 2022.

“Detailed plans for Government to fully reimburse BOU, on account of this role, are in place” the bank added in its statement.

It further explained that the Service Level Agreement signed between Government and BoU is intended to operationalise the existing laws referred to above and does not purport to create or give any new mandate to BoU outside the laws.

Tags: Bank of UgandaGovernmentShs 11tn DebtSoft PowerSoftPower NewsTop News Uganda

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *


The reCAPTCHA verification period has expired. Please reload the page.

Recent Stories

Museveni Pledges $500bn Economic Leap, Rejects Politics of Age and Careerism

Museveni Duly Nominated as Sole Candidate for NRM Chairman and 2026 Flagbearer

Magogo Re-Elected FUFA President, Sets Bold Agenda for 2025–2029 Term

Pictorial: Vibe, Dance and Fanfare as Museveni Arrives for NRM Nomination

TikTok Tops Traffic: A Snapshot of Uganda’s Social Media and Streaming Platform Usage

Among Faces Kadaga as Key Contenders Vie for NRM Entrepreneurs League Vice Chair

Stanbic Bank Ad
SoftPower News Logo

SoftPower News is a subsidiary of SoftPower Communications LLC, a Ugandan digital media group. Keep posted of the latest from Uganda and East Africa.
Plot 4B Malcolm X, Kololo
P.O Box 1497, Kampala - Uganda
Tel: +256-392-001-701
Email: info@softpower.ug

This news site is licenced by Uganda Communications Commission (UCC)

ADVERTISEMENT
Stanbic Remittance Ad
  • News
  • Tourism & Travel
  • Business
  • Lifestyle
  • Regional
  • Defence & Security
  • Sport
  • Entertainment
  • More

© SoftPower News

error: Content is protected
No Result
View All Result
  • News
  • Tourism & Travel
  • Business
  • Lifestyle
    • Fashion
  • Regional
    • Kenya
    • Rwanda
    • Tanzania
    • Burundi
    • South Sudan
    • DR Congo
  • Defence & Security
  • Sport
  • Entertainment
  • More
    • Agriculture
    • Africa
    • Columnists
    • Education
    • Health
      • COVID-19
    • International News
    • News in Pictures
    • OpEd
    • Pearl Of Africa
    • People
    • Politics
    • Special Reports
    • Women

© SoftPower News