The Ministry of Finance has launched the budget month, telling Ugandans to prepare for tough times ahead because commodity prices are not about to reduce.
According to Minister Matia Kasaija, the government will not provide any subsidy, entertain requests for minimum wage or reduce taxes despite the escalating commodity prices.
“Removing taxes is not a solution. The solution lies in production for people to get more income. We have put so much in the system, use the money to generate more income for yourself,” Kasaija said.
The minister made these remarks while launching the Budget month for Financial Year 2022/23 at the media centre in Kampala on Tuesday.
He said that Ugandans should brace themselves for tough times ahead because government will not have money if taxes are removed.
Kasaija’s comments came at a time when several Ugandans have been urging government to intervene and reduce taxes on commodities amid the rising cost of living.
Last week, opposition strongman Kizza Besigye attempted to protest the high prices of commodities by walking to the city centre, but he was stopped and continues to be locked in his Kasangati home.
Minister Kasaija said that “striking is not solving the problem! The needs of this country are tremendous.”
Kasaija said that the Budget will be aiming at achieving three broad objectives under the theme of “Full monetisation of the Ugandan Economy Through Commercial Agriculture, Industrialisation, Expanding and Broadening services and Digital Transformation and Market Access.”
Permanent Secretary/Secretary to the Treasury, Ramathan Ggoobi said that the Budget this time will be for the people.
“The budget is pro-poor because the largest share of the budget is going into human capital development. There are no new taxes and we haven’t increased them. We want to make taxes more affordable to pay,” Ggoobi said.
