The Minister of State for Finance, Henry Musasizi, has reaffirmed government’s commitment to transparency, accountability and prudent management of Uganda’s petroleum revenues, saying a robust multi-sectoral institutional framework has been established, trained and coordinated ahead of the country’s first oil production.
Speaking during a meeting with Parliament’s Committee on Finance convened to review the annual report of the Petroleum Fund on Thursday, Musasizi said the government has deliberately strengthened systems and institutions to ensure that oil revenues are effectively managed, invested and transparently reported for the benefit of all Ugandans.
“We have put in place and strengthened a multi-sectoral institutional framework that is well trained and coordinated to ensure effective management, investment and transparent reporting of Uganda’s petroleum revenues. Our objective is to guarantee that these resources are utilized prudently and in accordance with the law to support national development priorities,” he said.
Musasizi was accompanied by technical teams from the Uganda Revenue Authority (URA), the Petroleum Authority of Uganda (PAU), and the Uganda National Oil Company (UNOC).
The agencies provided detailed insights into revenue collections, regulatory oversight and operational readiness as the country prepares for commercial oil production.
Musasizi outlined that the primary sources of revenue to the Petroleum Fund include tax revenues from companies engaged in petroleum exploration and development, as well as non-tax revenues such as proceeds from the sale of geological data, surface rentals, training and licensing fees, signature bonuses and related charges.
In accordance with Section 56 of the Public Finance Management Act (PFMA) Cap 171, the Minister reported that Shs115.4 billion was transferred from the Petroleum Fund to the Consolidated Fund to support the national budget for the Financial Year 2024/2025.
In addition, Shs166.5 billion was allocated to facilitate the operations of UNOC during the same period.
“These transfers were executed strictly within the provisions of the PFMA to ensure that petroleum resources contribute meaningfully to the annual budget while also enabling our national oil company to fulfill its mandate effectively,” he said.
Musasizi further disclosed that as of 30 June 2025, the Petroleum Fund was valued at Shs131.27 billion, compared to Shs145.98 billion recorded at the close of the previous financial year.
He attributed the changes in the Fund’s balance to authorized withdrawals and ongoing financial management processes in line with statutory requirements.
Musasizi emphasized that transparency remains central to the management of the Fund, revealing that all statutory semi-annual and annual financial statements for both the current and prior periods have been prepared and duly audited by the Auditor General.
“Our commitment to transparency and accountability is unwavering. All financial statements have been prepared and audited as required by law, reinforcing public confidence in the management of Uganda’s petroleum revenues,” he said.
Parliament’s Committee on Finance is expected to continue scrutinizing the report as part of its oversight role to ensure that Uganda’s emerging oil and gas sector delivers sustainable value to the country’s economy.
