“We shall continue borrowing because there is no choice.”Minister Misasizi

Reading Time: < 1 minute

“We shall continue borrowing because there is no choice.”Minister Misasizi

#Uganda #UgandaNews #News #WhisperEyeNews

The state Minsiter for General Duties in the Ministry of Finance Hon Henry Musasizi while appearing on a political talk show yesterday said that Uganda has no choice but to continue borrowing to run the affairs of the country even after crossing the red borrowing line.

His words came after he was asked why Uganda keeps borrowing even when we have exceeded over 50% of the borrowing to budget ratio something that shows that as a country we borrow too much.

The Minsiter said that the too much borrowing is because many Ugandans do not pay taxes yet they want good services something that forces government to borrow inorder to quench the thirst demands of its citizens.

“You are likely to see more borrowing because of the pressures we are experiencing. Can we stop borrowing? No, because we use the funds to finance the budget, and we don’t collect enough through taxes. ” He said

The Minsiter said Uganda through the tax collecting body the Uganda Revenue Authority are finding means of being able to collect more revenue from citizens especially those from the informal sector who do not pay direct taxes from returns of their business profits.

He added the tax collecting body can only manage to collect 13% of the potential tax targets due to a number of factors like People evading taxes, avoiding them, failing to file tax returns as well as some bit of corruption in the tax body.

Sponsored Articles