Written By | Joshua Nahamya
Aloysious Kitengo goes on with the training
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Bushenyi
The intervention of SEATINI Uganda has yielded significant results in local revenue mobilization, with Bushenyi-Ishaka Municipality increasing its annual collection from Shs 600 million to Shs 1.5 billion.
This remarkable growth was revealed during a stakeholders’ engagement held on Wednesday at Tuzza Hotel in Bushenyi, under the STRID project (Sustaining Tax and Revenue Improvement for Development).
Councillors, Technocrats, and traders in Bushenyi-Ishaka municipality during the 4-Day training on local revenue enhancement
According to Aloysious Kitengo, Programme Coordinator for Financing for Development at SEATINI Uganda, the project is funded by the Embassy of Ireland and is being implemented in five municipal councils and five town councils across the country. The selected municipalities include Bushenyi-Ishaka, Mityana, Apac, Moroto, and Kotido, while the town councils are Nakapiripirit, Napak, Nakasongola, Kasanda, and Isingiro.
“The project was initially designed for newly created cities, but after discussions with the Embassy of Ireland, it was redirected to support urban authorities aspiring to city status,” Kitengo explained.
The three-year project, which runs from October 2024 to October 2027, aims to strengthen local revenue systems, enhance transparency and accountability, and reduce dependence on donor funding and borrowing.
Technocrats and Councillors Bushenyi-Ishaka Municpality attending SEATINI training on revenue enhancement at Tuzza Hotel, Bushenyi
Key Challenges Identified
During the engagement, participants highlighted several obstacles hindering revenue collection, including:
SEATINI officials urged local governments to allocate more locally generated revenue toward production, infrastructure, and service delivery rather than recurrent administrative costs. They also called for harmonization between local governments and the Uganda Revenue Authority (URA) to eliminate double taxation.
Samuel Kumwesiga, Head of Finance Bushenyi-Ishaka Municipality
Fiscal Social Compact
Jane Nalunga, Executive Director of SEATINI Uganda, emphasized the need for a Fiscal Social Compact — an agreement between taxpayers and duty bearers — to build trust and encourage voluntary tax compliance.
“If taxpayers see their money being used well, they will pay willingly,” Nalunga stated.
Bushenyi-Ishaka Municipality officials, led by Mayor Richard Byaruhanga, welcomed the support from SEATINI and pledged to crack down on corruption within the revenue collection chain.
Head of Finance, Samuel Timwijuka, revealed that the municipality collected Shs 1.2 billion last financial year and is on course to perform even better this year. The project also seeks to integrate the Parish Development Model (PDM) with Local Economic Development (LED) to boost production and expand the revenue base at the local level.
Torch Media Africa
