Construction of the Hoima City stadium is set to commence following Parliament’s approval of the necessary Shs152 billion from the Shs288.6 billion Supplementary Budget Schedule No.03 on Thursday, 16 May 2024, in preparation for the African Cup of Nations (AFCON) in 2027.
The Supplementary Budget Schedule No. 03 for the financial year 2023/2024 was endorsed by Parliament during a plenary session overseen by Speaker Anita Among.
In September 2023, the Confederation of African Football (CAF) granted the hosting rights for the 36th edition of AFCON 2027 to Uganda, Kenya, and Tanzania through the East Africa joint Pamoja Bid. The Hoima City stadium is among the venues designated to host the games.
Hon. Henry Musasizi, the Minister of State for Finance, Planning, and Economic Development (General Duties), mentioned that the Shs152 billion serves as an advance payment for the commencement of construction at the Hoima City stadium.
“This funding will allow the contractor to initiate the construction of the stadium, ensuring its completion before the CAF’s deadline of 31 December 2025 for Uganda to co-host the 2027 AFCON,” stated Musasizi.
Additionally, lawmakers approved Shs132.6 billion to facilitate Uganda National Oil Company (UNOC) in acquiring additional equity in the East African Crude Oil Pipeline (EACOP).
“The funding is necessary to meet the financial obligations resulting from delayed inflows by financiers and must be in place before July 2024,” Musasizi explained.
He clarified that both projects will be financed by the Petroleum Fund, as per Section 59(3) of the Public Finance Management Act, allowing the Ministry of Finance to utilize the funds for infrastructure development.
“Our petroleum fund currently holds Shs400 billion, and I propose to utilize Shs284.6 billion in accordance with the Public Finance Management Act to support the equity acquisition in EACOP and the construction of the Hoima City stadium,” Musasizi added.
Furthermore, Shs2.5 billion was allocated to the Uganda Blood Transfusion Services to aid in blood collection, processing, and distribution for the current quarter.
Similarly, the Uganda Embassy in Geneva received Shs1.4 billion to address outstanding dues related to rent, salaries, medical insurance, and utilities.
“These payments need to be settled by the end of the financial year to prevent legal action from landlords, service providers, and contract staff,” emphasized Musasizi.
He noted that the budgets for Uganda Blood Transfusion Services and the Swedish Embassy will be covered through savings from the wage bill after an audit.
However, Hon. Ibrahim Ssemujju, the Member of Parliament for Kira Municipality who also doubles as the Shadow Minister of State for Finance, Planning, and Economic Development, opposed the supplementary budget, arguing that the Hoima stadium construction did not qualify as an unforeseen expenditure under Section 25 of the Public Finance Management Act.
Attorney General Kiryowa Kiwanuka explained that the Ministry of Education and Sports requires him to authorize the contracts to begin work at the stadium, but he is hindered by the lack of evidence of fund availability.
He also defended the necessity of financing UNOC, citing the failure of EACOP partners to fund the equity acquisition as initially agreed. “Due to changes in the global economic landscape, we have had to provide the equity, which was not anticipated when the budget was approved,” Kiryowa Kiwanuka
