CABINET DECISIONS TAKEN DURING THE CABINET MEETING HELD ON MONDAY 11th FEBRUARY, 2019 AT THE OFFICE OF THE PRESIDENT.
Cabinet sat on Monday February 11, 2019 at State House Entebbe, and;
- Noted that the 42nd Commemoration of St. JananiLuwum Day will take place on Saturday 16th February,2019, at Mucwini, Kitigumu District under the theme “Do not dwell on the past ”.
2. Approved the Procurement and Disposal of Public Assets (PPDA), Bill, 2018. The Bill seeks to :
- Reduce on the lengthy Procurement lead time;
- Reduce on the number of Key players in the Administrative Review from the current three to one tier;
- Harmonize Procurement Regulations for Kampala City Authority and Local Governments by providing for; the Minister responsible for the Kampala Capital City Authority and or the Minister responsible for Local Governments in consultation with the Minister for Finance Planning and Economic Development to develop specific Regulations for selected entities as when deemed necessary.
3. Approved the Labour Disputes (Arbitration and Settlement)(Amendment) Bill, 2018. The objectives of the Bill include:
- To provide for the Official seal of the Industrial Court;
- To Amend the composition of the industrial Court ;
- To provide for the powers of the Industrial Court ;
- To ensure that the terms and conditions of appointment of the Head Judge, Deputy Head Judge and other Judges of the Industrial Court are similar to those of the Judges of the High Court ; and
- To provide for appointment of Registrar, Deputy Registrar, and Assistant Registrar and for other related issues.
4. Approved the proposal to use Mobile Money as a platform for investing Government securities and the expected benefits of the project include:
To the Government:
- Increased savings and investment amongst Ugandans thus effectively enhancing financial inclusion and economic growth;
- Enhanced distribution capacity of Government securities with the ability to reach out to individual retail investor especially those in rural areas;
- Reduced cost of domestic debt: -Widening the scope of investors reduces the dependence on a few players such as commercial banks, offshore players and institutional investors which tend to bid highly in the auctions given that Government has limited choice. – This product takes on the characteristics of a Collective Investment Scheme, which is not taxed under the Income Tax Act. Therefore tax will not be considered when pricing.
To the retail Investor;
- Enhanced savings and investment; this product will provide the opportunity for local people to save and earn some income;
- Ease of access to Government securities; retail investors will not have to physically deliver bids to their banks (which are sometimes a long distance away);
- An opportunity to enhance private sector credit as Government securities are the highest form of collateral for loans;
- An opportunity for Diaspora investors to save and earn a good return while developing their country
EXECUTIVE DIRECTOR, UGANDA MEDIA CENTRE