Government Rejects UNBS Proposal to Retain and Spend Non-Tax Revenue at Source

What the report says

Nile Post reported that the government has turned down a request by the Uganda National Bureau of Standards (UNBS) to keep and spend non-tax revenue where it is collected. State Minister for Finance Henry Musasizi told Parliament’s Committee on Tourism, Trade and Industry on Thursday that UNBS must continue sending its collections to the Uganda Revenue Authority for onward transfer to the Consolidated Fund, in line with the Public Finance Management Act.

The proposal had come as lawmakers reviewed UNBS’ budget performance, execution and use of non-tax revenue. Musasizi said the bureau’s status as a government vote requires it to follow the central revenue framework, under which Parliament appropriates funds after collections have been consolidated. He defended the arrangement, saying it supports accountability, transparency and better control of public money.

According to the figures cited by Nile Post, UNBS’ approved budget rose from Shs65.04 billion in the 2021/22 financial year to Shs133.83 billion for 2025/26. Musasizi said annual releases to the agency have generally ranged between 94% and 100% of approved allocations, although there were reductions between 2022/23 and 2024/25 due to wider fiscal pressures linked to the COVID-19 period. He added that UNBS’ non-tax revenue collections increased from Shs60.74 billion to Shs87.68 billion over five financial years.

The decision matters because UNBS relies on public funding to carry out standards, testing and quality assurance functions that affect trade, consumer protection and industrial regulation. Musasizi advised the agency to submit detailed, costed strategic plans through the normal budgeting process rather than seeking authority to spend collections directly.