Uganda: Baryomunsi Pledges More Support for Lacor Hospital As Italy Backs Shs58bn Health Project

What the report says

Uganda’s Health Minister Chris Baryomunsi has said the government will review its financial support for St Mary’s Hospital Lacor in Gulu and consider tax relief measures after hospital supporters warned that rising costs could threaten affordable care. The remarks came during the launch of a new health initiative in Kampala on November 7, backed by Italian development cooperation and implemented with AVSI Foundation Uganda and partners.

The discussion was triggered by an appeal from Dominique Corti of the Piero and Lucille Corti Foundation, which helps fund Lacor Hospital. She said the foundation contributes billions of shillings each year and that government grants remain a small share of the hospital’s recurring costs. According to the report, Lacor treats large numbers of patients annually, subsidises fees for many of them, and also runs a health training institute. Corti urged exemptions on payroll, value-added tax and import duties for donated equipment, arguing that such charges can raise the cost of health investments.

Baryomunsi said he would recommend the tax requests for government consideration and said the Ministry of Health would review allocations to Lacor. He also noted that the hospital could benefit from the government practice of seconding public medical staff to not-for-profit facilities. The broader event included the launch of the €12.75 million PRISMA project, which will run from 2026 to 2029 in several regions of northern and western Uganda and aims to strengthen maternal and child health, cancer screening, research and training.