Government has slapped a ban on the issuing of its contracts on work, goods, and services in foreign currency in favor of the shilling.
According to a letter issued by Keith Muhakanizi the permanent secretary ministry of finance, planning and economic development, the move is set to streamline budget implementation and minimize shortfalls and supplementary requests.
The letter also indicates that all contracts will only be issued in Uganda shillings going forward. The letter was addressed to all accounting officers to ensure that all domestic contracts for works, goods and services are awarded in the Uganda shillings, warning those who do not comply will attract sanctions as spelt under section 79 of the public finance management act 2015.
However, the new guidelines will not affect the already concluded and signed contracts.
See the letter
