The Ugandan government has set a target to save approximately Shs959 billion by June 2027 through the Rationalization of Government Agencies and Public Expenditure (RAPEX) programme. This initiative, adopted in 2021, aims to reduce public expenditure, eliminate duplication, and improve service delivery. The programme involves streamlining over 150 government agencies and public entities by merging or dissolving institutions with overlapping mandates.
According to the Minister for ICT and National Guidance, Justine Kasule Lumumba, the Cabinet has confirmed that the anticipated savings will be redirected towards improving service delivery across government institutions. Ministries are required to adequately prepare to receive and integrate agencies whose functions are being merged into their structures without disrupting public services.
So far, 40 entities have undergone rationalisation, of which 23 have been dissolved, while the remaining 17 are still pending completion of the process. The National Information Technology Authority-Uganda (NITA-U) is one of the entities expected to undergo the merger process by June 2027. The programme has raised concerns over its financial implications, including the reabsorption of staff and outstanding liabilities.
The Auditor General’s 2026 report highlighted Shs46.8 billion in costs associated with reabsorbing staff from rationalized agencies into their parent ministries, alongside outstanding liabilities amounting to Shs932 billion. These figures raise questions about the overall cost of the rationalization exercise and whether the projected Shs959 billion in savings will be fully realized once the process is completed.
Despite the concerns, the government is expected to conclude the exercise by June 2027, with the ultimate objective of creating a leaner, more efficient, and cost-effective public service. The rationalization programme seeks to eliminate duplication of efforts and improve service delivery, which will benefit the citizens of Uganda.
The government has made significant progress in implementing the RAPEX programme, with 40 entities already undergoing rationalisation. The Minister for ICT and National Guidance emphasized the need for ministries to prepare for the integration of agencies, ensuring a smooth transition and minimizing disruptions to public services.
The success of the RAPEX programme will depend on effective implementation and management of the rationalization process. The government must address the concerns raised by the Auditor General’s report and ensure that the projected savings are realized, which will be redirected towards improving service delivery across government institutions.
Key points
- The Ugandan government aims to save Shs959 billion by June 2027 through the Rationalization of Government Agencies and Public Expenditure programme.
- 40 entities have undergone rationalisation, with 23 dissolved and 17 pending completion of the process.
- The programme has raised concerns over its financial implications, including reabsorption of staff and outstanding liabilities.
