Uganda’s extractive sector generated approximately Shs 663.24 billion (Uganda shillings) in revenue in the 2023/24 financial year, and Minister of State for Planning Amos Lugoloobi has urged industry stakeholders to ensure the country gains greater economic value from its mineral resources.
Speaking at the Protea Hotel in Kampala, Lugoloobi said the country must make the most of its natural resources. “Are we maximising the value of our mineral resources before they leave the country?” he asked.
Sector revenue for 2023/24#
Lugoloobi was opening the national dissemination of the Fifth Extractive Industries Transparency Initiative (EITI) Report. He put the financial year 2023/24 figures as follows:
- Total extractive sector revenue: approximately Shs 663.24 billion
- Mining and quarrying: Shs 336.97 billion
He said the figures show the sector’s economic contribution. That contribution, he added, should prompt stakeholders to examine whether government is collecting all the revenue it is owed and adequately monitoring mineral production, exports and company payments.
Questions on revenue collection#
“Are we collecting all the revenues due to Government?” he asked, pointing to the need to strengthen revenue administration and address potential weaknesses in tax compliance, licensing and reporting.
Lugoloobi said EITI reporting gives government a clearer picture of production volumes, mineral exports, company operations and fiscal payments. The minister said this information can help identify under-reporting and tax compliance gaps, and find ways to improve collection of:
- Royalties
- Corporation tax
- Withholding tax
- Surface rentals
EITI as a governance tool#
He stressed that transparency in the extractive industry should go beyond publishing periodic reports, and described EITI as an important instrument for economic management and domestic revenue mobilisation.
“EITI should not be viewed simply as a reporting exercise or an obligation to publish periodic reports. It is a governance and economic management instrument that can help Uganda mobilise more domestic revenue and derive greater value from its natural resources,” he said.
