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  • Uganda Cites 31% Domestic Revenue, Can’t Meet Teachers’ Pay Demands
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Uganda Cites 31% Domestic Revenue, Can’t Meet Teachers’ Pay Demands

Senior Reporter 10 months ago (Last updated: 10 months ago) 2 minutes read

KAMPALA, UGANDA – The government of Uganda has declared its inability to meet the salary increment demands of striking teachers, citing severe budgetary constraints that see the nation funding only 31% of its national budget through domestic revenue.

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The stark revelation was made by the Minister of Public Service, Muruli Mukasa, while appearing before Parliament’s Committee on Local Government on Wednesday, October 1, 2025, to deliberate on The Human Resource Management Professionals Bill, 2025.

Facing Members of Parliament on the committee, the Minister explained the status of negotiations with the Uganda National Teachers Union (UNATU), which is on strike over an unfulfilled 2019 salary increase promise.

Minister Muruli revealed the nation’s fiscal vulnerability, stating that a staggering 69% of the national budget is financed through loans and grants from development partners.

“Currently, really, we can only raise 31% of our budget. Yes, 31%, the rest is raised through loans, through development partners, and so on, you can see how vulnerable we are as a country,” Minister Muruli stated.

The Minister explained that an internal policy prohibits borrowing to pay civil servants, mandating that public sector wages come solely from domestic revenue and must not exceed 35% of it.

He confirmed that UNATU teachers had rejected the government’s advice and chosen to continue their strike, contrasting this with other unions where an understanding was reached. He directly appealed to the public to dispel notions that the government is being insensitive.

“Be patient, because you may think that we are just acting arbitrarily or we have no feeling and we are not sensible. We are not insensitive to the problem of teachers. We are sensitive, but we are constrained by the fiscal realities,” Minister Muruli pleaded.

The current impasse leaves thousands of striking teachers and the government in a deadlock, with the education of millions of Ugandan students hanging in the balance.

The government’s position indicates that any resolution to the strike will likely be contingent on an improvement in Uganda’s domestic revenue collection, a prospect with no immediate timeline.

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