Lira, Uganda | Lira City council has approved a revised budget of UGX 48.78 billion for the Financial Year 2026/2027, with leaders prioritising road infrastructure, education, healthcare, physical planning and local economic transformation.
The budget was passed on Friday during the final council sitting of the outgoing council held at St. Lira Hotel and presided over by Speaker Counsel Patrick Okwir.
Presented on behalf of Mayor Sam Atul, the revised estimates were prepared in line with Section 14(1) of the Public Finance Management Act, 2015 and Article 155(1) of the Constitution of Uganda.
The budget is aligned to the Parish Development Model (PDM), the City Development Plan IV and the Fourth National Development Plan under the theme: “Full Monetization of Uganda’s Economy through Commercial Agriculture, Industrialization, Expanding and Broadening Services, Digital Transformation and Market Access.”
City authorities said the approved budget represents a 16.8% increase from the previous financial year’s UGX 41.77 billion, largely driven by enhanced government transfers, improved local revenue mobilisation, and support from development partners.
The education sector received the largest allocation of UGX 22.39 billion, representing 45.9% of the total budget, followed by administration with UGX 7.2 billion, works and engineering with UGX 5.23 billion, and health with UGX 4.82 billion.
Lira City East Division was allocated UGX 1.58 billion, while Lira City West Division received UGX 1.57 billion.
Under the expenditure categories, wage recurrent expenditure takes the largest share at UGX 24.91 billion, representing 51.07% of the total budget. Non-wage recurrent expenditure accounts for UGX 18.05 billion, while domestic development stands at UGX 5.65 billion.
Speaking after the budget approval, Atul said the city remained focused on improving road infrastructure, trade, education, health services, and tourism.
He revealed that the government had accepted to finance the construction of a city museum aimed at promoting tourism and preserving the city’s heritage.
Atul also stressed the need for strict enforcement of the city physical development plan, warning against the construction of structures without approved permits.
He attributed some of the implementation challenges to Uganda’s land ownership system, noting that compensation demands often delayed road and infrastructure projects.
The mayor explained that whereas countries such as Rwanda and Kenya have stronger government control over land allocation, Uganda’s system presents challenges whenever infrastructure projects are implemented on privately owned land.
He warned that structures erected without proper approval risk demolition in future during enforcement of the physical development plan.
Atul further noted that the council had prioritised investment in development equipment, including plans to purchase an excavator to support bridge construction and murram excavation works.
He also appealed to residents to cooperate with city authorities and pay taxes to support service delivery and urban development.
The Secretary for Finance, Planning and Administration, James Omara Elem, attributed part of the budget increase to salary enhancements for civil servants.
Omara expressed confidence that local revenue collections would improve from the current UGX 4.7 billion to between UGX 5 billion and UGX 7 billion in the coming financial years.
He praised the city’s utilisation of local revenue in purchasing road maintenance equipment such as graders, rollers and double-cabin pickups, saying the investments had reduced dependence on hiring machinery.
Omara noted that the city now mainly spends on fuel for its equipment instead of hiring machinery as was previously the case, adding that this had greatly improved road maintenance within the city.
He also commended the performance of the education and health sectors under City Education Officer Canon Jane Obeny and City Health Officer Dr. Bernard Otucu, respectively.
Omara added that the upcoming USMID project would boost tarmac road networks, drainage systems, and street lighting within the city.
Resident City Commissioner Lawrence Egole described the budget approval as both an important financial milestone and the closing chapter for the outgoing council.
Egole commended councillors for successfully debating motions, passing ordinances, approving work plans, and holding the technical team accountable throughout their five-year term.
He noted that although no budget is perfect, the approved estimates were a product of dialogue, compromise and collective judgment aimed at improving service delivery.
Egole urged outgoing councillors to remain ambassadors of peace and continue supporting development within their communities even after leaving office.
He also encouraged the incoming council to promote teamwork and unity while implementing the city development agenda.
Egole further praised the outgoing leadership for steering Lira City into becoming one of the exemplary newly created cities in Uganda.
