Former Finance Minister and Senior Presidential Advisor on Finance and Planning, Ezra Suruma, has criticized the Public Finance Management Bill for vesting too much power in the office of the Minister for Finance.
“Every time an individual has the powers to control a huge sum of money, one can easily succumb to pressure from higher authorities,” warned Dr. Suruma. “The Bill appears to give power to parliament and the Minister but when you look closely, the power is with the bureaucrats only. The powers of parliament are largely on paper.”
Dr. Suruma was speaking at a conference organised by Parliament Watch Uganda and Friedrich Ebert Stiftung in Kampala this week, themed “The changing role of parliament under the Public Finance Management Bill 2012.”
Oil revenues will be handled under the same Bill.
He noted that under the Bill, only the “little dogs” within the Finance Ministry will report to parliament, while the “big fish” report to the “bureaucrats” leaving parliament powerless.
“The accounting officers are accountable to parliament and the Attorney General while the Accounting General is answerable to the Secretary to the Treasury,” he said.
However, the Head of Parliament’s Budget Committee, Hon.Tim Lwanga maintained that the Bill would not diminish parliament’s control over public finances.
“The accounting officer’s role cannot be underestimated,” he said. “In Clause 43b, they are required to present, with annual accounts, a statement of action taken on recommendation of Parliament as part of the report of the Auditor General,” he said. “The Accountant General is just a chief accountant of government who makes sure that the figure tallies well. That is why we agree with the Bill that the accounting officer who is responsible for holding and spending our money must be the one to face the gun, not the one behind the Secretary to the Treasury,” Hon. Lwanga explained.
He called for more amendments to improve the Bill and enhance parliament’s oversight of the management of public finances.
“We need these amendments to ensure that we as parliament are in charge,” he said.
Masaka Municipality’s Hon. Mathias Mpuuga, also reiterated the need to incorporate proposed amendments in the Bill to make it more robust.
“I think the key issue in this Bill that needs to be addressed is empowering parliament to monitor the (petroleum) fund,” he said. “While the Minister has the powers to appoint, parliament should have the power to approve the appointees, they should be vetted to find out who has a good record and interest in protecting public interest.”
Once passed into law, the Public Finance Management Bill will repeal the Public Finance and Accountability Act, 2003 and the Budget Act of 2001.
Report by Flavia Nalubega
editor@oilinuganda.org