MAN OF THE WEEK: Edward Akol, Uganda’s Auditor General In a year marked by fiscal challenges and ongoing public sector inefficiencies, Edward Akol, Uganda’s newly appointed Auditor General, has emerged as a beacon of transparency, accountability, and fiscal discipline. His maiden report to Parliament for the financial year 2023/24 highlights systemic issues in governance while charting a course toward improved accountability. For these efforts, Mr. Akol earns the title of “Man of the Week” by CEO East Africa Magazine.

Edward Akol assumed the mantle of Auditor General in January 2024, bringing with him a renewed sense of purpose and determination. His foreword to the annual report underscores his commitment to impactful audits that enhance service delivery. Under his leadership, the Office of the Auditor General (OAG) conducted an impressive 2,832 audits, covering Ministries, Departments, Agencies (MDAs), local governments, and state enterprises—a testament to his dedication to thorough oversight.

A key innovation under Akol’s watch was the introduction of the Combined Audit Report (CAR), which consolidates financial, compliance, performance, and special audit findings into a comprehensive document. This approach enhances the accessibility and relevance of audit results, aligning with his vision for a modern and effective public auditing system.

Exposing Gaps: The Auditor General’s Key Findings

The 2023/24 report does not shy away from confronting the gaps in Uganda’s financial governance. Several critical issues stand out, underscoring the gravity of systemic inefficiencies and mismanagement:

1. Non-Performing Receivables: Government receivables totalling UGX 0.919 trillion remain unpaid, with some debts dating back over 20 years. These arrears and weak enforcement mechanisms have deprived Uganda of essential fiscal resources.
2. Payables and Domestic Arrears: Domestic arrears surged to UGX 13.8 trillion, an alarming 31.5% increase from the previous year. This trend reflects inadequate budgeting and enforcement of commitment controls, further straining public finances.
3. Mismanagement of Classified Expenditure: Classified expenditure totalling UGX 1.27 trillion raised concerns about transparency and accountability. Despite statutory provisions for separate audits, the opaque nature of these funds underscores the need for reform.
4. Pension and Gratuity Management: Mismanagement of pension funds resulted in overpayments totalling UGX 20.37 billion. Additionally, the absence of gender-inclusive provisions in the Pension Act violated constitutional principles of equality, a finding Akol was keen to emphasise.
5. Parish Development Model (PDM) Implementation: While the government invested UGX 1.059 trillion in the PDM, the Auditor General’s review revealed gaps in data collection, infrastructure readiness, and governance structures. For example, many SACCOs under the program lacked registered offices, a fundamental requirement for effective implementation.
6. Procurement Management Failures: Unplanned procurements worth UGX 59 billion and irregular contract awards showcased inefficiencies that undermine value for money and fair competition.

Tackling Uganda’s Public Debt Crisis

Akol’s report raises red flags about Uganda’s escalating debt burden. The debt-to-GDP ratio remains perilously high, while loan absorption rates indicate inefficiencies in project execution. Interest payments alone consume a significant portion of domestic revenue, limiting funds available for critical sectors like health, education, and infrastructure.

In his recommendations, Akol calls for stringent debt management policies, improved loan absorption mechanisms, and transparent reporting to ensure accountability in public borrowing.

A Legacy of Courageous Leadership

Edward Akol’s boldness in highlighting irregularities in high-profile investments, such as the government’s acquisition of shares in ROKO Construction Ltd and Dei Biopharma Ltd, sets a new standard for accountability. In both cases, the Auditor General’s findings revealed procedural violations and the absence of critical documentation, such as shareholder agreements and valuation reports.

These actions underscore Akol’s refusal to overlook discrepancies, even in politically sensitive cases. By demanding adherence to proper procedures, he is redefining the Auditor General’s role as a guardian of the public interest.

Recommendations for a Brighter Fiscal Future

The report is not merely a catalogue of shortcomings; it is a roadmap for reform. Akol’s recommendations include:

1. Strengthening commitment control systems to curb the accumulation of arrears.
2. Accelerating the transition to accrual accounting under International Public Sector Accounting Standards (IPSAS) to enhance financial transparency.
3. Establishing a comprehensive policy for managing non-performing receivables and turning them into equity where feasible.
4. Improving data collection mechanisms under the PDM to ensure effective targeting of beneficiaries.
5. Reforming the Pension Act to align with constitutional principles of gender equality.

These actionable steps provide a blueprint for government institutions to address systemic inefficiencies.

Why we nominated him Akol “Man of the Week”

Edward Akol’s report goes beyond technical audit findings to touch the lives of ordinary Ugandans. By shedding light on the inefficiencies hindering service delivery, he amplifies the voices of citizens who bear the brunt of fiscal mismanagement. His focus on value-for-money audits and thematic reviews reflects his commitment to ensuring that public funds translate into tangible benefits for the people.

While Edward Akol’s tenure as Auditor General is still in its early stages, his impact is already palpable. By challenging entrenched inefficiencies and advocating for systemic reform, he is steering Uganda toward a future where transparency and accountability are not just ideals but realities.

As Uganda grapples with economic challenges, Edward Akol reminds us of the power of principled leadership. For his courage, innovation, and unwavering commitment to the public good, CEO East Africa Magazine is proud to name him our Man of the Week.