Government has rejected a proposal allowing the Uganda National Bureau of Standards to retain and spend the Non-Tax Revenue it collects, maintaining that all the money must be remitted to the Consolidated Fund.
Finance Minister Henry Musasizi said UNBS is a government vote and must comply with the Public Finance Management Act, Cap. 171, which requires its revenue collections to be deposited in the Consolidated Fund before Parliament appropriates money for its operations.
“UNBS has Vote status and should comply with the requirements of the PFM Act to remit all revenue collections to the Consolidated Fund without spending at source,” Musasizi said.
The minister presented the government’s position while appearing before Parliament’s Committee on Tourism, Trade and Industry to discuss the bureau’s budget performance and use of Non-Tax Revenue.
He was accompanied by the Director of Economic Affairs, Moses Kaggwa, and other senior officials from the Ministry of Finance, Planning and Economic Development.
The decision rejects calls from MPs and UNBS officials who have argued that allowing the bureau to retain part of its collections would give it more money to conduct product inspections, certification, laboratory testing and market surveillance.
In April 2026, members of the Tourism, Trade and Industry Committee urged the government to allow UNBS to use its Non-Tax Revenue, warning that limited funding was affecting enforcement of product standards.
The MPs compared UNBS with agencies such as the National Drug Authority, which are permitted to retain and use some of the revenue they generate.
UNBS budget rises to Shs133.8 billion
Musasizi said the approved UNBS budget had increased from Shs65.04 billion in the 2021/22 financial year to Shs133.83 billion in 2025/26.
Official budget estimates place the bureau’s 2025/26 allocation, excluding arrears, at approximately Shs133.834 billion.
According to the minister, annual releases to UNBS ranged from 94 per cent to 100 per cent of the approved allocations during the period under review.
He said the level of releases demonstrated the government’s commitment to financing the bureau through the national budget rather than allowing it to spend directly from the fees and charges it collects.
“The increase in the budget demonstrates government’s strong commitment to strengthening Uganda’s standards and quality infrastructure,” Musasizi said.
The minister attributed reductions recorded in some financial years between 2022/23 and 2024/25 to economic pressures associated with the COVID-19 pandemic and its global aftermath.
Revenue collections increase
UNBS Non-Tax Revenue collections reportedly increased from Shs60.74 billion to Shs87.68 billion over the five-year period reviewed by the committee.
Since the 2017/18 financial year, businesses seeking services from the bureau have paid the required fees through the Uganda Revenue Authority.
The collections are deposited in the Consolidated Fund and can only be returned to UNBS through appropriations approved by Parliament.
The government introduced the arrangement to improve accountability, reduce the risk of revenue leakage and ensure that money collected by public institutions is subjected to parliamentary oversight.
Musasizi warned that allowing UNBS to retain and spend its collections directly would weaken the government’s public finance controls.
He advised the bureau to prepare comprehensive and properly costed strategic interventions and submit them to the Finance ministry through the normal budgeting process.
Under the decision, UNBS will remain dependent on annual parliamentary appropriations to finance the expansion of laboratories, certification services, market surveillance and enforcement against counterfeit and substandard products.
The bureau is responsible for developing and enforcing standards intended to protect consumers, public health and the environment while supporting manufacturers and exporters.
