ICT ministry seeks Shs45bn for smart city project

The Ministry of ICT and National Guidance has requested UGX 45 billion to fund the automation of the Parish Development Model (PDM) and rollout of the Smart City project, aimed at clearing towns and cities of scattered fibre optic cables and poles installed by telecom companies.

The request was presented by Iddi Isabirye, Vice Chairperson of Parliament’s Committee on ICT, before the Budget Committee on January 28, 2026, as part of his committee’s report on the 2026/27 National Budget Framework Paper for the digital transformation programme.

According to Musa Noah (Koboko North), one key component of the Smart City initiative is to consolidate existing fibre optic infrastructure into centralised service ducts, reducing clutter in urban areas.

 “The city should have service ducts where every provider can run their fibres from there. Other components include managing traffic, waste, and the broader automation of government services such as e-procurement, education management systems, and other e-services,” he explained.

However, some MPs raised concerns over the funding request and its justification. Moses Magogo (Budiope East) supported the Smart City project but questioned why the automation of PDM had been bundled together with the city initiative. “The private sector is already laying optic fibre, yet we are now being asked to fund a centralised system for Smart City. There seems to be overlap,” he said.

Achia Remigio further criticized the Ministry for asking for increased funding despite previously receiving substantial allocations. He noted that in FY 2025/26, the Ministry was allocated UGX 16.1 billion for automation, yet the appetite has now risen to UGX 45 billion for FY 2026/27. Of this, only UGX 34 billion has been provided, leaving a funding gap of UGX 11 billion. “Please interrogate these ministries further: what did you do with what was given to you?” Achia urged.

The discussion highlighted parliamentary concerns over oversight, budget justification, and proper utilisation of funds for government digitalisation, with MPs questioning the efficiency of prior allocations and the rationale for requesting additional financing.

The Ministry maintains that the funds are crucial to ensure efficient, secure, and adaptable IT services across government, improve service delivery, and integrate PDM systems into Uganda’s broader digital transformation strategy.

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