Appendix I. Uganda: Relations with the Fund
(As of October 31, 2010)
I. Membership Status: Joined: September 27, 1963;
II. General Resources Account:
III. SDR Department:
|ECF1||Sep 13, 2002||Jan 31, 2006||13.50||13.50|
|ECF1||Nov 10, 1997||Mar 31, 2001||100.43||100.43|
|ECF1||Sep 06, 1994||Nov 09, 1997||120.51||120.51|
VI. Projected Payments to Fund2
(SDR Million; based on existing use of resources and present holdings of SDRs):
VII. Implementation of HIPC Initiative:
|I. Commitment of HIPC assistance||Framework||Framework||Total|
|Decision point date||Apr 1997||Feb 2000|
|by all creditors (US$ Million) 3||347.00||656.00|
|Of which: IMF assistance (US$ million)||68.90||91.00|
|(SDR equivalent in millions)||51.51||68.10|
|Completion point date||Apr 1998||May 2000|
|II. Disbursement of IMF assistance (SDR Million)|
|Assistance disbursed to the member||51.51||68.10||119.61|
|Completion point balance||51.51||59.90||111.41|
|Additional disbursement of interest income 4||--||2.06||2.06|
VIII. Implementation of Multilateral Debt Relief Initiative (MDRI):
|I. MDRI-eligible debt (SDR Million)5||87.73|
|Financed by: MDRI Trust||75.85|
|Remaining HIPC resources||11.88|
II. Debt Relief by Facility (SDR Million)
IX. Safeguards Assessments
Under the Fund’s safeguards policy, assessments with respect to the PSI are voluntary. An update assessment of the Bank of Uganda (BOU) was completed on April 10, 2007 and concluded that the BOU had strengthened its safeguards framework since the 2003 assessment. The main developments included implementation of International Financial Reporting Standards, publication of financial statements, establishment of an audit committee, and strengthening of the internal audit function. Staff made recommendations to address remaining vulnerabilities in the legal and internal control areas.
X. Exchange Rate Arrangement
The official exchange rate is determined on the interbank market for foreign exchange. As of April 29, 2011 the official exchange rate was USh 2375 per U.S. dollar. The exchange system is free of restrictions on the making of payments and transfers for current international transactions. Uganda’s exchange rate regime is classified as floating.
XI. Article IV Consultation
The Executive Board concluded the last Article IV consultation on February 11, 2011. The next Article IV consultation with Uganda will be held on the 24-month cycle, subject to the provisions of the decision on consultation cycles approved on September 28, 2010.
In February and April 2001, joint World Bank/Fund missions visited Kampala as part of the Financial Sector Assessment Program (FSAP). A final report was provided to the authorities in November 2001, and an MFD mission discussed the report with the authorities during the Article IV consultation discussion in November 2002; the Financial System Stability Assessment was prepared for Board discussion in February 2003. In November 2004, a joint World Bank/Fund missions visited Kampala for a FSAP update. More recently, at the request of the authorities, a new FSAP update is scheduled for August, 2011, which once undertaken, would complete a set of FSAP updates for all five EAC members.
XII. Policy Support Instrument (PSI)
The Executive Board approved a new three-year Policy Support Instrument (PSI) and completed the seventh and final review under the previous PSI on May 12, 2010. The new PSI follows on the first three-year PSI, which was approved in December 2006 and extended by one year in 2009, then concluded successfully in May 2010.
XIII. Technical Assistance
Uganda has received extensive technical assistance from the Fund in recent years.6
FAD has continued to provide TA to the Uganda Revenue Authority (URA) in the areas of revenue administration and oil revenue management. In 2010, two IMF FAD technical assistance missions went to Kampala. The first one to advise the authorities on the URA’s modernization program and next phase of revenue administration reforms, and the second one to advise them on the drafting of a new comprehensive budget and public financial management law. FAD continues to provide follow-up TA in several fiscal areas, such as cash management, the design of a comprehensive donor-supported PFM reform strategy, and revenue collection enhancements. During November 2010 a mission from FAD headquarters and AFRITAC worked on redrafting the Public Finance and Accountability Act, in part to build in an oil revenue management framework. The statistical advisor in AFRITAC East has also visited the Uganda Bureau of Statistics several times to advise on rebasing GDP and also to support revisions to the informal cross border trade estimates in the balance of payments.
A TA mission on enhancing the effectiveness of monetary policy implementation and developing financial markets was conducted in August 2005; in April 2006 MCM and the BOU held a joint workshop on financial market development. In 2008 and 2009 MCM has provided TA to build capacity to undertake financial stability analysis and reporting; and more recently MCM has provided TA in the monetary operations area. In August 2010, MCM conducted a multi-topic technical assistance mission to help authorities enhance the central bank capacity in the areas of monetary operations, money market development, and financial stability assessment.
XIV. Future Technical Assistance Priorities
The priorities for Fund technical assistance in the next few years will be in the areas of tax administration and tax policy reforms, oil revenue management, public expenditure management, especially control and monitoring of government arrears, monetary and exchange rate management, bank supervision, national accounts statistics, reporting standards for government finance statistics, monetary and balance of payments statistical reporting, central bank accounting, and audit and debt management.
XV. Resident Representative
The Fund has maintained a resident representative in Uganda since July 1982.
Appendix II. Joint Bank-Fund Work Program, June 2010 – June 2011
|Title||Products||Provisional timing of missions (if relevant)||Expected delivery date|
|1. World Bank Work Program||The work program will continue to concentrate on areas within the existing portfolio, including infrastructure development (transport and energy), secondary education, health infrastructure, agricultural research, advisory services and training, Kampala infrastructure development, and local government service delivery (including Northern Uganda rehabilitation). In addition, the Bank project to support public service performance enhancement, Northern Uganda social protection, minerals development and environment sustainability will be maintained.|
|Public Expenditure Review on budget composition trends and efficiency in the road sector will be delivered to client.|
Public Expenditure Review on Investment Planning concept discussed with government and work started
|May 2010||June 2010|
|Poverty Reduction Support Credit to enhance effectiveness of service delivery, public sector management, and human development issues.||June 2010||August 2010|
|Strategy paper for GOU’s negotiation with other member states on the efforts towards elimination of non-tariff barriers. Follow-up work on implementation of the report recommendations with particular emphasis on adaptation of experiences from other RECs, in depth study of the diary sector in the region, will be completed||September 2010|
|A new study on shared/spatial growth with special focus on agriculture, labor and integration of leading and lagging areas, will be initiated.||June 2010||May 2011|
|2. Fund Work Program||Seventh Review and Request for a new PSI.||March 2010||May 2010|
|Staff visit on the government budget||May 2010||June 2010|
|2010 Article IV and First review under the PSI||October 2010||February 2011|
|3. Joint Work Program||JSAN on the NDP (new PRSP).||March 2010||April 2010|
Joint DSA update
When a member has overdue financial obligations outstanding for more than three months, the amount of such arrears will be shown in this section.
Assistance committed under the original framework is expressed in net present value (NPV) terms at the completion point, and assistance committed under the enhanced framework is expressed in NPV terms at the decision point. Hence these two amounts cannot be added.
Under the enhanced framework, an additional disbursement is made at the completion point corresponding to interest income earned on the amount committed at the decision point but not disbursed during the interim period.
The MDRI provides 100 percent debt relief to eligible member countries that qualified for the assistance. Grant assistance from the MDRI Trust and HIPC resources provide debt relief to cover the full stock of debt owed to the Fund as of end-2004 that remains outstanding at the time the member qualifies for such debt relief.
For a description of technical assistance provided prior to 2006, see the staff report for Uganda’s request for a three-year PSI (IMF Country Report No. 06/43).