The Ugandan government has declared its intention to enact a new fiscal regime for the mining sector. This brief is a response to a request by the Ministry of Finance, Planning and Economic Development to review the prevailing regime and inform the government’s approach to revising it.
Fiscal rules—permanent quantitative constraints on government finances—are an important tool to help mitigate the macroeconomic challenges associated with managing natural resource revenues. This paper sheds light on large gaps in compliance and oversight of fiscal rules, and provides policy recommendations on how fiscal rules can be further strengthened.
This briefing note is an effort to help frame the main tradeoffs and assess four potential funding models for the newly created national oil company of Uganda. It is based on NRGI’s international experience and understanding of the local context.