Published on 17/04/2025
Uganda’s public health sector is facing a funding gap of UGX1.77 trillion in the 2025/26 Financial Year, after the government failed to secure the full amount required for critical health services and infrastructure.
The shortfall was revealed by Dr. Joseph Ruyonga, Chairperson of Parliament’s Health Committee, during the presentation of the sector’s 2025/26 Ministerial Policy Statement on April 15, 2025.
“Several critical priorities remain underfunded or unfunded in the health budget, yet they are central to delivering quality health services,” Ruyonga told Parliament.
He warned that the funding gap could derail Uganda’s efforts to meet the National Development Plan IV objective of improving citizens’ quality of life through better access to health, education, water, and social protection services.
US Funding Withdrawal
A significant portion of the UGX1.77 trillion shortfall stems from a UGX604 billion gap caused by the withdrawal of health sector funding by the United States government. The cuts have affected major programs including:
- HIV/AIDS: UGX243.2Bn
- Malaria control: UGX121Bn
- Human resources support: UGX67.8Bn
- Tuberculosis: UGX60.2Bn
- Health information systems: UGX36.9Bn
- Lab systems: UGX35.4Bn
- Healthcare waste management: UGX22.2Bn
- Nutrition: UGX16.5Bn
- Neglected tropical diseases: UGX78 million
Parliament urged the government to fast-track the National Health Insurance Scheme Bill to boost domestic health financing and integrate affected programs into mainstream services.
Drug Supply Gaps
The National Medical Stores (NMS) estimates that the Essential Medicines and Health Supplies (EMHS) budget for 2025/26 stands at UGX867.73Bn. However, only UGX677.73Bn is available, leaving a UGX190Bn gap. Key shortfalls include:
- Laboratory supplies: UGX102.4Bn
- Reproductive health: UGX25.4Bn
- Non-communicable diseases and specialized units: UGX32.98Bn
Oxygen Plants
The Health Ministry has operationalized 16 oxygen plants at regional referral hospitals, including Gulu, Mbale, Naguru and Fort Portal. However, these plants lack transformers needed to stabilize power supply.
The Ministry is seeking:
- UGX11.85Bn for transformers
- UGX8.6Bn to complete and commission unfinished oxygen plants
- UGX12.97Bn for nationwide plant maintenance
Hospital Upgrades
The Health Committee requested UGX60Bn to complete 57 Health Centre IIIs initiated in FY2023/24, and UGX46Bn to finalize upgrades at Masindi, Kambuga, and Itojo General Hospitals. An additional UGX20Bn is needed to start phased renovations at nine other hospitals, including Apac, Kitgum, and Kapchorwa.
Despite the enactment of the Uganda Human Organ Donation and Transplant Act in 2023, the Organ Transplant Council remains non-functional due to lack of funding. UGX5Bn is needed to operationalize the Council, which would regulate, monitor, and streamline organ donation and transplant services in Uganda.
Ruyonga also highlighted the dire state of mortuaries at public hospitals, many of which lack refrigeration, proper chemicals, water, and electricity. Arua and Moroto Regional Referral Hospitals were cited as examples of outdated and overcrowded facilities that urgently require modernization.
The proposed budget for the Health Sector in FY2025/26 is UGX4.353 trillion, an increase from UGX3.898 trillion in 2024/25. However, the UGX455Bn increment remains insufficient to meet all health sector demands.
