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BoU: Irregular procurement will not happen again

FILE PHOTO: Bank of Uganda

Kampala, Uganda | THE INDEPENDENT | The management of Bank of Uganda has today told the Committee on Commissions Statutory Authorities and State Enterprises (COSASE) in Parliament that they will not have irregular procurement.

Bank of Uganda (BoU) has said they have learnt from the irregular procurements for the Joseph Mubiru memorial lecture and purchases made for the banks 50 years’ anniversary.   In 2017, the Committee on Commissions Statutory Authorities and State Enterprises (COSASE) queried irregular procurement worth 300 million shillings where BoU flouted procurement procedures to purchase 350 branded pens worth 125 million, hired Serena hotel at 100 million shillings for the Joseph Mubiru lecture and 64 million shillings for hiring tents and chairs in 2016.

According to the Auditor General’s report, the procurement process commenced after the service providers had already been engaged hence flouting the Public Procurement and Disposal act.

Now BoU has explained its self, saying they had to do an emergency procurement but this will not happen again.

BoU officials led by Deputy Governor Louis Kasekende where today appearing before COSASE over Audit queries of BoU for financial year 2016, 2017 and 2018.

Suzan Kanyemibwa, the BoU secretary says that because the President of Uganda was the chief guest at the memorial lecture, and he confirmed to attend the event late, they had to change venue from BoU offices to Serena in consultation with Security at the convenience of the president.

Kanyemibwa said they had not prepared for Serena and they had to act quickly.

She however says that this will not happen again, and they will stick to the procurement guidelines.

She says although Bank of Uganda premises was secure for the President it was a different level of security needed.

BoU’s Deputy Governor Louis Kasekende says they have learnt from the mistakes they made on irregular procurement, and agreed totally with the recommendations of the Auditor General. Kasekende says they have strengthened their systems and the subsequent audit reports will tell.

He said all procurement will be supplied in a timely manner.

Medard Lubega Ssegona, the Busiro East MP suggested that for such emergencies, BoU could for instance pre-qualify service providers so that in case there is need for service they have a list of suppliers.

The Auditor General advised the bank to comply with requirements of PPDA, timely submit procurement and disposal requests to the contracts committee to avoid instances of the documentation being overtaken by events.

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