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Germany and Uganda Grapple with Supplementary Budgets: Implications and Challenges

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Aqsa Younas Rana
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Germany and Uganda Grapple with Supplementary Budgets: Implications and Challenges

In a scenario that could potentially plunge Germany's ruling coalition into a deeper crisis, the country's federal audit court has issued a stern warning concerning the proposed supplementary budget for 2023. Labeling it as 'extremely problematic under constitutional law', the court's assertion comes on the eve of a crucial parliamentary budget committee hearing.

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Implications of the Supplementary Budget

The situation escalated when Chancellor Olaf Scholz's government was compelled to propose the supplementary budget last month. This was a direct consequence of a shocking ruling by the country's constitutional court, which left a €60 billion gap in its finances. The draft supplementary budget is currently a hot subject of debate in parliament, with room for amendments before its anticipated approval later this month.

A Glance at the Supplementary Budget

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Simultaneously, the Ugandan government, through the Ministry of Gender, has submitted a request for a supplementary budget of Shs. 2 Billion. This additional budget is intended to facilitate the renovation of the Gaddafi National Mosque at Old Kampala. The proposal comes amidst ongoing legal disputes between the Uganda Muslim Supreme Council (UMSC) and a businessman, Justus Kyahabwa.

Financing the Supplementary Budget

The Finance Ministry's Permanent Secretary, Ramadan Ggoobi, addressed this in a letter to Parliament, revealing plans for Uganda to borrow a staggering Shs 3 5 trillion to fund the supplementary budget for the fiscal year 2023-24.

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