In light of what has become obvious that schools won’t be opening for the second term, the Ministry of Finance has directed all accounting officers and local governments to refund funds that were transferred to government-aided schools as capitation grant for the second term.

According to a July 22 circular seen by this website, the ministry’s Permanent Secretary, Keith Muhakanizi, indicates that the funds that were released for the second term of 2020/2021 academic year were part of the last release of the 2019/2020 Financial Year and were to be spent by schools for the second term.

The circular states that the schools were instructed to use the funds only if they opened for the second term.

“Considering that the schools did not open for the second term and the financial year came to an end on June 30, you are instructed to return the funds intact,” reads a circular penned by Muhakanizi said.

Muhakanizi also asked the school officials to submit the documentation confirming the remittance of funds to the Consolidated Fund in Bank of Uganda within two weeks.

According to figures collated from the ministry of education, each student from government-aided secondary school receives Ugshs88,000 and Ugshs55,000 for A’level and O-Level students respectively as capitation grant per term.

Whereas each student in the government-aided primary school gets Ugshs17,000 per year.

Normally, but not always capitation grants are used on instructional materials, co-curricular activities, school maintenance, and payment for utilities such as electricity and water, among others.

Following the outbreak of the novel coronavirus in March, the President of Uganda halted all learning activities as a way of curbing the spread of the deadly disease.

Addressing the nation during his 17th speech on the status of the fight against the virus, President Museveni revealed that the government would make a big decision on the gate of schools before the month of September.