By Aggrey Baba
As Ugandans grapple with a weakening shilling, expensive imports and mounting pressure on household budgets, People’s Front for Freedom (PFF) Dr Michael Lulume Bayiga has challenged Balaam to investigate an alleged multimillion-dollar debt-repayment scandal involving an unnamed army general instead of concentrating on petty thieves.
Speaking at the party headquarters on Monday, the former Buikwe South MP revisited the Bank of Uganda (BoU) UGX54 billion scandal, in which payments intended for international lenders were diverted to private companies in Japan and the United Kingdom in September 2024.
The controversy involves approximately UGX54 billion intended to service Uganda’s external debt obligations to the World Bank and the African Development Bank. The transactions were reported to have occurred on September 12 and September 30, 2024, before the scandal became public in December that year.
According to the investigation details reported in the media, about $6.13 million intended for the International Development Association, part of the World Bank Group, was redirected to Roadway Company Limited in Tokyo, Japan. Another $8.6 million meant for the African Development Fund under the African Development Bank was sent to MJS International in London.
The two transactions amounted to approximately UGX54 billion at the time, giving rise to one of the country’s major public financial-management scandals.
Dr Lulume Bayiga’s Monday remarks took the controversy further by alleging that an army general diverted the money to a personal account.
“There is one general who diverted money which was meant for debt repayment to his own account,” Bayiga alleged, without naming the individual.
He claimed that $8.2 million had been recovered, leaving questions about the whereabouts of the remaining funds.
The scandal had already reached Parliament by January 9, 2025, when then Speaker Anita Among announced that the Auditor General’s forensic audit report had been referred to the Criminal Investigations Directorate for further investigation.
Earlier this year, it was reported that President Yoweri Museveni had directed Finance Minister Henry Musasizi in a letter dated June 14, 2026, to account for the diverted funds following a Financial Intelligence Authority report.
Dr Lulume Bayiga’s challenge to Balaam was framed against this wider history of dealing officials linked to financial misconduct. His sarcastic reference to Balaam as though he were the Inspector General of Government (IGG) was intended to question the priorities of those responsible for fighting corruption, but not a statement that Balaam holds that office.
The PFF leader also linked the controversy to Uganda’s current economic difficulties, arguing that the public is being left to bear the consequences of expensive borrowing and a rising cost of living.
The shilling’s depreciation against the US dollar has added pressure on importers and businesses that need foreign currency to purchase fuel, machinery, raw materials and other essential goods. These higher costs can feed into transport fares and consumer prices, leaving ordinary people with less money to spend.
Against that background, Lulume questioned why Ugandans should continue carrying the burden of public debt while questions remain about whether funds intended to service international loans reached their legitimate beneficiaries.
He has also challenged government over the growth of public debt, citing figures he attributed to the Ministry of Finance showing an increase from UGX125.23 trillion in June 2025 to UGX143.92 trillion in June 2026.
DR Lulume wants an independent audit of public debt and a detailed account of how borrowed money has been spent, including the projects financed and the economic benefits delivered to citizens.
The allegations against the unnamed general remain unproven on the evidence presented at Monday’s press conference. The published accounts of the BoU scandal establish the alleged diversion of the two debt-repayment transactions, but do not, on their own, establish that the general Lulume referred to was responsible.
The issue is particularly urgent for Lulume, at a time when the country faces mounting debt obligations and ordinary Ugandans are struggling with the economic consequences. He wants the authorities to pursue allegations involving billions of shillings with the same determination applied to petty theft. (For comments on this story, get back to us on 0705579994 [WhatsApp line], 0779411734 & 041 4674611 or email us at mulengeranews@gmail.com).
