A montage of Tourism PS Doreen Katusiime and UTB CEO Julian Kagwa

BILLIONS LOST! TOURISM IN TURMOIL! Sleeping UTB, Tourism Ministry Bosses Face Axe After Probe Lifts Lid on Systematic Failures

Uganda’s tourism sector may be posting impressive numbers on paper, but beneath the glossy “Explore Uganda” billboards lies a troubling trail of gaps, missed targets and weak oversight, according to the December 2025 Auditor General’s report on the marketing and branding of tourism activities by the Ministry of Tourism Wildlife and Antiquities and the Uganda Tourism Board.

The audit returned an unqualified opinion, meaning the financial statements were fairly presented. But that clean opinion does not wipe away what the Value for Money audit uncovered: regulatory weaknesses, unimplemented activities, poor follow-up on investments and missed opportunities worth millions of dollars.

Tourism contributed 6.6% to GDP in 2024 and directly supported 803,691 jobs. Foreign exchange earnings rose from USD 1.025 billion in 2022/23 to USD 1.28 billion in 2024/25. Tourist arrivals climbed from 1,826,637 to 4,168,346. On the surface, it looks like a recovery story.

But the Auditor General warns that “gaps remain that limit the full effectiveness and competitiveness of marketing interventions.”

The heat is now turning squarely on Doreen Katusiime, the Permanent Secretary of the Ministry of Tourism. As Accounting Officer of the Ministry, Katusiime carries direct responsibility for policy implementation, supervision and financial accountability. A public finance expert further told RedPepper that, “When regulatory frameworks are weak and enforcement is inconsistent, that is an administrative failure at the top. The Permanent Secretary cannot escape accountability.”

Is this sloppiness? Is it negligence? Or is it a system asleep at the wheel?

The report shows that out of 59 sampled activities planned by the Ministry’s Department of Product Development and Investment Promotion, only 77.9% were fully achieved. At UTB, out of 135 sampled activities, just 74.8% were fully achieved, with 11.8% not implemented at all.

That is not minor. That is a pattern.

The legal and regulatory framework is described as ineffective. Critical policies required under the Tourism Act remain either overdue for review or not developed at all. Because of this failure, 4,272 tourism facilities, representing 31.8% of the cumulative planned target, remained unregistered, uninspected and unlicensed over three years. Another 1,251 facilities, 28.8%, continued operating with expired licenses.

A senior tourism policy analyst told RedPepper, “When nearly a third of your facilities are unlicensed or expired, that is not just a technical gap. That is a regulatory breakdown.”

Hotel classification was equally troubling. Only 18% of strategic plan targets and 47% of annual work plan targets for classification of accommodation facilities were achieved. In a competitive global tourism market, that undermines standardization and credibility.

Even more alarming, UTB had not developed a national tourism investment profile to guide identification and promotion of tourism opportunities. Government investments are therefore not guided by comprehensive assessments of tourism needs and growth potential.

“How do you market what you have not properly profiled?” asked an industry consultant. “It is like selling a house without knowing how many rooms it has.”

International promotion also stumbled. Out of a planned 4,787,292 international arrivals over three financial years, only 3,460,613 were received, a shortfall of 1,346,679 visitors. Of those arrivals, just 264,746, representing 19%, were leisure tourists, limiting high-value revenue streams.

The Meetings, Incentives, Conferences and Exhibitions sector paints an even grimmer picture. Out of 45 international bids submitted, 18 were dropped, 14 lost and only 12 passed. Of the 12 won, only four conferences were successfully hosted. The rest did not take place. The failure to achieve 130 targeted conferences over five years resulted in a loss of potential MICE revenue worth USD 100 million, equivalent to UGX 361.44 billion.

Yet despite spending UGX 1.827 billion on MICE activities over three years, no actual Return on Investment evaluations were conducted to measure whether that public money delivered value.

A governance expert described it bluntly: “Spending billions without measuring actual returns is either complacency or a serious management failure. You cannot manage what you do not measure.”

The rot extends to irregular selection of hosted buyers for the Pearl of Africa Tourism Expo. Out of 79 hosted buyers invited by the Ministry, 56 had not registered through the official portal. At UTB, 43 out of 153 invited buyers were also not registered. The risk, according to the audit, is that unvetted buyers may not effectively champion Uganda’s tourism.

Impact evaluation studies were not undertaken for key marketing interventions such as participation in ITB Berlin, Magical Kenya Travel Expo, MITT Russia Expo and the United States Tour Operators Association Conference. That means decisions are being made without solid evidence on what works and what does not.

On the financial front, the Ministry has long-outstanding payables of UGX 2.271 billion arising from obligations under the Lusaka Agreement, even though it later withdrew from the treaty. Construction of the Modern Pier at the Source of the Nile, worth UGX 15.986 billion, was delayed. At Kikorongo Equator Point, essential visitor facilities such as restrooms and eateries were missing, diminishing the tourist experience return hopes.

Out of an approved staff establishment of 247 positions, only 135 were filled, leaving 112 vacant posts. Non-payroll outputs worth UGX 47.871 billion were only partially implemented.

The question now is not whether tourism is growing. It is whether leadership is maximizing its potential or merely riding a recovery wave.

Juliana Kagwa, the current Chief Executive Officer of the Uganda Tourism Board, was appointed in June 2025. Industry observers say she may deserve some benefit of doubt as she inherited ongoing systems and gaps.

“Leadership transitions take time,” said a senior private sector tour operator. “But the new CEO must urgently confront these structural weaknesses and restore discipline, data integrity and accountability.”

With billions at stake and tourism positioned as a pillar of economic transformation, the time for cosmetic branding may be over. The Auditor General has laid bare the cracks.

Now the spotlight shifts to the top leadership at the Ministry and UTB. Is it time to crack the whip? Or will the same gaps resurface in the next audit cycle while Uganda’s tourism brand risks being undermined by internal weaknesses?

“The numbers may glitter, but the system behind them is clearly creaking,” summarizes another Tourism industry expert.


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