UGANDA · ECONOMY
Key Facts
- The agency A Ugandan state body that runs free zones and backs exporters.
- What happened An internal audit dated Monday 14 September 2026 found weak controls over fuel bought for the agency.
- The amount Eight fuel cards were loaded with Shs 348 million (Ugandan shillings, about US$85,000) in 12 months.
- The response The executive director says new fuel and finance rules are drafted and the disputed purchases are under inquiry.
- Not proven Auditors did not establish that any fuel was turned into cash, and no court case has been announced.
An internal audit at the Uganda Free Zones and Export Promotions Authority, a Ugandan state agency that backs exporters, has flagged Shs 348 million (about US$85,000) of fuel-card loadings and weak spending controls. The report is dated Monday 14 September 2026 and was written for the agency’s board, which had ordered the inquiry on Friday 24 July 2026.
For US readers, the case shows how a young export agency in a coffee-exporting country is handling basic money controls. Our guide to who runs Uganda’s economy explains the bodies around it.
What Happened
The audit looked at fuel bought on cards that the agency loads with money for staff and vehicles. It found that eight selected cards received more than Shs 348 million over 12 months, and that investigators questioned several withdrawals at filling stations.
The agency, which manages free zones (areas with special tax and customs terms for exporters) and promotes Ugandan exports, had no approved fleet management policy and no approved finance and accounting manual. Internal Audit Manager Peter Omwine wrote in his report to the board that “in all circumstances, there are inadequate internal control systems in place.”
Where the Money Went
Six cards were registered under one officer and received a combined Shs 272.37 million (about US$66,000). Another card received Shs 75.9 million (about US$18,500), and a third received Shs 12.3 million (about US$3,000).
Staff received quarterly fuel on their cards whether or not they owned a vehicle, according to the report. Auditors also asked why several cards were assigned to a single custodian.
The Disputed Withdrawals
The audit examined a separate group of withdrawals worth Shs 61.64 million (about US$15,000). On Tuesday 15 July 2025, one card recorded Shs 7.75 million (about US$1,900) across 14 invoices at a Kampala station, and on Monday 14 July 2025 another card recorded Shs 7.25 million (about US$1,800) across 16 invoices at another.
The report warned that fuel on such cards can be drawn as cash and misused, which it called irregular and punishable. It said investigators did not establish that any fuel was actually turned into cash.
What Management Says
Management rejected the claim that the repeated withdrawals were misuse. It said the fuel fed two generators and a 5,000-litre reserve tank at the Entebbe International Airport Free Zone, and that fuel was carried in jerrycans because the tank nozzles are small, so pump attendants issued multiple invoices.
Management said receipts, fuel logs and security records support the purchases. The auditors were not persuaded, and their report says the generator explanation “remains questionable.”
The Agency Responds
Executive Director Hez Kimoomi Alinda said the authority takes public money seriously and confirmed that the disputed transactions are under inquiry. The director described the authority as 18 months old and said measures are under way.
The agency has asked its fuel supplier and a contractor to modify the tanks for bulk deliveries. A draft fuel and fleet policy is with management, and a draft finance and accounting manual awaits board approval.
What It Means for You
If you buy from Ugandan exporters or invest in Ugandan free zones, the case is a reminder to ask about an agency’s financial controls and not only its export promotion record. The audit points to missing paperwork and rules, not to a proven theft.
The agency promised to review questionable transactions and hold officers accountable where irregularities are established. Nothing in the report changes rules for travelers or for US companies that already trade with Uganda.
What Is Not Known
It is not known whether all the fuel bought was delivered to the Entebbe site, or why several cards sat with one custodian. No criminal investigation or court case has been announced.
It is also not known whether any officer will face discipline, or when the board will approve the new finance manual. The card figures in the report add up to more than its 12-month total of Shs 348 million, and the audit sample covered only eight cards.
More: Uganda news in English, every day from The Rio Times.
Frequently Asked Questions
What Did the Uganda Export Agency Audit Find?
It found that eight fuel cards were loaded with Shs 348 million (about US$85,000) in 12 months, with weak controls and no approved fleet policy. Auditors did not establish that any fuel was turned into cash.
What Is the Uganda Free Zones and Export Promotions Authority?
It is a Ugandan state agency that manages free zones and promotes exports. Its executive director says it is 18 months old.
How Does the Agency Explain the Withdrawals?
Management says the fuel fed generators and a reserve tank at the Entebbe free zone, and that jerrycans created many invoices. The auditors called that explanation questionable.
Sources: Uganda Free Zones and Export Promotions Authority, internal audit report to the board, dated 14 September 2026, as reviewed by The Rio Times; statement by Executive Director Hez Kimoomi Alinda, November 2026; market exchange rate of about 4,100 shillings per US dollar, 5 November 2026.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief