MPs task govt on multi-billion non-profitable enterprises

Members of Parliament on the trade, tourism, and industries committee have tasked the government to explain why it injected a lot of funds into enterprises that are not making any profit.

This after the State Minister for Industry, David Bahati, told the MPs that the government is optimistic that it will begin earning profits in enterprises it has shares in within ten years to come.

He said that enterprises such as; Atiak Sugar, Mbale Growers Tea, Kayonza Growers Tea, Soroti Fruits Factories, among others which the government injected a lot of taxpayers’ money may take up to 10 years to become profitable.

He said that it is typical for businesses to suffer losses in their early years.

However, the committee chairperson, Mwine Mpaka, tasked the Minister to explain when these businesses will start making profits since government had injected billions of money into them.

The minister assured MPs that government will monitor the performance of these enterprises to ensure they are managed well and achieve financial sustainability.

Written by Prossy Kisakye