In the 1990s Uganda embarked on an ambitious programme of political, fiscal, and administrative decentralisationization reforms as a means of rebuilding and expanding the delivery of basic services, and fostering local democracy and accountability. This chapter examines the roots and evolution of the reforms, focusing on the fiscal side of decentralisationization. It examines how a rapid expansion in central grants helped support the expansion of basic services, the tension between centralised funding and local autonomy, the stagnation of local taxation, the incentives for and establishment of public financial management capacity, and the evolution of planning and budgeting systems. It concludes by asking whether the decentralisationization process was managed in a way that helped or hindered the expansion of basic services.
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