Uganda Airlines internal audit flags procurement lapses in brand spending

Uganda Airlines faces fresh scrutiny after an internal audit identified irregularities in marketing and brand-related procurement during the 2024/25 financial year, including spending of 1.6 billion Ugandan shillings that was 42% above contracted amounts. The review flagged payments made after a contract had expired, transactions completed without purchase orders, and procurement work carried out without a valid contract.

The audit also found missing proof of delivery or service completion for the work billed under the brand and image services programme. It recommended disciplinary action against several officials, including the contracts committee chairperson, the corporate affairs and public relations manager, and the chief financial officer.

The contested spending centred on contracts involving TBH Holdings and Metropolitan Republic Uganda. Management continued transactions after the TBH Holdings contract ended on 12 March 2025, while five payments worth 164 million shillings were authorised without purchase orders, according to the findings. The carrier remains under pressure to tighten controls as it works toward a break-even target in 2030.