Financial management practices and service delivery in district local governments in Uganda

Abstract

The purpose of this study was to investigate the effect of financial management practices on service delivery in Sironko District Local Government. The study was charged with the following objectives: To establish the effect of budgeting on service delivery, to examine the effect of accountability on service delivery, and to examine the effect of financial control on service delivery. Data was collected from a sample of 95 respondents using a self-administered questionnaire. The researcher used purposive and simple random sampling to collect data. The data was analysed using descriptive statistics, correlation and regression analyses. The findings of the study revealed that budgeting significantly affects service delivery (an adjusted R square value of about 50% and a P value less than 0.01). The results on the effect of accountability on service yielded an adjusted R square of about 19% and that the relationship was significant (P < 0.01). In line with the third objective of the study, that is, the effect of financial controls on service delivery an adjusted R square of about 43% was obtained and the relationship was also found to be significant. Lastly, the results of multiple linear regressions revealed that financial management practices contribute about 51% to service delivery in Sironko District Local Government and further that the relationship is significant. The study recommended that the management of Sironko District should improve on monitoring and supervision to ensure that expenditures are in accordance with the budgetary allocations. Secondly, the district leadership should engage all staff in standard practices of financial controls to avoid misappropriation of revenue. Thirdly, the audit department should improve on its control measure to ensure effective service delivery