|Journal of Research in International Business and Management (JRIBM) (ISSN: 2251-0028) Vol. 4(3) pp. 56-63, May, 2014. DOI: http:/dx.doi.org/10.14303/jribm.2014.015. Copyright © 2014 International Research Journals
Full Length Research Paper
An Analysis of the relationship between capacity building and fiscal capacity in Uganda Local Government
*1Juma Teko, 2Isaac Nkote and 3Namakula Sarah Jannat
1Department of Finance, Makerere University, Business School
2Department of Finance, Makerere University, Business School
3Department of Business Computing, Makerere University, Business School
*Corresponding authors E-mail: firstname.lastname@example.org
Decentralization has been adopted by many economies as a tool to achieve objectives of better service delivery, attraction of more donor support necessary for capacity building all of which are important for increased revenue mobilization. The purpose of the study was to establish the relationship between Capacity Building and Fiscal Capacity in Mbale district local government. A cross sectional correlation approach was used to undertake the study. Stratified, purposive, convenience and simple random sampling involving a sample of 143 was used to obtain data about the study variables.The findings reveal that there was a significant positive relationship between Capacity Building Fiscal Capacity. It is recommended that more fiscal powers should be devolved to local levels and the central government remains committed to its decisions; both central and local governments should negotiate with donors to accept local government priorities and more Capacity Building programs based on local government needs should be undertaken.
Keywords: Capacity building, Fiscal capacity, Decentralization, Local Government, Uganda.