Forms of government expenditure (in Uganda)

1. Recurrent/consumption/operating expenditure is the day to day spending of government aimed at maintaining existing capacities,e.g.

• wages and salaries of civil servants
• rent
• rates
• interest on national debt
• contribution(s) to international organization

2. Development expenditure/capital expenditure is expenditure by government on capital goods/investment/establishing of projects to generate goods and services. Examples of development expenditures include

• setting up infrastructures
• establishing of productive projects