Financial Management and Effectiveness of Northern Uganda Social Action Fund (NUSAF) Projects in Kitgum District

Abstract

This is an investigation into the financial management and effectiveness of the NUSAF projects in Kitgum District. Financial management as an independent variable was operationalized into budgeting, financial management skills of the staff and accountability with the following specific objectives: to establish the relationship between budgeting and the effectiveness of the NUSAF projects in Kitgum District; to evaluate the relationship between financial management skills and the effectiveness of the NUSAF projects in Kitgum District; and to assess the relationship between accountability and the effectiveness of the NUSAF projects in Kitgum District. A cross-sectional research survey design that mainly exploited a quantitative approach supplemented by qualitative approach was used. Data was collected mainly by use of questionnaires and focused group discussions, supplemented by an interview guide. A regression and correlation data analysis, mean and Standard deviation were used to determine the level of relationship between the variables. Literature was reviewed along, budgeting, financial management skills, accountability, monitoring, reporting and effectiveness of NUSAF projects in Kitgum District. The findings revealed that financial management greatly affects effectiveness of the NUSAF projects in Kitgum District. It further revealed that financial management that is budgeting, financial management skills of the staff and Accountability affects effectiveness of sub-projects. The investigation concluded that financial management is essential in improving effectiveness of sub-projects and top management should endeavor to support the proper adherence to financial management to propel sub projects’ effectiveness. The study recommends the building of staff capacity, proper budgeting and accountability to improve performance of the NUSAF sub-projects.