An Assessment of the Influence of Innovation on the Performance of Semi-Autonomous Government Agencies in Uganda

Semi-autonomous government agencies (SAGAs) are critical for delivering public services and implementing government policies, and their performance is increasingly influenced by innovation and institutional reforms. The aim of the study is to examine the impact of innovation on the performance of SAGAs in Uganda and to draw comparative insights from similar institutions in the United States, Europe, and Asia to inform policy recommendations. The study adopts a qualitative approach by analyzing the operational performance and innovation practices of key Ugandan SAGAs such as the Uganda Revenue Authority (URA), Uganda National Roads Authority (UNRA), and National Medical Stores (NMS). It also incorporates comparative analysis from selected global agencies to benchmark best practices. The results reveal that innovation has significantly enhanced the performance of Ugandan SAGAs. For instance, the URA’s introduction of digital tax systems led to a 25% increase in tax revenue collection between 2015 and 2020, improving compliance rates from 62% to 79%. Similarly, the implementation of an e-logistics platform at NMS reduced medicine delivery delays by 40%, while stock availability for essential drugs rose from 65% to 90%. Despite these gains, challenges persist—over 55% of the respondents indicated that political interference and corruption limit innovation, and 68% cited inadequate funding as a major barrier. Comparative analysis with agencies like South Korea’s KOTRA and Sweden’s Environmental Protection Agency demonstrated operational efficiency gains of over 30% following structured innovation investments. The conclusion underscores that while innovation is a key driver of improved public sector performance, Uganda’s SAGAs must address systemic governance issues to fully leverage its benefits. The study recommends adopting a strategic innovation framework supported by capacity building, policy coherence, and enhanced oversight to achieve sustainable and transparent development in the public sector. Keywords: Innovation in Governance, Semi-Autonomous Government Agencies (SAGAs), Public Sector Performance, and Institutional Reform