Eight ministries bid for $112 bln in 2020 Budget

Eight ministries bid for $112 bln in 2020 Budget

Harare, November 03, 2019 (New Ziana) – Eight ministries have thrown
in 2020 national budget bids of a combined $112 billion, far
outstripping what government is capable of providing, Finance and
Economic Development Minister, Mthuli Ncube has said.

Government is preparing next year’s budget which is due for
presentation shortly.

And to get Parliament’s input into the financial plan, legislators
recently held a three-day workshop in the resort town of Victoria
Falls where a number of issues were raised.

In response to the huge financing demands from ministries, Prof
Ncube said government would only be able to increase its 2020 budget
by at least 30 percent from the current in line with revenue expected
to be generated next year.

“The budget ceilings that have been given by Treasury, are therefore,
derived from the anticipated resources envelope from taxes and what we
can borrow from the market without destabilising the economy,” Prof
Ncube said.

“We also need to be mindful that unrestrained expenditures financed
through unsustainable means are the major source of economic
instability we are battling today.”

Out of the more than 20 ministries, requirements of only eight which
include defence, health, home affairs, local government and transport,
have already overshot the budget.

Prof Ncube called for efficient and result-focused utilisation of
resources as government was financially hard pressed.

“Let me also mention that even in advanced economies, resources are
never enough to meet yearly requirements,” he said.

“What is critical is that we become more results focused so that
allocated resources are used efficiently and effectively, as well as
matched with performance, in line with the principles of Results Based
Budgeting.”
New Ziana

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New Ziana

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