Budget to feature additional austerity measures

The budget has incurred rolling deficits since the 2017-2018 financial year, largely as a result of declining mineral revenues and stubbornly high spending. The COVID-19 pandemic worsened the situation, forcing government to dig deep into its reserves housed in the Government Investment Account.

Presenting the inaugural mid-term budget review statement recently, Gaolathe stated that while spending cuts had already been initiated in the current financial year, more was needed in light of the weak revenue outlook.