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Govt boosts project spending as growth slows

Balancing the books: Serame's proposed budget carries a P7.6 billion deficit and continues a string of shortfalls seen in recent years PIC: PHATSIMO KAPENG
Balancing the books: Serame's proposed budget carries a P7.6 billion deficit and continues a string of shortfalls seen in recent years PIC: PHATSIMO KAPENG

The Finance Ministry is proposing a development budget of P21 billion for the 2023-24 financial year, P6.3 billion more than it had originally planned last September, in order to maintain the country’s growth momentum.

The economy rebounded strongly after the 2020 COVID-19 shock, recording 11.8 percent growth in 2021-22 and a higher than expected 6.7 percent for 2022-23. However, the continued recovery is threatened by the possibility of a slowdown in the global economy, a fact acknowledged by the Finance Ministry which expects the key mining sector to shrink by 0.1 percent in the 2023.

Growth in 2023-24 is forecast at four percent, before rising to 5.1 percent in 2024-25. Both figures are below the 5.7 percent level required to reach high income status by 2036.

Editor's Comment
Human rights are sacred

It highlights the need to protect rights such as access to clean water, education, healthcare and freedom of expression.President Duma Boko, rightly honours past interventions from securing a dignified burial for Gaoberekwe Pitseng in the CKGR to promoting linguistic inclusion. Yet, they also expose a critical truth, that a nation cannot sustainably protect its people through ad hoc acts of compassion alone.It is time for both government and the...

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