Matambo treads budget tightrope
Friday, January 30, 2015
Matambo will present the 2015/ 16 budget on Monday
Stagnant public revenues and rising needs set against growing public expectations on promoting inclusive growth leave him with a plethora of urgent priority tasks which cannot be implemented simultaneously.
With the new fiscal rule demanding that government sets aside up to 40 percent of mineral revenues to buffer financial savings, the need to post another budget surplus has added pressure to the mounting concern over the inadequacy of resources channelled towards driving poverty eradication, income equality and job creation.
Whilst celebrating milestones in inclusivity, with notably P5 billion awarded to vulnerable groups, the report sounds a 'siren' on a dangerous and growing trend: the ballooning use of micro-procurement. That this method, designed for small-scale, efficient purchases, now accounts for a staggering 25% (P8 billion) of total procurement value is not a sign of agility, but a 'red flag'. The PPRA’s warning is unequivocal and must be...