2017 Budget meets targets and requirements

The 2017 Budget meets the projected deficit target of 2.5 per cent and is well within the Fiscal Responsibility Act’s, Debt to GDP ratio limit of 30 per cent.

That’s according to Secretary for the Department of Treasury, Dairi Vele, during the 2017 National Budget Press Lock Up at Parliament House.

Vele referred to a ‘Cash In/Cash Out’ equation stating the projected revenue of K11, 088.9 million and an expenditure plan of K12,623.3  million resulted in a budget deficit of K1.876.5 million (K1.9 billion)

The budget deficit equates to 2.5 per cent GDP, while the total Government debt of K21, 623.3 million (K21.6 billion), equates to 28.8 per cent of GDP.

He said the Government commenced running deficit budgets in 2012 to build this country and although faced with trying economic conditions, the government was working to reduce the deficit responsibly and deliberately so that the country is at balance just beyond 2021.




Cedric Patjole