Budget Deficit

2017 Budget meets targets and requirements

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.

Govt to cut spending in 2016

Treasurer Patrick Pruaitch when handing down the K14.2 billion 2016 budget said the total expenditure represented a K367.2 million, or 2.4 per cent reduction from the 2015  Budget of K15,129.7 million.

He said the 2016 expenditure provided a lower fiscal ceiling compared to previous years.

“Therefore, a clear prioritisation of expenditures guided the formulation of the 2016 Budget,’’ he said.

The following are the main Budget priorities: