01 Feb 2016

Minister of Finance and Development Planning, Mr Kenneth Matambo, has called for restraint when requesting for additional funding given the modest growth prospects for the domestic economy. 

Delivering the 2016/2017 budget speech, Mr Matambo called on ministries to exercise restraint, saying supplementary budgets would simply worsen the fiscal situation.

On other issues, Minister Matambo called upon those charged with project implementation in government to avoid deficiencies in project designs. 

Instead, he said they should ensure they provided accurate initial estimates of the costs of projects, re-engineer the tendering and adjudication processes to ensure speedy delivery of projects and ensure adequate supervision of contractors to avoid cost overruns and unnecessary delays in project delivery.

 “Most importantly, such projects should deliver on intended impact anchored on sustainable inclusive growth and economic diversification,” he said.

He noted that the private sector played a key role in delivery of development programmes, in particular through contractors who would be undertaking various projects and activities planned for the financial year.

Minister Matambo further said private contractors were critical in ensuring timely delivery of planned projects and quality of the final products.

“I implore all contractors to demonstrate their social responsibility and ensure that projects are delivered on time, according to specifications, within budgets and are of good quality.

It is my hope that given the importance of the recently introduced Economic Stimulus Programme (ESP) to economic growth and job creation, private contractors will cooperate with government in the delivery of the budget rather than stalling project implementation resulting in cost over-runs,” he added.

Minister Matambo further said since most projects envisaged for 2016/2017 and beyond were in the construction area, which required land, he appealed to land authorities throughout the country to expedite the process of land allocation and servicing as part of their social responsibility in delivery of Botswana’s development programmes and projects.

On public service salaries, Minister Matambo said negotiations were the prerogative of the Bargaining Council which comprised government and trade unions.

“It is important, however, to consider the prevailing global and domestic economic outlook, in particular the constrained fiscal space for 2016/2017 arising from the depressed global demand for and prices of diamonds. We all need to take into account these unfavourable economic fundamentals to ensure the country’s future fiscal sustainability,” he said. 

Meanwhile, Mr Matambo impressed upon the private sector that the development of the country was a matter of mutual responsibility and not that of government alone.

“While government has shown and continues to show visionary leadership by adopting policies and programmes aimed at inclusive growth, it is the responsibility of both the public service and private sector to deliver on these programmes and associated projects,” said Minister Matambo. Ends