28 Feb 2017

Parliament on February 27 approved P946 197 750 budget for the Ministry of Finance and Economic Development for the 2017/18 financial year.

Finance and Economic Development minister, Mr Kenneth Matambo stated that P846 197 750 would go towards the recurrent expenditure while P100 million was for development spending.

The minister explained that the budget estimates were a 7.7 per cent increase from the previous financial year.

He said majority of the recurrent expenditure at P529.6 million would be allocated to the ministry’s headquarters while P241. 4 million would be used for subventions to the seven public enterprises under the ministry.

These public enterprises include Statistics Botswana, which will get P120.4 million, Public Procurement and Asset Disposal Board which will get P54 million and Botswana Institute for Development Policy Analysis, which will get P21.5 million.

Others are the Non-Bank Financial Institutions Regulatory Authority (P16.8 million), Botswana Accountancy Oversight Authority (P13.2 million), Botswana Stock Exchange (P6.6 million) and Botswana Institute of Chartered Accounts (P8.7 million).

Mr Matambo explained that the money allocated for the development budget would be shared by the ministry’s projects being the ministry’s computerisation, consultancies, infrastructure, and Statistical Surveys and Studies.

Shoshong MP, Mr Dikgang Makgalemele supported the budget, but encouraged the ministry to find ways of attracting entrepreneurs to invest in rural villages. Mr Makgalemele said investment was needed to grow rural economies.

The legislator further said scanners should be installed at all border posts to avoid incidents where goods might enter the country undetected and avoid being taxed.

“Some of our border posts do not have scanners and goods can pass without being taxed. This costs the country a lot in terms of revenue collection,” he said.

Gaborone Bonnington South MP, Mr Ndaba Gaolathe said there was need to reform the country’s budgeting system. He said one of the reforms should be the inclusion of the ministries’ performance data along with the budget proposals. He also said Parliament should establish a budgetary office.

The legislator further asked for the establishment of legislation on Public Private Partnerships (PPP)s to provide guidance on how government should approach it according to sectors.

“PPPs are very different depending on sectors. We need a proper legislation to guide how PPP should be among various sectors,” he said.

He further called for establishment of legislation on second tier banking system that would enable citizens to establish banks. He said time had arrived for the country to have an indigenous bank.

Specially Elected MP, Ms Bogolo Kenewendo said Statistics Botswana should be given more resources to function optimally because it played a vital role of data provision, which is important for decision-making. ENDS