The Minister for Finance, Dr. Amin Adam says the government is not seeking to ask for cash in the mid-year budget.
“Mr. Speaker, our outlook for the rest of the year also takes cognisance of key risks. The IMF, this month, has already noted that “the Global Economy is in a sticky spot.” Upside risks to inflation and their impact on interest rates remain. These coexist in an environment of escalating trade tensions and increased policy uncertainty.
“On the domestic front, we recognise the need to meet large debt service payments relating to our just-ended debt operations. We will continue to review the performance of key SOEs and engage stakeholders to decisively mitigate their risks,” Mr. Adam disclosed during the mid-year budget presentation to Parliament on Tuesday, July 23, 2024.
According to him, despite these significant risks, this Mid-Year Fiscal Policy Review reasserts Government’s commitment to pursue growth in a context of fiscal consolidation and debt sustainability.
He further indicated that the developments in key operations of the economy as at midyear have prompted shifts in some of the assumptions that underpinned the 2024 Budget presented in November, 2023.
“There have been changes in amortisation, interest cost due to the external debt operations and disbursement forecast for externally funded projects. In this regard, we will remain within the appropriation for 2024.
“Accordingly, we are not seeking supplementary funds in this Mid-Year Review. We are determined to be more efficient, strategic and intentional to entrench fiscal consolidation and strongly promote growth”, he added.