Story by Lisa Masuku
Zimbabwe’s Treasury says it will review budget allocations for 2025 to sustain bids from government ministries in line with prevailing economic conditions.
As the curtain came down on the four day National Pre-budget Seminar this Saturday in Bulawayo, the Minister of Finance Economic Development and Investment Promotion Professor Mthuli Ncube said the proposals by line ministries are over ZiG$700 billion against a budget envelope shared through the second budget call circular with a ceiling of ZiG$140 billion.
The treasury chief revealed a review of the bids will be carried out based on the prevailing economic conditions ahead of the 2025 national budget presentation slated later this month.
“The total bids for the 2025 National Budget are over ZiG$700 billion against budget envelope shared through the second budget call circular with a ceiling of ZiG140 billion. That is fives times the ceiling of 18% of GDP. The 2nd Budget Call Circular was issued before depreciation of the domestic currency. Therefore, we are updating the fiscal framework to take into account the new changes which will allow an upward review of ceiling,” said Professor Ncube.
Speaker of National Assembly Advocate Jacob Mudenda advisedThe Finance, Economic Development and Investment Promotion Minister to create a formula that will ensure there are no duplication to avoid disbursement of funds for similar projects in Ministries where it is possible to create synergies.
He said, “I think you have to exercise a firm hand in the formulation of the National Budget, there are some ministries that can work together in various projects.”
The National Pre-budget Seminar serves as an important platform for shaping the country’s financial landscape in the upcoming year.
