Miaka iliyopita budget ilipitishwa ikiwa na sehemu mbili. 1) Budget ya kujitegemea, incase donors hawata toa mchango wao. 2) Budget tegemezi, inayojumlisha donors na mapato ya serekali. Wasiwasi wangu, huyu Mkullo, utendaji wake na historia yake. Je ni mtu anayeweza kutilia ngumu mambo ya pesa? Kwa mfano zile safari za JK, sasa haya ndio matunda ya hizo safari?
Najua tuko kwenye mambo ya uchanguzi, lakini haya mambo ya kukopa, wajukuu zetu kazi wanayo...
By PIUS RUGONZIBWA,
21st May 2010
THE government will borrow 250 million US dollars (about 350bn/-) from a foreign bank to offset a deficit in its 2010/2011 budget, but declared that it is not going to create a heavier burdern to taxpayers.
Finance and Economic Affairs Minister Mustafa Mkulo said the move follows the decision by some donors to slash their contribution to the General Budget Support (GBS) by 220 million US dollars in the next financial year.
He told a news conference in Dar es Salaam yesterday that the government was in final talks with the Stanbic Financial Group that has agreed to issue a loan to be repaid in five years.
The minister also hinted that the government was likely to spend 9 trillion/- on its 2010/2011 budget, but could not give much detail on local and external sources of revenue as well as sectoral allocation.
He further said that there would be insignificant increases of tax in 2010/2011, reassuring traders and investors stability and prudence of the Fourth Phase government fiscal policies.
"We are not going to draw more blood from the already over-burderned taxpayers," he stressed.
Traditionally the government depends on external sources including grants, loans and aid to finance its about 30 per cent budget deficit.
The minister was reacting to reports that GBS donors have slashed over 220 US dollars contribution in 2010/2011 financial year, demanding speedy implementation of some reforms, in a move that brought fears that various social and development programmes could be frustrated.
The development partners agreed to give the government 534 million US dollars in GBS in 2010/2011 financial year. But the minister said more funds were expected from the African Development Bank (AfDB).
"It is true, Development Partners are not happy with how we are working on some reforms for them to continue supporting our budget. But I wish to assure that things are now under control and the deficit won't be felt any more," he said.
The minister said the donors had earlier committed themselves to give the country over 220 million US dollars for 2008/2009 and 2009/2010 financial years to mitigate effects of the global financial crisis.
"Technically, we have already spent the money that we are supposed to be given during the next financial year (2010/2011) in the wake of economic recession..and for that reason we are now sourcing the funds elsewhere," he said.
He admitted that there were several areas that called for reforms in line with the donors' requests that includes cost of doing business, public finance management, legal sector reforms and the investment climate.
Mr Mkulo said the government plans to move in the National Assembly bills seeking changes on the Investment Act and provision of a legal framework on Private Public Partnership (PPP).
He, however, said reforms in various areas have already been carried out in public finance management, local government finance and establishment of the post of internal auditor general at the Treasury.