Schlettwein to table mid-year budget review Tuesday

Minister of Finance Calle Schlettwein will table the Mid-Year Budget Review in the National Assembly on Tuesday.

Schlettwein gave notice during a sitting in the NA on Thursday where he said he would introduce a bill to amend the appropriation amounts of money for financial requirements of the State during the financial year ending 31 March 2020.

The mid-term review is aimed at announcing policies to support the economy and address micro-fiscal risks.

Managing Director of Twilight Capital Consulting and economic analyst, Mally Likukela told Nampa upon enquiry on Sunday that substantial growth in public debt is expected to feature in the mid-year budget review on Tuesday.

This, he said, is in breach of fiscal targets, however, the finance minister will water it down so it does not sound that terrible.

'My main expectation is that there will be an expanded deficit as a result continuous excessive spending of certain ministries over the period since the last budget tabling,' he said.

A substantial amount of state-owned enterprise bail outs to serve struggling SOEs is also expected while another notable feature could be a substantial amount allocation to recapitalize the Electoral Commission of Namibia as already indicated in the first budget.

'Most importantly there will be a public reaffirmation to the macroeconomic prudential measures or plan to respond to the [Fitch] Rating Agency's and International Monetary Fund's concerns about fiscal stability,' Likukela said.

Source: Nambia Press Agency