Zimpapers Logo

Farirai Machivenyika Senior Reporter

The presentation of a $1,7 trillion supplementary budget by Finance and Economic Development Minister Mthuli Ncube, giving the Budget required to take into account inflation since the end of last year, was a welcome development that will allow ministries and Government departments to execute their mandates up to the end of the year, legislators said.

Presenting supplementary estimates of expenditure, along with projections of how these will be almost entirely funded from taxation, in his mid-term fiscal policy review in the National Assembly, Prof Ncube said inflation had eroded allocations made to ministries in last year’s budget.

He also had to revise downwards the economic growth projections for 2022 from 5,5 percent to 4,6 percent because of the poorer than expected rainy season and the global economic downturns.

“The allocations to ministries are welcome given the inflationary pressures we are experiencing. This mid-term review also speaks volumes about the issue that people want to hear especially the tax free thresholds for businesses and individuals,” said Chegutu West legislator, Cde Dexter Nduna.

Harare Metropolitan representative Ms Paurina Mpariwa echoed similar sentiments saying ministries required more resources.

“I want to appreciate the initiative by the minister to come and consult and deliver his mid-term budget review statement because out there the budgets are not enough to cover what was expected because of inflation

“I hope that when we look and unpack what he has proposed as supplementary for ministries and departments we will need to be serious if they are to achieve what they have set out to do,” Ms Mpariwa said.

Hatfield legislator Dr Tapuwa Mashakada said the supplementary Budget was necessary because the initial set targets were not going to be met.

“The targets were a bit amiss and in order to correct this he presented a supplementary Budget to give more resources to ministries and departments so that they can execute their mandates,” he said.

Economist Mr Persistence Gwanyanya said the tax free thresholds would be a boon to workers.

“The biggest benefit that the government can give to the citizens is stability so low taxes are expected to benefit the employees in respect of the purchasing power of the money,” he said.

Legislators will debate the Budget when the House of Assembly resumes sitting in a fortnight.