Read Global Strategy Paper, Mthuli Ncube tells min...

Read Global Strategy Paper, Mthuli Ncube tells ministries as he slashes 2023 budget proposals to 30 percent

Zim Now Writer

Finance and Economic Development Minister, Mthuli Ncube last week shot down line ministries' 2023 budget of $9 trillion, saying the figures were too high and the ministries showed no knowledge of the guiding policy in place.

“We cannot go beyond the global envelope that is in the strategy global paper, so $3,4 trillion is in the strategy budget paper. We beg for your support going forward in guiding the various ministries in terms of these ceilings," Ncube told delegates to a pre-budget seminar, including Parliament Speaker Jacob Mudenda.

The Defence Ministry is one which bade for $800 billion, which slashed to $226 billion.

Sports ministry had its bid of $340 billion cut to $11,7 billion while the Public Service ministry was reduced to $87 billion from a staggering $657 billion.

The Higher and Tertiary Education ministry got $99,4 million against their initial requirement of $176 billion.

The Finance Minister said that ministries showed no knowledge of the

2023 Budget Strategy Paper adopted by Cabinet in July this year as the policy document outlines the forthcoming proposed budget priorities taking into consideration the macroeconomic conditions in the country.

“We are an economy driven by a global figure which is driven by the capacity of the economy in the first place. In future, we will ask the MPs to assist us in advising the ministries of these ceilings,” he said.

Ncube, praised the MPs for their zeal for development.

“We take recommendations very seriously and they form the basis of the people's budget,” Ncube said.

But, according to Ncube, the guiding principle when formulating a budget is the economy's performance and the country should not budget for excessive borrowing by coming up with a budget inflated beyond its means.

“The bids are three times what is available. The economy can only support about 17percent of GDP and that percentage of the GDP transfers to about $3 trillion unless we borrow.”