Government ministries and departments will begin using pre-paid telephone services from the 2013/14 financial year, as part of various measures to reduce expenditures announced on Thursday.
The Minister for Finance and Economic Affairs, Dr William Mgimwa
Unveiling the 2013/14 budget in the National Assembly, the Minister for Finance and Economic Affairs, Dr William Mgimwa, said the government would also centralise procurement of motor vehicles to reduce procurement cost.
Dr Mgimwa noted that the government would provide loans to entitled government officials to buy private motor vehicles to reduce the use of public vehicles.He informed the House that the various expenditure reduction measures introduced in the 2012/13 financial year had met with some successes, including a substantial decline in the procurement of government vehicles and holding of seminars and workshops.
The minister mentioned areas where the expenditures had been slashed as participation in exhibitions and trade fair. He gave the example of this year’s public service week celebrations, which have been postponed.
Dr Mgimwa also said that any procurement of new motor vehicles had to be approved by the prime minister.The government had introduced various measures in the 2012/13 financial year to reduce expenditures in such areas as seminars, domestic and foreign travel, exhibitions, trade fairs and procurement of furniture and motor vehicles.
According to him, the expenditures would comply with the public Finance Act and the Public Procurement Act, adding that the government would control the budget deficit (including grants) not to exceed five per cent of GDP
Dr Mgimwa stated that recurrent expenditures in the 2013/14 would finance salary increment to civil servants and improving economic services and social development.
Recurrent expenditures would also finalise the process of getting a new constitution of the United Republic of Tanzania and preparations for 2015 general elections, he stated further.
The minister noted that the expenditures will also finance continued issuance of identity cards and completion of the analysis of population and housing census data.
In addition to the above areas, recurrent expenditures will also be used to finance payment of matured foreign and domestic debts and verified arrears and claims by various suppliers and employers.
Dr Mgimwa unveiled the 2013/14 budget in which the government projects a seven per cent growth in the economy in 2013 up from 6.9 per cent forecasted for 2012.
These will be achieved through the maintenance of macroeconomic stability, enhancement of revenue collection and taming of inflation.
By HENRY LYIMO, Tanzania Daily News
