State exceeds revenue by K2bn



GOVERNMENT has exceeded its revenue target of K16.3 billion by K2.2 billion for the first quarter of this year, Secretary to the Treasury Fredson Yamba announced yesterday. Instead of the targeted K16.3 billion, Government collected K18.5 billion, attributed to payment of tax arrears and advance settlements by mining and non-mining firms. Mr Yamba told a media briefing that the K18.5 billion is 13 percent above the target, which was also driven by upward amendments of provisional returns. The first quarter approved budget target for total revenues and grants was projected at K16.3 billion with K12.4 billion from taxes, K3.3 billion from non-tax revenues, and K469.6 million from grants. “The 2020 and 2021 fiscal years required Government to take measures to cushion the impact of COVID-19. “While this was imperative, there is need to formulate a medium-term policy that will put the country back on a trajectory that will achieve fiscal consolidation,” Mr Yamba said. With regard to Government spending, total expenditures during the period under review stood at K22 billion, 23 percent below the projected K28.6 billion. “Notable expenditures included K6.6 billion on personal emoluments, K3.2 billion for use of goods and services, K2.5 billion on non-financial assets, and K2.5 billion on transfers and subsidies,” Mr Yamba said. He said Zambia’s fiscal deficit has remained high and called for continued formulation of revenue policies to enhance collections while promoting development agenda. And Government has started countrywide budget consultations to get the input of all stakeholders in an effort to embrace a multi-sectoral development approach. “Government, through the Ministry of Finance, has commenced preparations for the 2022 national budget and 2022-2024 medium term budget framework. As you may be aware, the national budget is CLICK TO READ MORE

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