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Parliament has urged the government to fully capacitate the Auditor-General’s office by committing at least 1% of the 2023 national budget towards its operations so that it can operate as an independent institution.
Finance and Economic Development minister <a href="https://www.pindula.co.zw/Mthuli_Ncube">Mthuli Ncube</a> allocated $9.9 billion against a bid of $25.3 billion to AG’s office for 2023, which translated to 0.6% of the national budget.
The 2023 budget was passed by Parliament last week without any significant changes to allocations.
A post-budget report by the Public Accounts Committee (PAC) said AG’s office was paramount as it scrutinised the effectiveness of government financial systems and the level of compliance with financial policies and guidelines.
Legislators said underfunding could compromise the effectiveness of the Auditor General’s office to carry out its oversight function. Read in part the PAC report seen by <a href="https://www.newsday.co.zw/local-news/article/200005443/parly-urges-govt-to-fund-ag-office">NewsDay</a>:
<blockquote>
The independence of the audit office is partly guaranteed by enabling it to perform its mandate fully and this is achievable if adequate resources are made available. It should be noted that audit offices, the world over, have a responsibility of assisting governments to better manage scarce public resources in a transparent manner and to achieve their set objectives.
Our audit office has performed well in the past and deserves the necessary budgetary support to help it keep on fulfilling its constitutional mandate.
</blockquote>
Legislators said throughout the PAC’s analysis of the AG’s reports, it had noted with concern that there was low coverage by the audit office due to a lack of resources.
PAC said AG’s reports pointed out that some foreign stations and embassies had gone for many years without being audited thereby presenting great risks to public finance management.
<h2><a href="https://zero.pindula.co.zw/">More Pindula News</a></h2>

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Parliament Says The Auditor General's Office Needs To Be Adequately Funded

Zimbabwe Confederation of Public Sector Unions president Cecilia Alexander has said Finance and Economic Development Minister, Mthuli Ncube must pay civil servants a minimum of US$540 in 2023.
Alexander’s remarks come as Ncube is set to announce the 2023 national budget this Thursday at the new Parliament building in Mt Hampden, Harare. Alexander told <a href="https://www.newsday.co.zw/local-news/article/200004006/ncube-must-pay-civil-servants-usd-salaries">NewsDay</a>:
<blockquote>
To stalk inflation, Ncube must ensure that servants earn a minimum salary of US$540 in 2023. We are looking at a budget that will give employees a living wage, one that is reflective of the cost of living, and we want a budget that will bring currency and exchange rate stability. The minimum wage and poverty datum line are there, but we should understand the need for civil servants to retain their status in the community.
</blockquote>
Since 2019, public sector workers have embarked on periodic strikes demanding restoration of the pre-2018 salaries that were in the range of US$540.
Economist Prosper Chitambara said Zimbabwe has not been investing adequately in critical sectors such as public health, water and sanitation, social protection, and education. He added:
<blockquote>
As a result, donors have been coming on board to plug in the huge financing gaps in those sectors. In terms of taxation, we expect Ncube to do something to alleviate the huge tax burden. Zimbabwe is one of the most taxed economies in the world. You see this in the pricing of basic commodities like fuel, which is the highest in the region.
</blockquote>
The budget is presented at when poverty is deepening, inequalities widening between the rich and the poor; public debt is soaring, and the climate change crisis intensifies, Zimbabwe Coalition on Debt and Development (Zimcodd) said in a weekly report issued on Tuesday.
ZIMCODD also noted the need to bring tax relief measures to the “overtaxed citizens including scrapping or reducing the regressive 2% intermediated money transfer tax.”
ZIMCODD also said the budget must address the ballooning debt burden currently estimated at US$17 billion.
<h2><a href="https://zero.pindula.co.zw/">More Pindula News</a></h2>

2023 Budget: Finance Minister Told To Pay Civil Servants A Minimum Of US$540

Finance Minister, Mthuli Ncube last week rejected line ministries’ 2023 budget bids of $9 trillion, saying the proposed figures were three times what is available.
Professor Ncube said their requests can be granted only if the government was to borrow.
The minister told delegates including Parliament Speaker Jacob Mudenda that ministries lacked knowledge of the global strategy paper needed to be adopted when formulating national budgets.
He said bids were controlled by the economy’s performance (GDP figures) which is the guiding principle, <a href="https://www.newzimbabwe.com/mthuli-ncube-shoots-down-9-trillion-budget-bids-by-ministries-says-bids-are-three-times-what-is-available/">NewZimbabwe.com</a> reported.
Responding to contributions by ministries and MPs during the pre-budget seminar, Ncube advised government would not go beyond $3.4 trillion. He said:
<blockquote>
The bids are three times what is available. The economy can only support about 17% of GDP and that percentage of the GDP transfers to about $3 trillion unless we borrow.
This then turns to be the ceiling for everything. As Treasury, we then try to come up with ceilings for various ministries, including Parliament.
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.
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.
</blockquote>
Some of the bids that were drastically cut included:
<blockquote>
1). The Defence ministry’s bid of $800 billion, was reduced to $226 billion.
2). The Sports ministry’s bid of $340 billion, was cut to $11.7 billion.
3). The Public Service ministry’s $657 billion bid was reduced to $87 billion.
4). The Higher and Tertiary Education ministry’s proposal of $176 billion was downsized to $99.4 billion.
</blockquote>
Ncube was criticised by Members of Parliament for failing to disburse past budgetary allocations to the line ministries.
<h2><a href="https://zero.pindula.co.zw/">More Pindula News</a></h2>

Finance Minister Ncube Rejects Ministries' 2023 Budget Bids Says "They're 3 Times What's Available"

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