null House refers draft Federal Fiscal Budget to committee

House refers draft Federal Fiscal Budget to committee

June 11, 2020; Addis Ababa:  The 16th regular session of the 5th House of the HoPRs referred the 2020/21 draft Federal Fiscal Budget of 4 hundred 76 billion Birr to the Revenue, Budget and Finance Affairs Standing Committee for further scrutiny after discussing on the budget speech delivered by His Excellence Ahmed Shidie, Minister of Finance.

The draft Federal Fiscal Budget comprises the overall amount of capital budget of the federal government and the regional allocations intended for realizing sustainable development goals, the Minister explained.

According to him, 3 hundred 50 billion Birr of the fiscal budget will be collected from domestic revenues and the remaining 126 budget gap will be filled with loans from both the domestic and foreign sources. The domestic sources will provide 48 billion where as the foreign ones will pour the remaining 78 billion Birr, he elaborated.

“The 2020/21 budget has an increase in amount compared to similar budgets of the preceding years. All the beneficiaries of this budget should use it in accordance to the Finance, Procurement and Property Directive rules and regulations of the government. The House, as per its mandates, shall oversee and supervise how properly is the budget being applied”, the Minister reminded.

The federal government applied economic measures to awaken the macro-economic recession of the nation caused by the effects of the #COVID-19 pandemic, the Minister recalled. Though the growth zone measures brought about promising benefits, the Minister said; the consequences of the pandemic on health, social, economic and other sectors are apparent and heavy.

As a result, the government’s fiscal budget is formulated in consideration of the dire situation on the ground and to anticipate the future as well in case the pandemic prevails, the Minister pointed.

MPs raised numerous questions and forwarded suggestions for the Minister which he reacted as appropriate as possible.

In addition, Honourable Tagesses Chaffo, Speaker of the HoPRs noticed the MPs to conduct thorough discussions on consecutive sessions to be held from now on. Finally, the House referred the draft to the Revenue, Budget and Finance Affairs Standing Committee as Bill No 40/2012 for detailed scrutiny.

Translated by Asrat Addisu