We are trying our best – Shiimi

We are trying our best – Shiimi MATHIAS HAUFIKU



WINDHOEK

Finance minister Iipumbu Shiimi says government is trying its best to salvage the country’s teetering economy, despite claims it is amassing excessive debts that will destroy the country going forward.

Speaking during the Namibia Media Holdings’ Evening Review show last night, Shiimi said the country faces resource limitations that are inhibiting government to execute its development plans.

“Government finances are under pressure because we are in a pandemic that destroyed our resources. We must manage our resources responsibly to ensure we do not overburden the future generation. Hence, we must spend on areas that will stimulate growth and not create debts that will cripple the economy,” he said.

While the youth have often accused the elders of running the country into the ground and subsequently leaving the country heavily indebted, Shiimi said “there is some merit in their worries but not the accusations”.

“It is true that the debt increased in the last few years, especially from 2015, but I do not agree it increased because the elders are oblivious to the fact that we must protect the country for the future. The country has been well managed all along.”

Focus on priorities

Shiimi acknowledged that resource limitations in the public sector are partially caused by the management of resources, coupled with inefficiencies and low output levels.

He said Namibia is in a difficult position as far as financial stability is concerned. He also indicated that the finance ministry will consult broadly as it seeks to solicit input for the upcoming national budget.

“We want to improve on what we did before by consulting broadly because the budget is a key policy instrument and our people must have a voice. Obviously, we will not be able to fund all areas, therefore we will focus on priority areas,” he said.

We do not have unlimited resources so we must make hard choices, he said.

Once we stabilise pandemic, he said, the long-term strategy must be about diversification.

“We need to build an outward looking economy to boost exports. There is potential in the agriculture and energy sectors for this,” he said.

Shiimi also indicated that government is in the process of reviewing the status of some public enterprises.

Without naming entities, he said some state-owned enterprises could be merged while others will be abolished.

Asked about the public wage bill, which continues to swallow a huge chunk of the national budget, Shiimi said government is still trying to devise measures to trim the civil service.