Economy under threat despite budget cuts Finance Minister Calle
Schlettwein has announced that the 2016/17 national budget will be cut by N$5.5
billion to help government reduce expenditure and cut deficit. The expenditure cuts have been predicted by many given the precarious economic situation the country finds itself in.
Delivering his mid-term budget review in the National Assembly this afternoon, Schlettwein said spending cuts were urgently needed due to the downward revision in budget revenue estimates of about N$6.23 billion.
“This is a necessary collective course of action and each and every single budget vote has contributed to this objective,” he said.
“The Namibian economy has never before been in such
a precarious situation.”
Out of the N$5.5 billion freed-up funds, Schlettwein wants to save N$4.5 billion, while spending the remaining N$1 billion on urgent priorities.
The allocations are as follows:
N$350 million for Neckartal Dam
N$150 million for drought
N$150 million to orphans and vulnerable children
N$50 million for visa stickers
N$100 million for Mass Housing
N$100 million to Unam
N$100 million to NUST
Read full story in tomorrow’s Namibian Sun