News / National
Biti sets aside over US$100m for infrastructure, manufacturing, agriculture
25 Jan 2012 at 14:10hrs | Views
The Finance Minister, Tendai Biti, has set aside over US$100 million to finance priority infrastructure projects which could not be accommodated in the 2012 national budget.
Addressing his first Treasury media briefing this year at his government offices in Harare today, Biti said most of the funds would be used to improve on service delivery such as water reticulation and energy.
Biti said it was urgent to assist local councils such as Harare which is facing an outbreak of the typhoid disease with over a 1 000 people having been treated since the outbreak of the disease this month.
He further set aside some funds to support various critical sectors such as manufacturing and agriculture.
"US$20 million will go towards complementing the previously announced agricultural support. US$30 million will be for lines of credit to the productive sectors of the economy currently operating at low capacity," said Biti.
"This is part of government's contribution under the Distressed and Marginalised Areas Fund (DiMAF) where Old Mutual has already contributed its US$20 million obligation," he said.
He said concerns have been raised by stakeholders over some of the measures that government had implemented this year as part of the 2012 Budget in order to support increased domestic production and level the playing field vis-à-vis some of the imported commodities.
"This was also against the background of unsustainable over-dependence on consumption of imports at the expense of domestic production. Clearly, this level of reliance on external savings is unsustainable, making the institution of measures supportive of growth in domestic production unavoidable," said Biti.
He said the critical importance of the economy and macro-economic stability in Zimbabwe predicates for regular monitoring of all macro-economic indicators to allow government, business, labour and other stakeholders to plan.
"Given this imperator, Treasury will, therefore, be providing periodic communication on major developments within the economy. I am pleased to announce that each month, I will be providing a Monthly Budget Dashboard that will outline monthly budgetary developments, tracking in particular, Budget performance in key areas of public sector
investment and social delivery.
"In addition, the Monthly Budget Dashboard will also capture and outline important developmental challenges and issues affecting our economy," said Biti.
Addressing his first Treasury media briefing this year at his government offices in Harare today, Biti said most of the funds would be used to improve on service delivery such as water reticulation and energy.
Biti said it was urgent to assist local councils such as Harare which is facing an outbreak of the typhoid disease with over a 1 000 people having been treated since the outbreak of the disease this month.
He further set aside some funds to support various critical sectors such as manufacturing and agriculture.
"US$20 million will go towards complementing the previously announced agricultural support. US$30 million will be for lines of credit to the productive sectors of the economy currently operating at low capacity," said Biti.
He said concerns have been raised by stakeholders over some of the measures that government had implemented this year as part of the 2012 Budget in order to support increased domestic production and level the playing field vis-à-vis some of the imported commodities.
"This was also against the background of unsustainable over-dependence on consumption of imports at the expense of domestic production. Clearly, this level of reliance on external savings is unsustainable, making the institution of measures supportive of growth in domestic production unavoidable," said Biti.
He said the critical importance of the economy and macro-economic stability in Zimbabwe predicates for regular monitoring of all macro-economic indicators to allow government, business, labour and other stakeholders to plan.
"Given this imperator, Treasury will, therefore, be providing periodic communication on major developments within the economy. I am pleased to announce that each month, I will be providing a Monthly Budget Dashboard that will outline monthly budgetary developments, tracking in particular, Budget performance in key areas of public sector
investment and social delivery.
"In addition, the Monthly Budget Dashboard will also capture and outline important developmental challenges and issues affecting our economy," said Biti.
Source - Byo24News
