News / National
'Budget is full of illegalities' says Tendai Biti
23 Nov 2018 at 14:08hrs | Views
Former Finance Minister Tendai has shred the budget statement by Minister Mthuli Ncube calling it a load of confusion, illegalities and contradictions.
In a series of frenzied tweets on Friday, Biti said, "As for the budget itself, we truly are a cursed nation What a load of confusion , contradictions and illegalities. The US$ is legal tender in Zimbabwe therefore treating same as a foreign currency is both illegal and dangerous . It is an acceptance of devaluation of the bond yet."
"Revenues constitute 35% of GDP. So Zimbabweans are already overtaxed .Imposing duty in foreign currency when people earn bond notes, increasing duty on fuel and other goods is wrong and terrible economics. Prices will shoot up but incomes have been eroded by devaluation and inflation."Biti fumed.
"Austerity means serious expenditure retrenchment not over taxing the population. Austerity is expenditure management .This budget actually increases expenditure from 2018 budget . Huge and unnecessary allocations to defence and President's office. Budget deficit of over $1.5 Billion.
The budget is cowardly. It does not address 5 structural issues raised which are:
1)the currency of use and exchange rate
2)financial mess& currency issue
3)Serious Fiscal consolidation measures
4)Debt relief & political reform
5) the 2% tax. It plunges Zimbabwe into further economic turmoil.
"Budget is proof beyond reasonable doubt of the crises of legitimacy and leadership in Zimbabwe .It was an idiom of weakness ,opportunism, failure ,cruelty and cluelessness .There will be unnecessary litigation and the continued suffering of our people .Rigging truly does not pay."
The budget has been met with mixed feelings throughout the country with others praising it and others saying strict regulations impose will encourage corruption to increase.
In a series of frenzied tweets on Friday, Biti said, "As for the budget itself, we truly are a cursed nation What a load of confusion , contradictions and illegalities. The US$ is legal tender in Zimbabwe therefore treating same as a foreign currency is both illegal and dangerous . It is an acceptance of devaluation of the bond yet."
"Revenues constitute 35% of GDP. So Zimbabweans are already overtaxed .Imposing duty in foreign currency when people earn bond notes, increasing duty on fuel and other goods is wrong and terrible economics. Prices will shoot up but incomes have been eroded by devaluation and inflation."Biti fumed.
"Austerity means serious expenditure retrenchment not over taxing the population. Austerity is expenditure management .This budget actually increases expenditure from 2018 budget . Huge and unnecessary allocations to defence and President's office. Budget deficit of over $1.5 Billion.
The budget is cowardly. It does not address 5 structural issues raised which are:
1)the currency of use and exchange rate
2)financial mess& currency issue
3)Serious Fiscal consolidation measures
4)Debt relief & political reform
5) the 2% tax. It plunges Zimbabwe into further economic turmoil.
"Budget is proof beyond reasonable doubt of the crises of legitimacy and leadership in Zimbabwe .It was an idiom of weakness ,opportunism, failure ,cruelty and cluelessness .There will be unnecessary litigation and the continued suffering of our people .Rigging truly does not pay."
The budget has been met with mixed feelings throughout the country with others praising it and others saying strict regulations impose will encourage corruption to increase.
Source - Byo24News
