National budget under pressure

The 200 per cent salary increment for civil servants has a huge bearing on the national budget because it obviously exceeds the 2013 funds allocation, says MMD former Finance Minister Situmbeko Musokotwane
Dr Musokotwane said although the actual figure was unknown, the increment dictated the need for huge amounts exceeding the funds for government’s workers in the budget.
He said  that the increased number of districts has doubled the number of government workers in district commissioners, council officials and many others.
“The increment has obvious effects although we don’t know at this stage what the actual effect in monetary terms could be. The overall amount set aside for increments has gone up much higher than what was budgeted for,” he said.
He said the creation of new districts has produced additional staff for the civil service which meant additional spending for the government.
Dr. Musokotwane explained that with such high unplanned for expenditures, it was no wonder government was panicking with decisions like the removal of subsidies on fuel and maize to help raise funds for public spending.
“That is why we have these removals of subsidies it’s because they want to cushion the effects of increased expenditure beyond budgetary lines. When there is an increase somewhere, there should be a reduction elsewhere to cover-up and that is where the subsidies come in,” he said.

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