Parliament Passes 2020/21 National Budget Pegged at MK2.2 Trillion
Parliament has on Wednesday 14th October passed the 2020/21 national budget with Minister of Finance Felix Mlusu assuring Malawians that now implementation of some development initiatives as promised by the Tonse Government will start.
Speaking minutes after the 2.2 trillion-kwacha budget was passed, Mlusu hailed all parliamentarians for efforts and contributions made, which means various development projects will roll out.
Mlusu said, for instance, Malawians should now expect the 100-thousand-kwacha tax-free band on Pay As You Earn to take effect now.
Development expenditure is projected at K511.2 billion, consisting of K100.9 billion for domestically financed projects and K410.3 billion for foreign-financed projects.
The budget has a fiscal deficit of K754.8 billion, which is expected to be financed by foreign borrowing amounting to K224.8 billion and K530.1 billion from domestic borrowing.
Parliament passed the budget after the committee of supply which scrutinizes proposed arrangements vote by vote.
Finance minister commended members of Parliament (MPs) who contributed to the discussions.
“We are really indebted to the honorable members,” he told the House.
Main opposition Democratic Progressive Party’s (DPP) spokesperson on Finance, Joseph Mwanamvekha, who is the former Minister of Finance has described the budget as heavily consumption and private sector unfriendly.
Parliament has been adjourned to Monday at 2 pm for a final week of sitting.