Zimbabwe 2017 Budget highlights

Finance minister Patrick Chinamasa presented a US$4 billion budget yesterday and pledged to cut government expenditure further next year after a US$520 million overrun in 2016. Below are highlights:

  •  US$4,1 billion budget unveiled
  • Economy to grow by 1,7% in 2017
  •  Revenue of US$2,876 billion collected between January and October 2016 against a target of US$3,158 billion, a negative variance of 9,8%
  •  Cumulative expenditure for January to October 2016 amounts to US$3,84 billion against a target of 3,32 billion, representing US$520 million overspend.
  •  Employment costs to gobble 91% of revenue
  •  Exports decline by 6,9% to US$3,365 billion
  •  Import bill stands at US$5,35 billion against exports of US$3,365billion
  •  A total of US$17 million of bond notes injected into the banking system
  •  Freeze in prices and fees charged by public entities
  •  Five cents health levy for every dollar spent on airtime and data
  •  Resuscitation of Ziscosteel on the cards
  •  Agriculture, which experienced a 3,7% decline in 2016, expected to grow by 12% in 2017
  •  Mining sector seen growing by 0,9% in 2017
  •  Manufacturing sector seen growing by 0,3%
  •  15% platinum tax reprieve extended to 2017
  •  Growth rate of between 0,3 to 3% anticipated in other sectors in 2017
  •  Capital inflows of US$692,4 million expected in 2016 against US$1,2 billion in 2015
  •  Formal remittances fall to US$780 million in 2016 from US$935 million in 2015
  •  Stock market turnover between January and October 2016 slumps by 29% to US$144,46 million.
  •  Primary and secondary education ministry gets highest vote of US$800,3 million followed by Home Affairs allocated US$364 million
  •  Defence ministry allocated US$340,5 million while health and agriculture sectors receive US$208 million and US$244 million respectively.
  •  Wheat flour, luggage ware and school uniforms removed from the open import licence with effect from January 1 2017
  •  Special wine duty regime announced.

    -The Zimbabwe Independent

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4 Comments

  1. Wezhira wezhara

    Police fines should find their way into the Consolidated Revenue Fund, otherwise we will continue to witness these huge budget deficits. The problem is if Chihuri gives Government chefs kickbacks, they will never demand an explanation.

    We continue to wonder who shall guard the guards. Mapurisa dzava mbavha from top to bottom. Rumors say Chihuri gets around US$30 000.00 allowance monthly from these fines. How far true is this?

  2. Budget in bankrupt Zimbabwe? What a sick joke! People have to wait for colonisation in the future for lives to have any meaning in Zimbabwe. There’s no way any black Zimbabwean or Zimbabweans can run the economy better than previous white governments. Never.

  3. 91% of the budget constitutes employment costs, a huge 9% for other government expenditure; economy expected to grow by a huge 1.7%!!! wow!!! this should be some kindergarten story

  4. Sender52. You cannot judge other leaders/parties based on the failures of one. Zimbabwe is endowed with smart people who can revive and run this economy back to pre-independence status or better. They are just being denied the opportunity to prove it. It’s a pity that you’re using ZANU PF and Mugabe as a benchmark…

  5. Sender52. You are just a racist. We as Zimbabweans do not need that, What we need is a strong force that will fight the Mugabe tirancy without regards of race, colour, creed or tribe

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