Mozambique: Public expenditure soared by 12% in H1 – Carta

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Mozambique: Public expenditure soared by 12% in H1 – Carta

8:30 CAT | 05 Aug 2021

File photo: TVM

Mozambican public expenditure continues to soar. Data advanced this Tuesday by the Council of Ministers spokesman at the end of the organ’s 27th ordinary session, indicate that, during the first half of this year, public expenditure reached 165,852.9 million meticais, representing real growth of 12% over the same period in 2020, when it was 141,873.2 million meticais.

According to Filimão Suazi, expenditure between January and June 2021 corresponds to 45% of the State Budget planned for this year, while in the first six months of 2020 it corresponded to 41.1% of the budget planned for that year.

According to the deputy minister of justice, the state collected 127,421.7 million meticais in revenue in the first six months of 2021, corresponding to 48% of the annual target, against the 110,206.4 million meticais collected in the same period in 2020, which corresponded to 46.8% of the 2020 target. In other words, there was nominal growth of 15.6%.

Suazi said that, in the assessment of the government’s performance in the first half of 2021, the executive was not able to successfully implement the Economic and Social Plan (PES) planned for this period.

Without going into particulars, he said that, of the 356 indicators programmed, only 48% (171) reached their target, while 21% (73) partially reached target and 31% (112) did not reach the target foreseen for January-June of this year.

Inflation averaged 4.16%, below the 5% forecast for 2021.

Asked about next six months, taking into account the situation described in the Budget Execution Report, Suazi said: “The prospects for economic growth are promising.”

By Evaristo Chilingue

Source: Carta de Moçambique