“Personnel Emolument expenditures, which are part of Other Expenditures, are projected to increase from D5.75 billion in 2022 to D6.14 billion in 2023, he said.
“This increase is a result of the assumption of the payment of hardship allowances for teachers in Lower Basic Schools (previously paid by the World Bank), payment of Allowances to Election Officers for the upcoming local government elections, Personnel Costs for the National Assembly, as well as yearly increments based on promotions,” he stated.
He also stated that other Current (OC) Expenditure is projected to increase to D13.27 billion in 2023, “representing a 25 percent increase in comparison to 2022. This increase is mainly stimulated by projected expenditures on Subventions for the Ministry of Basic and Secondary Education and the health sector. Capital expenditure is expected to increase slightly by 6 percent to D12.70 billion in 2023, mainly a result of the suppression of expenditure on road projects in 2022,” Mr Keita said.
He elaborated that the crafting of the 2023 Budget is being done under very unusual and difficult social and economic circumstances.
“The fiscal year 2023 promises to be transformational as the global economic outlook is increasingly uncertain. It will be challenging and despite the gloomy clouds associated with Russia-Ukraine war, our 2023 national budget can place us on the path to becoming a highly resilient and productive economy,” he added.
He flagged that the preliminary data estimates of real Gross Domestic Product (GDP) growth for 2022 at 4.5 percent. “This is an expansion from a rate of 4.3 percent in 2021 when recovery from the pandemic was underway. This relatively better performance is the result of the anticipated increase in agricultural output and a projected sustained growth in both the industry and services sectors of 6.9 and 4.0 percent respectively. On the downside, the outlook in growth will depend on the continued impact of the Russia-Ukraine conflict, which could severely dampen growth prospects,” he said.
