7.4 BUDGET DEFICIT PROJECTED

According to Robert Mwanza ZNBC Reporter, Government has projected a 7 point 4 budget deficit partly owing to new staff recruitments. Acting Secretary to Cabinet Christopher Mvunga says the budget deficit far exceeds the country’s medium-term expenditure target of 3 to 4 percent. He says the upside risk of higher expenditure is partially driven by additional staff recruitment in the health, education and security sectors. Speaking during the First meeting on the 2019 negotiations for salaries and conditions of service for the Public Service with trade unions in Chilanga, Mr. Mvunga noted that while job creation and enhanced service delivery are positives moves, it impacts Government’s ability to operate within its budget. Meanwhile, government says implementation of austerity measures which started in 2016 will move forward into 2019 to ensure that it continues to attain the objectives of the economic stabilization and growth programme. Speaking at the same meeting, Public Service Management Division Permanent Secretary Boniface Chimbwali said the meeting was critical to ensuring there is adequate consultation between employers and employees in fostering industrial harmony in the Country. Meanwhile Union Team Leader Sefulo Nyambe, who is also SESTUZ President, called for calmness among employees as negotiations are under way.