Following the onslaught of COVID 19 last year, government has taken austerity measures to control its spending.
In a statement government reveals that the austerity measures are imposed within government ministries, and as expected government will save money as a result of the imposed measures.
Government says by law, the public will learn of the amount of money saved from these austerity measures after the national budget is being deliberated and passed in the first quarter of this year.
However, government states that the imposed austerity measures meant that some government activities are facing the axe, certain activities being controlled and other activities being streamlined to ensure proper monitoring and evaluation.
Government reveals that these measures were being imposed effective since 14th October 2020 and still on- going.
Government states that services that faced the axe including all non- essential provincial touring imprests, all non- essential tourism grants and all non- essential imprest requests which were returned to ministries.
Government also curtailed the non- preferred supplier procurement stating it is rejected unless accompanied by a ‘compelling’ bid waiver request.
Government adds that ministries are also requested to submit payments to treasury that fall under any of these categories; COVID or other donor related payments or for essential services and utility payments in order for the machinery of the government to continue to operate.
Besides these, government also centralised all procurement activities which means that all procurement activities over a certain amount of money will have to be approved by the Central Tender Board (CTB).
Government says that the austerity measures further covers all IT equipment purchases which will have to be approved by the Treasury procurement as well. ICTU is ordered to take stock of all IT equipment on warranty for the last 24 months and provide to Treasury.
Government confirms that with these austerity measures still in place government resources will be maintained as is always been the case.
Government also states that this year’s budget will reflect the redirection policies of government which means the budget will centre around economic growth, safeguarding our population from the COVID19 pandemic and harnessing of the social sector by ensuring effective delivery of essential services.
Media Release from Government Communication Unit