Zambia
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K9.3 billion released for 2022 Budget Implementation, all arrears to contractors cleared

The Ministry of Finance in May released K9.3 billion towards the ongoing implementation of the 2022 National Budget.

Finance and National Planning Minister Situmbeko Musokotwane said that 9.2 billion of the total release was domestically financed while 76 million Kwacha was foreign.

Dr Musokotwane said that of the released funds 646.5 million Kwacha was channelled towards the countrywide supply of drugs and medical supplies to avoid interruptions while public hospitals and universities got 29.2 million Kwacha for operational expenses.

He says women and youth empowerment programmes under the Constituency Development Fund (CDF) were given K 2.8m.
The Minister states that primary and secondary schools are funded on a quarterly basis hence grants for the second quarter were disbursed in April to facilitate the smooth implementation of the free education policy in the second term.

Dr Musokotwane further reveals that Food Security Packs and the Social Cash Transfer Programme got K1.50m and K169.3m. Other sectors that have benefited are road funds with 741.4 million Kwacha which involves payments to over 700 micro, small and medium scale contractors and suppliers of services in the road sector.

In a statement to the media in Lusaka, Dr Musokotwane said this has cleared all arrears to contractors.
The Minister also noted that K368.8m was released to dismantle liabilities for goods and services previously supplied to the Government, of which 1-hundred million Kwacha went towards payment of personnel-related arrears for public service officials, some of whom were owed for more than 5 years.

And Dr Musokotwane said K2.4bn was released for debt service of which K433m went to external debt service for multilateral creditors while  Salaries for civil servants and overseas allowances for employees in missions abroad got K3.91bn.

Meanwhile, Dr Musokotwane has expressed delight that consultations for the 2023 National Budget and the 2023-2025 Medium Term Expenditure Framework are progressing well.

He said the positive feedback from stakeholders and the public to the Ministry’s invitation to participate in the formulation of next year’s national budget and the MTEF for 2023 to 2025, is encouraging and demonstrates the resolve by Zambians to help shape the direction of economic policy and the national development process.

So far the Ministry of Finance and National Planning has held participatory consultations in Luapula and Northern Provinces with nine other meetings set from June 6 to 22 in seven provinces.