Dodoma — Finance and Planning Minister Philip Mpango tabled in the National Assembly yesterday budget estimates for his ministry, asking the House to approve a total of 8.716 trillion/- for the fiscal year 2016/2017, a large chunk of which will be used to service the national debt.
Available data indicate that the national debt, comprising domestic and foreign loans, has swelled to 42tri/- as of January, this year. The funds were used to finance implementation of development projects in various sectors of the economy.
He explained in the House here that a total of 8tri/- will be used to settle the national debt while 791.99bn/- and 45.45bn/- will be channelled to development projects and wage bill, respectively.
A former World Bank senior economist, Dr Mpango said that in the coming financial year, the government has also allocated 1.14tri/- to settle obligations it owes social security funds as an employer.
During the same period, the ministry expects to collect 449.699bn/- from various sources including sell of licences, tender documents, rent charges, dividends and contributions from public organisations.
The budget estimates covers the Ministry and departments falling under it namely the Treasury, the National Debt Department, the Accountant General, the Office of the Treasury Registrar and the Joint Financial Commission.
Others include the Financial Intelligence Unit (FIU), the National Audit Office of Tanzania (NAOT) and the Planning Commission, to which Dr Mpango was executive director before he was appointed by President John Magufuli as Acting Commissioner General of the Tanzania Revenue Authority (TRA) and eventually Minister for Finance and Planning.
In a related development, Dr Mpango asked the House to approve 230.693bn/- for recurrent and development votes for the Office of the Parliament and the Judiciary Fund.