Shiimi's maiden budget imminent
Shiimi's maiden budget imminent

Shiimi's maiden budget imminent

Jo-Mare Duddy Booysen
Jo-Maré Duddy - Industry sources yesterday said the 2020/19 Budget is expected to be tabled on Tuesday, 19 May.

Approached for comment, the chief public relations officer at the ministry of finance, Tonateni Shidhudhu, told Market Watch: “This is a tentative date. We are still conducting consultations.”

Namibians are eagerly awaiting for the budget for various reasons.

The country has now been without a budget for about five weeks – the new fiscal year started on 1 April.

It will be the first budget of new finance minister Iipumbu Shiimi, who replaced Calle Schlettwein.

With very limited fiscal room, Shiimi will have to deal Namibia’s ongoing recession and the massive impact the lockdown and the global Covid-19 pandemic will have on the economy.

In the absence of a tabled budget, Shiimi is currently applying section 9 of the State Finance Act, “which provides for a continuation authorisation” pending the passing of the Appropriation Act by parliament.

The section allows government to use up to a third of the budget of the preceding financial year.

According to the mid-year budget review (MYBR) tabled by Schlettwein last October, Namibia’s budget for 2019/20 was estimated at nearly N$66.6 billion. Government is therefore allowed to use up to about N$22 billion to keep the state’s wheels rolling until the new budget is tabled.

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