A report by the World Bank on Tuesday 17th June 2014 provided some policy options in response to recent economic developments on what Zambia can do to promote trade and diversify exports. In a thought provoking presentation, the Bank documented recent economic developments which showed that economic growth driven by copper has remained strong but going forward declining demand for copper and declining copper prices are real risk factors. The report indicated that there were signs that future borrowing externally will become more costly because of tight financial conditions demonstrated by higher cost attached to the second bond that government successfully floated recently. A review of the economy revealed that in 2013 a preliminary 6.8% budget deficit was posted and in 2014 a budget deficit of 6.6% is estimated. The major areas contributing to the fiscal deficit were identified as the rising government expenditures in four main areas, thus; government wage related expenditures, agriculture subsidies, fuel subsidies and financing for public investment programmes. What do we expect in this coming budget more tax cuts for the worker or more incentives for industries?
Posted on: Sun, 05 Oct 2014 12:04:33 +0000
Trending Topics
Recently Viewed Topics
© 2015