The Government tabled today the new budget consisting of an overall resource envelop of 17.3 billion South Sudanese Pounds although spending is limited to 9.2 billion Pounds.
Finance and Economic Planning Acting Minister Marial Awou Yol presented the 2013-2014 National Budget and the Appropriation Bill to the National Legislature on Monday.
Dr Awou announced that 8.1 billion pounds will be used to pay loans and arrears, rebuild reserves, the transport of crude through Sudan and for transfers to Sudan and to crude producing states.
The acting minister said ‘the financial situation will continue to be fragile and difficult until the end of December’ and the budget will run within the austerity measures until the end of the year.
Dr Awou added that in January if oil production continues the Government resumes the normal spending, including payment of full salaries and allowances.
He underlined that South Sudan should be able to produce 280 thousand barrels of oil per day, representing a net income of 7.5 billion Pounds.
Dr Awou said the budget foresees the collection of 1.5 billion Pounds in non-oil revenue.
He added that 4.7 billion Pounds comes from loans and the rest from donors.
Dr Awou called for the establishment of the Revenue Authority and the approval of the Customs Bill to establish the legal framework for collecting and tracking revenues.
He said the 2014-2014 budget was prepared under the theme ‘Boosting social services and economic growth in a prudent and responsible manner.’
Deputy speaker Daniel Awet Akot chaired the session.
He gave 14 days to the legislators to study the National Budget and the Appropriation Bill by clusters and prepare reports for the second reading session.