Follow us on:

Facebook Twitter LinkedIn YouTube

Domestic

Budget allocations for finance ministry and related entities get Assembly’s approval |02 December 2022

The National Assembly yesterday approved budget allocations for the Ministry of Finance, National Planning and Trade and seven other government entities that fall under the Ministry.

It was Minister Naadir Hassan who presented the budget allocation for his ministry and related entities and he was accompanied by the secretary of state, Patrick Payet, and representatives of each respective entity.

 

Ministry of Finance, National Planning and Trade

The ministry’s budget is R179.349 million for 2023, which represents an increase of R30.384 million or 20 percent more than the 2022 budget. The Finance department has been allocated R98.2 million, an increase of R44.04 million or 50 percent more than this year.

According to Minister Hassan, wages and salaries have increased by R7.1 million to cater for the 13th month salary, and salary increase, as well as recruitment for the new Asset Seizure Management Unit.

There is also increase of R6.6 million under Goods and Services.

“R2 million will go towards the operational costs of the new Asset (Seizure) Management Unit, R550,000 for the purchase of a new ‘debt management software’, the operational cost for the setting up of a ‘Public Financial Management Modernization Project (IFMIS)’ unit at a cost of R1.1 million,” he explained.

Budget for ‘Non-Financial Assets’ stands at R33.931 million and this relates to the setting up of an information system to collect information on all projects financed by the ministry’s international partners.

Minister Hassan said the system is being financed by the African Development Bank (AfDB) and is expected to be operational by the end of 2023.

“We have also made provision for R30.1 million under a line of credit to set up a new Integrated Financial Management Information System to manage public funds. We will start setting it up next year and it will be operational in 2025,” said Minister Hassan.

A sum of R1.5 million has also been allocated for the renovation of Liberty House.

With regard to the National Planning department, it has been allocated a budget of R4.6 million, which is an increase of R1.2 million from 2022.

“Its mandate has become more important for the ‘Result-Based Management’ programme that is being implemented to ensure the synergy between national strategies and government budget,” he said.

There again, there has been an increase of R694,000 to cater for the 13th month salary and the increase in salary for next year.

The Trade department has been allocated R42.711 million, which is a decrease of R14.814 million compared to the 2022 budget of R57.525 million.

 

National Tender Board

R4 million was approved for the National Tender Board, which is an increase of around R100,000 compared to the 2022 budget. According to Minister Hassan the major increase are under other goods and services to cover office rent, which will increase by 5 percent as from January, as well as changes in salaries.

 

Public Enterprise Monitoring Commission

The National Assembly voted unanimously in favour of the budget proposed for the Public Enterprise Monitoring Commission, which is a sum of R10.197 million compared to R8.969 million in 2022.

Minister Hassan explained that the salary is catering for the recruitment of a business analyst and a chief analyst to help the commission in its new mandate published in the new Public Enterprise law.

«The new law will bring clarity in the way the enterprises are governed and clarify the role of government, the board as well as that of PEMC. In addition the new law makes provision that we monitor and agree on the targets, so that the enterprises become more effective,” said Minister Hassan.

He also reminded the National Assembly that that there will be an audit for five public enterprises namely the Public Utilities Corporation (PUC), the Seychelles Petroleum Company (Seypec), Air Seychelles, Islands Development Company (IDC) and Seychelles Trading Company (STC).

 

Seychelles Revenue Commission

Minister Naadir Hassan informed the National Assembly that the budget for the Seychelles Revenue Commission (SRC) for 2023 is R246.7 million, out of which a portion will cover capital expenses including interest on a loan to build the SRC building and fund for POS system for VAT.

“The capital project represents a total of 23.9 percent for a sum of R59 million. The balance for a sum of R54.8 million, which represents 22.3 percent, covers goods and services for the implementation of different programmes,” he said.

Budget expenses for 2023 represents an increase of 6.5 percent compared to this year, which is a sum of R15.1 million, mainly to cater for the 13th month salary and increase in salary, software license which is R646,000, payment for subscription to international organisations as well as transport and travel expenses.

 

Fair Trading Commission

R16.128 million has been approved for the Fair Trading Commission (FTC) for next year, an increase of R2.524 million compared to 2022.

According to Minister Hassan the increase will cover FTC’s new responsibilities under its new Fair Trading Act, 2022, which came into force in August this year.

He said FTC’s strategic objectives for 2023 are to increase public knowledge through well-structured educational programmes about bad business practices, re-inforce the implementation of the law and regulations to prevent, identify and prosecute bad practices against consumers. It will also increase monitoring in the market to identify concerns and alert government as and when to amend policies as well as maintain a high level of success before the new tribunal and the Supreme Court when prosecuting cases.

It should be noted that 30 members voted for FTC’s budget, no one voted against and one member abstained.

The National Assembly also approved budgets for three other entities without taking questions from the members. These were namely the Tax and Customs Agent Board for a sum of R1.404 million, the Government Audit Committee for R869,000 and the National Bureau of Statistics for a sum of R17.166 million.

 

Patsy Canaya

 

More news