Lawmakers are scheduled to vote next on 5 July 2011 on the proposed 39 percent increase in the budget for projects targeting the improvement of food security and infrastructure programs, an official of the Ministry of Finance said.
Expenditure is expected to grow to 117.8 billion birr (6.9 billion dollars) in the coming fiscal year (to 7 July 2012), while revenue and foreign grants are expected to increase 40 percent to 100.6 billion birr, Haji Ibsa Gendo, a spokesman for the Ministry of Finance said yesterday. He said that external loans would provide 6.6 billion birr and domestic borrowing 10.5 billion birr to fund a deficit that is below 1.5 percent of GDP.Road building program will consume about 16 billion birr from the budget while 2.7 billion will be spent on health; 4.6 billion on irrigation; 6.5 billion on defence; 8.5 billion on education and 4.4 billion on projects related to ensuring food security, Haji said.
The budget does not include the 4.7 billion dollar hydro power dam which is currently under construction, Haji said.
Source: Bloomberg
