Sao Tome boosts budget with US$15.6 million from Oil Account

13 March 2006

Sao Tome, Sao Tome and Principe, 13 March – Sao Tome and Principe’s National Assembly has approved the transfer of US$15.6 million from its Oil Account, which brings together revenue from oil exploration, to the State Budget, according to local press reports Friday.

The figure, the transfer of which was proposed by a government decree, will boost Sao Tome’s state budget, which was approved last week and outlines expenditure of US$87 million, daily newspaper Tela Non reported.

Of the total, 35 percent is earmarked for general expenses and 65 percent for capital expenditure, including paying off foreign loans.

In its latest report on Sao Tome published last week, the International Monetary Fund (IMF) said it was “satisfied” with the archipelago’s economic development.

The IMF granted the country additional funding of US$600,000, but warned that Sao Tome needed to carry out reforms and create a transparent system for managing oil revenues. (macauhub)