Mozambican state expenditure totals US$6 billion in 2013

17 October 2012

Total expenditure by the Mozambican state is expected to reach 175 billion meticals (US$6 billion) in 2013, which is a year-on-year increase of 12 billion meticals according to projections outlines in the proposed Economic and Social Plan submitted to parliament.

As the plan also forecasts revenues of 113.9 billion meticals, the budget deficit should total 61.2 billion meticals, which is slightly less than the 66.9 billion metical deficit expected for this year. The deficit will be covered by domestic and foreign aid and loans.

Cited by daily newspaper Notícias, the economic and social plan for 2013 notes that the expected increase in expenditure is due to a projected rise in salary costs after hiring 8,500 new teachers and 1,500 general staff for the Education and Health sectors, respectively.

Just over 98 billion meticals of the expected total expenditure for next year, or 56.1 percent, is related to staff costs, acquisition of goods and services, current transfers and subsidies, amongst other areas.

According to the government’s proposal just over 68.5 billion meticals, accounting for 39.2 percent of the total expenditure outlined for 2013, will be used for investment, including planning and execution of construction work, and acquisition of facilities and equipment.

For 2012 the State Budget included overall expenditure of 163 billion meticals and revenues of 96.5 billion meticals, leading to a budget deficit of 66.9 billion meticals covered by donations and loans. (macauhub)