K14.5 BILLION RELEASED, FEBRUARY, TO FACILITATE IMPLEMENTATION OF THE 2025 BUDGET
Finance and National Planning Minister Dr SITUMBEKO MUSOKOTWANE, MP, says the Ministry of Finance and National Planning will continue to ensure that public resources are increasingly applied to budgeted programmes. Dr Musokotwane says this will be done through enhanced internal control vigilance.
The Minister affirms that through stronger monitoring and evaluation systems, the Government will also keep a watchful eye on procurement systems to ensure that there is transparency, accountability, and efficiency in operations so as to realise the expected value for money from the goods and services supplied to it. Dr Musokotwane said this as he reflected on the February, 2025, budget implementation performance
In February 2025, the Ministry of Finance and National Planning released K14.5 billion to facilitate public service delivery. Of this amount, K3.5 billion went to transfers, subsidies and social benefits, K1.1 billion to capital expenditure, and K2.1 billion was released to sustain the implementation of various Government programmes and general operations. Further, the Ministry released K2.8 billion for arrears and both domestic and external debt service. In addition, K5 billion was released for the public service wage bill.
Debt and Other Liabilities: In line with the Government’s commitment to reduce indebtedness, a total sum of K2.8 billion was released, of which, K2.5 billion went towards domestic debt service, K209.1 million for external debt service, and K100.9 million to facilitate the ongoing process of dismantling arrears.
Transfers and Subsidies: K3.5 billion was released for transfers and subsidies. Notable expenditure under this category, included:
1) K1.4 billion for bi-monthly (January and February) payments for the Social Cash Transfer (SCF) Programme, targeting 2.3 million beneficiaries under both the emergency cash transfer facility for households affected by drought during the 2023/2024 farming season and the legacy social cash transfer facility for eligible elderly, disabled and other similarly vulnerable citizens;
2) K1.1 billion to pay outstanding bills to agro-dealers under the e-voucher model of the Farmer Input Support Programme (FISP) for the 2024/2025 farming season;
3) K432.9 million for Constituency Development Fund (CDF) supported ongoing community projects, as well as bursaries support for skills development);
4) K252.3 million for universities operations, student-loans, and scholarships;
5) K120.8 million to the Local Government Equalization Fund;
6) K96.7 million for the operations of public hospitals and Grant Aided Institutions in Government Ministries; and,
7) K209.1 million as an operational grant for the Zambia Revenue Authority. The funds are meant for, among other operations, strengthening tax compliance activities to ensure that revenue losses resulting from tax evasion, smuggling, and similar vices, are reduced and eliminated.
General Operations: The Treasury released K2.1 billion to facilitate implementation of developmental programmes and other general operations under various Government institutions, of which K117 million was allocated for drugs and medical supplies.
Capital Expenditure: The Treasury released K1.1 billion for ongoing capital expenditure programmes, of which K478.1 million was spent on road infrastructure works and K552 million on infrastructure projects.
Further, K70.8 million went to rural electrification projects. The Rural Electrification Authority is bridging the electricity gap between rural and urban areas through electrification of households, schools, chiefs’ palaces, health facilities, agricultural centres, and local courts and many other establishments in communities across the country. As the Republican President Mr. HAKAINDE HICHILEMA indicated during the recent state of the nation address on implementation of national values and principles, rural electrification is aiding increased productivity and improving quality of life and livelihoods of our fellow citizens across the country.
Wage Bill: The Government spent a total of K5 billion on the wage bill for various public service workers; including health, teaching, security personnel and overseas allowances for Zambian diplomats in missions abroad.
ENDs.