by Dr Neo Simutanyi
My initial take on the 2022 National Budget is that it has surprises, but also retains familiar themes. We were promised a budget that will address jobs and free education. On that it hasn’t disappointed.
The employment of 44,200 new teachers and health workers is a practical demonstration of employment creation. It means the 44,200 will be able to support at least 176,800 dependents. Formal sector employees in Zambia have at least 4 dependents.
The employment of 44,200 new government employees will also stimulate economic activity as there will be disposable income that can support informal trade and SMEs. In some of our rural areas small shops weee closing down due to depressed demand. Lack of enough people with disposable income to purchase available merchandise.
The abolishment of school fees at primary and secondary schools is a welcome move. It will free parent’s money to other needy areas, and possibly reduce the rate of indebtedness among public service workers. But the idea of a bursary for secondary school pupils at boarding schools goes against the principal of universal provision of education to all learners. As bursaries will not benefit everyone, the policy may lead the drop-outs.
The idea of bursaries been awarded by committees within communities looks good on paper, but will government manage to ensure that the community bursaries committees are not captured by politically-connected individuals and ruling party affiliates? We’ve been there before and the implementation of this policy will need to be well thought out.
There’s still the lingering issue of the current administration of the loans and scholarship program for universities. President Hichilema promised to abolish the loan scheme and introduce a bursary. This was not reflected in the Minister of Finance’s budget speech. Even the issue of meal allowances that were scrapped by former Higher Education Minister Nkandu Luo was not to talked about. Surely, an education loan or bursary necessarily includes living expenses. It is my hope that this will be factored in the 2023 budget. But a conversation around this issue should start now.
Lastly, there retention of a number of old programs, such as FISP, the FRA strategic food reserves, Social Cash Transfer and Food Security Packs. These have been scaled up and of beneficiaries and value of payments increased. But that may just be part of the solution, one of the intractable challenges of previous administrations, especially the Edgar Lungu administration has been budget execution. This is where the budget releases are much less that what is provided for. There were also inconsistencies in budget execution where some programs had more money released compared to others. I have in mind, FISO and FRA that received more than 80% of their allocation, when the Ministry of Agriculture received less than 40% of budget allocations, thus comprising the work of extension services that is crucial to agricultural productivity.
I’m aware that there are many ministries that received less than budgeted funds in the last few years. Even the schools that are now expected that receive direct grants from government lieu of school fees have often not received the little funds they budgeted for.
My earnest appeal to the Minister of Finance is to ensure that the budget is not reduced to hollow promises, but that there it is implemented. If indeed, the CDF funds will be disbursed and funds to schools reach the schools, we should see stimulation of public service delivery. Zambians have not forgotten the campaign promises and will continue ticking the box on the fulfillment of those promises.