By MILDRED KATONGO –

. KANDETA

THE treasury released K8.1 billion for the month of March this year to facilitate Government’s operations, service debts and to finance development projects.
During the period under review, the treasury raised K6.87 billion in revenue and grants, bringing the total expenditure to K8.1 billion.
However, due to higher expenditure requirements, an overall deficit of K1.25 billion was recorded. The deficit was mainly financed from a bridge loan of K1.1 billion.
This is contained in a statement released yesterday by Ministry of Finance public relations officer Chileshe Kandeta.
Mr Kandeta said the total domestic revenue collected amounted to K6.81 billion of which tax revenue was K1.99 billion and K4.82 billion as non-tax revenue.
He said collections under non-tax revenue were above target by 0.3 per cent due to, among other initiatives, increased collections from road tolling managed by the National Road Fund Agency.
Mr Kandeta said the treasury commended the progress and urged motorists, both local and foreign, to continue complying with the road tolling regulations.
“The treasury also disbursed K492.6 million for goods and services, key of which K88 million went towards the procurement of drugs, and K100 million for preparations for the 2016 general elections,” he said.
He said K1.2 billion was released towards fuel subsidy payments and K285.3 million for electricity subsidies.
“Although these payments have a huge bearing on the availability of resources for other development programmes, they are critical in ensuring that our economy remains functional and productive,” he said.
Mr Kandeta said the Government further received K57.91 million project support under the ministries of Agriculture and Livestock and Local Government and Housing.
He also said that of the K8.1 billion disbursed, K3.74 billion went towards debt servicing of which K741.3 million was for interest, while K3.0 billion was released for principal repayments.
Mr Kandeta said domestic interest payments accounted for K412 million, while the balance was on external interest payments.
From the March 2016 disbursements, the Farmer Input Support Programme was funded K130 million, while an additional amount of K33.8 million was given to the Food Reserve Agency to facilitate payment of work certificates for rehabilitation of storage sheds and other crop purchase-related expenditure.
Further, an amount of K61.6 million went towards the Local Government Equalisation Fund and K42.9 million for social benefits, of which the Social Cash Transfer programme received K21.7 million.
The treasury released K136 million for health and education infrastructure projects, while K69.8 million was disbursed to road sector programmes.
“The Ministry of Finance will continue to implement measures that will facilitate the achievement of development objectives of the 2016 Budget within the established fiscal and treasury management standards.
“It will endeavour to heighten the monitoring and evaluation of budgetary and economic affairs so that national development programmes continue to produce results that are beneficial to the people of Zambia, and reassuring to the regional and international investment community,” Mr Kandeta said.