MPs adopted the revised budget which focuses on fighting against COVID-19 and economic recovery

|   Chamber Of Deputies

This February 22, 2021, the virtual sitting of the Chamber of Deputies adopted the law modifying law N°005/2020 of 30/06/2020 determining the State Finance for the 2020/2021 fiscal year

The Chairperson of the Committee on Budget and National Patrimony, Hon. Omar Munyaneza told Members of the Chamber of Deputies that the revised budget presents key adjustments which include the rise in domestic revenues due to projected increase in taxes following the recovery of economic activities and businesses, and on the expenditure front, Government expects to increase recurrent spending to cater for COVID-19 related expenditures, increase in net lending outlays to support the business through the Economic Recovery Fund as well as state corporations.

Hon. Munyaneza said that the revisions to the 2020/21 budget increased from Frw 3,245.7 billion to Frw 3,464.8 billion showing a rise of Frw 219.1 billion.

Domestic resources increased by Frw 179 billion from Frw 1,605.7 billion in the original budget to Frw 1,784.7 billion representing an 11.1 % increase, tax revenues increased by Frw 158.5 billion, from Frw 1,421.4 billion in the original budget to Frw 1,579.9 billion, non-tax revenues have increased by Frw 20.5 billion upwards from Frw 184.3 billion to Frw 204.8 billion whereas grants have increased by Frw 99.7 billion, upwards from Frw 492.5 billion to Frw 592.2 billion. 

Recurrent expenditure has raised by Frw 12.4 billion from Frw 1,583.0 billion to Frw 1,595.4 billion and the capital expenditure raised by Frw 37.6 billion, from Frw 1,298.5 billion in the original budget to Frw 1,336.1 billion. 

Hon. Omar Munyaneza told MPs that the changes majorly affect the domestically financed capital expenditures. This increase in the net lending outlays are mainly allocated to the Economic Recovery Fund as the continued effort of the Government to support businesses affected by the COVID-19 pandemic outbreak. 

The Chairperson of the Committee on Budget and National patrimony also told MPs that the Committee commends the output of the Senate to this Budget revision law and that the later appreciated the budget allocation which focuses on economic recovery and citizens welfare.