The Minister of Finance and Public Enterprises, Ipumbu Shiimi, will table the budget for the upcoming fiscal year 2024-2025 in the National Assembly tomorrow at 14:30.
The national budget encompasses government revenue, expenditure, and borrowing strategies, as well as pivotal policy priorities.
The ministry is, however, worried about an expected decrease in Southern African Customs Union (SACU) revenue, one of its major sources of income.
The fluctuation in SACU revenues emphasises the imperative for Namibia to proactively diversify its economy, aiming to diminish reliance on SACU receipts.
Nonetheless, due to robust medium-term fiscal performance, there has been a required upward adjustment in revenues for the fiscal year 2023-2024, increasing by N$3.8 billion from the initially projected N$74.7 billion in the main budget.
Comparatively, this revision reflects a substantial 22.1% year-on-year growth in revenue compared to the preceding fiscal year.
Looking ahead over the Medium-Term Expenditure Framework (MTEF) period, the ministry is confident in a forecasted average annual revenue growth of 8.8% to reach approximately N$82 billion by the fiscal year 2025-2026.
As of September last year, the preliminary revenue stood at N$40.1 billion, equivalent to 53.7% of the initial budget projections.
This exceeds the historical mid-year collection rate by 6.6% points, and it is anticipated that the final revenue will surpass the initial budget projections.
The ministry has also taken into account the allocation of resources for upcoming events, specifically the Presidential and National Assembly elections scheduled for this year.
The ministry will thus consider the expenses related to these elections as part of the government’s policy priorities.
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