Africa-Press – Tanzania. THE Ministry of Finance and Planning unveiled on Monday a proposed budget of 12.96trn/- for 2021/22 FY where it plans 82.2 per cent to repay the national debt.
The country’s public debt was 71.4trn/- early this year and the government maintains that the debt remains sustainable. According to the Bank of Tanzania monthly economic review for December 2020, external debt stock was $23.8 billion at the end of November 2020, representing an increase of $145.5 million from October 2020 and $1,496.1 million from November 2019.
Minister for Finance and Planning, Dr. Mwigulu Nchemba told the National Assembly in Dodoma that 10.664trn (about 4.6million US dollars) will be spent on repaying the national debt.
During the 2020/21 budget year, the government planned to spend at least 10.477trn/- but until April this year it had spent 71 per cent or 7.426trn/- servicing the national debt.
According to Nchemba, the budget is part of the ministry’s 11.935trn/- proposed recurrent budget. The Ministry also requested the parliament to approve additional 1.025trn/- for development expenditure.
“The responsibilities of the ministry include but not limited to regulating and managing the repayment of the National Debt,” Dr. Nchemba said in the National Assembly.
