The plenary session of the Assembly of the Republic (AR) begins today, Wednesday (6), with the general discussion of the proposed State Budget for 2024, which foresees expenditure of 542.6 billion meticals, an increase of 15%.
According to information from the RA, the Economic and Social Plan and State Budget (PESOE) bill is scheduled to be discussed in plenary today and tomorrow, Thursday, as a single item.
According to the documents supporting the PESOE proposal for 2024, this total budgeted expenditure corresponds to 35.3% of the Gross Domestic Product (GDP) expected for next year.
In the same document, the government recalls that state spending for this year has been budgeted at 472.1 billion meticais, corresponding to 35.8% of Mozambique’s expected GDP in 2023.
Meanwhile, according to the budget proposal, the largest slice of expenditure will go to wages and salaries, which will rise to 191.7 billion meticais, equivalent to 12.5% of GDP, while debt costs will rise to 54.1 billion meticais.
Investment spending, on the other hand, will rise to 137.2 billion meticais in 2024, equivalent to 8.9% of GDP.
The Mozambican government estimates state revenues of more than 383.5 billion meticais in 2024, equivalent to 25% of GDP, which will represent a deficit of more than 159.4 billion meticais, corresponding to 10.4% of GDP.
In order to achieve these objectives, the Executive states that the PESOE 2024 proposal “is based on increasing and improving access to basic services for the population, prioritizing the allocation of resources in the economic and social sectors, giving priority to the development of human capital and the protection of vulnerable groups, as well as directing resources towards investments in programmes with the potential to generate income, create jobs and accumulate capital,” the document reads.
