Kujua Mb1nu Za Kumf1k1sha K1lelen1 Mwanamke Kwa Haraka: BONYEZA HAPA CHNI
The Fifth Phase Government (FPG) is determined to increase and strengthen domestic revenue collections through all available means,” emphasised Dr Mpango in his 105-page speech.
He told the House that the government’s drive to curb wasteful spending in the public sector goes in tandem with reinforcement of anti-corruption efforts and establishment of the special corruption and economic crimes court.
According to the minister, the government has allocated 2.5bn/- for the establishment of the court as well as 72.3bn/- for the Prevention and Combatting of Corruption Bureau’s anti-corruption operations.
The minister stressed the effective use of electronic systems and devices to increase efficiency in revenue collection, citing formalisation of the informal sector as the main strategy to widen the tax base.
He directed all traders in the country to acquire and effectively use the Electronic Fiscal Devices (EFDs) in their business transactions or risk stern legal measures. “I urge all businessmen to start using EFDs with immediate effect or else legal actions will be taken against them,” charged the minister, mentioning some of the penalties for non-use of EFDs as forfeiture of business licences and ban from operating in the country.
Dr Mpango prohibited all ministries, independent departments, agencies, local government authorities and public institutions from dealing with suppliers and service providers by not using the EFDs, effective July 1, this year.
Under the new directive, no public money can be spent without being supported by EFD generated invoice and receipt. “The government will during the 2016/17 fiscal year continue to prudently manage the use of public funds as per existing laws and other directives ... the aim is to control expenditure, leakages and misappropriation of public funds,” said the minister, noting that more preference will be on development projects.
Dr Mpangos noted that the government plans to table under certificate of agency the amendments of the Public Procurement Act, 2011, with the view of fixing loopholes that support misuse of public funds.
He directed government institutions to procure services like insurance, courier, transport and advertisements from public providers, saying “The government seeks to control expenditure without compromising the quality of service delivery.”
The use of bulk procurement of vehicles and direct purchase from manufacturers as well as minimisation of expenditures on unnecessary issues like national ceremonies, foreign travels, sitting allowances, printing of T-Shirts, caps, bags, diaries and calendars are some of the government austerity measures under the new budget.
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