In Senegal, the government adopted the Finance Bill for 2018 with a budget of CFAF 3,709.10 billion (about $ 6.7 billion), compared with CFAF 3,360 billion for the year ending December. That is an increase of 10.4%.
According to the Council of Ministers’ statement, “it is really a budget oriented towards the main social priorities, which privileges expenditure having a significant, direct and immediate impact on the daily life of the Senegalese, with the objective of continuous improvement of their well-being “.
To this end, over 1,161 billion CFA francs, or 42% of total expenditure excluding debt, will be devoted to the social sectors. In detail, 40 billion CFA francs will be used for family security scholarships. 30 billion CFA francs will go to youth and women entrepreneurship during the year.
The State is also planning to inject CFAF 38 billion into vocational training and apprenticeship. It should also mobilize CFAF 27 billion for agricultural input subsidies, ECU 15 billion for the Community Development Emergency Program (CUDP) and ECU 14.5 billion for Community agricultural areas. Similarly, other major resource allocations in the health and education sectors will have to be carried out to support people in improving their daily lives.
The Finance Law 2018 also places particular emphasis on the consolidation of priority public investments as programmed in the Emerging Senegal Plan (PSE), notably in agriculture, infrastructure and energy.
The execution of this bullish budget will be made possible by a significant increase in revenues, reflecting the good dynamics of the Senegalese economy which enjoys the praise of the IMF in view of its recent performances. However, the 2018 Finance Act is cautious about the level of debt, efficiency and rationalization of public spending. The government wants to control the debt curve, which is the darkest note of the Fund’s latest estimates.
Source: Agenceecofin / By Fiacre E. Kakpo