20110421
rfi

Harare — MINISTERS have continued to defy President Robert Mugabe and Prime Minister Morgan Tsvangirai over their expenditures resulting in government incurring a deficit in the first two months of the year, with local travel expenses overshooting budget by 100 percent in February.

Figures published by the Accountant-General's department in the Government Gazette early this month on the consolidated financial performance from the beginning of the year to February 28 indicate a bad start for the inclusive government as it failed to live within its means.

In February, employment costs for diplomatic missions were the major culprits in overspending, overshooting their allocation by 100 percent, from the budgeted US$2,5 million for the period under review to over US$5 million.

The budget for civil service wages was pegged at US$70,8 million for the first two months of the year, but US$78,1 million ended up being used on that budgetary vote.

All in all, employment costs stood at US$89,5 million against the budgeted US$78,3 million.

There was also a budget deficit on goods and services, with domestic travel going beyond budget by 100 percent from US$500â-à000 to over US$1 million.

Although the percentage of overspending was low on foreign travel expenses, it nevertheless shot above the budgetary limit of US$3,5 million and ended up at slightly above US$4 million.

The overall budget for goods and services was US$19,2 million, but what was actually used was US$23,1 million, a figure that could have been higher had the US$4,8 million that was budgeted for programmes and institutions been spent.

In January, the total budget for employment costs was US$69,33 million, but this expenditure head gobbled US$72,4 million, while current transfers stood at US$48,2 million instead of the prescribed US$47,5 million. Only goods and services missed the target by about US$4 million.

Last year, Finance Minister, Tendai Biti, told The Financial Gazette that President Mugabe and Prime Minister Tsvangirai would rein in ministers who overspent. He also threatened to name and shame culprits.

Section 38 of the Public Finance Management Act passed by Parliament last year requires Treasury to publish consolidated financial reports in the Government Gazette within 30 days after the end of each month.

"The Consolidated Financial Statements (CFS) are prepared on the going concern basis. The CFS have been based upon accounting policies, which have been consistently applied and which are supported by the reasonable and prudent judgments of estimates," read a note accompanying the published statements.

"The CFS have been approved by the secretary and paymaster-general and Accou-ntant-General on 18 March 2011."