The minister of finance and economic affairs has informed the national assembly members in response to a parliamentary question that government spends on the basis of the revenue it earns and only borrows to meet what is in the budget if it is within the ceiling established for borrowing.
Hence an approved budget is one thing and executing budgetary allocations is another thing. One should not be surprised if government earnings fall short of government spending on budgetary items.
Prompt payment of taxes is becoming an urgent demand and slowness in settling payables owed to creditors is not remote.
This leads to the conclusion whether a tax revenue base is not enough in sustaining growing government expenditure.
