ADDIS ABABA – The House of People’s Representatives unanimously approved the federal government’s budget of 971.2 billion Birr for the 2024/25 fiscal year during its 36th regular session, attended by Prime Minister Abiy Ahmed (PhD).
The budget aims to achieve the government’s plans, as stated by Desalgen Wedaje, Chairperson of the House of People’s Representatives Planning, Budget, and Finance Standing Committee. He presented the report and proposal of the standing committee, highlighting that the budget was based on the medium-term development and investment plan and the objectives of the second Home-Grown Economic Reform Plan.
Desalgen emphasized that the budget for the 2024/25 fiscal year was prepared by evaluating the performance of expenditures and considering the financial capacities needed to accelerate economic and social development. The government focused on self-reliance in budgeting and prioritized poverty-oriented activities to enhance public benefit.
The report from the Federal Auditor General indicated frequent deficits in budget offices regarding adherence to government financial management laws and regulations. It was stressed that budget offices should use the allocated funds effectively for their intended purposes.
The chairperson underlined the importance of implementing the government’s financial procurement and asset management laws and systems to ensure the approved budget’s proper use. Ensuring accountability for the unsystematic use of the budget should be strengthened.
The resolution highlighted that tax is Ethiopia’s largest income source. It also emphasized the need to address issues in tax collection and the problems of good governance raised by taxpayers. Modernizing and improving the efficiency of tax administration is crucial, along with informing the tax-paying community about the importance of paying taxes and avoiding evasion.
Efforts will be consolidated to meet the 612.7 billion Birr tax revenue plan set for the 2024/25 fiscal year, Desalgen remarked.
BY BILAL DERSO
THE ETHIOPIAN HERALD FRIDAY 5 JULY 2024
