Mazhar Muhammad Saleh, the Prime Minister’s finance advisor, stated Tuesday that the increase in oil income will lower projections of the deficit gap and minimize borrowing, while also clarifying budget expenditure objectives.
In a news interview, Saleh stated, “The accuracy of the timing of spending in the general budget according to what was planned reflects the degree of efficiency of the budget’s performance itself in terms of the executive path’s conformity with annual financial planning.”
“Except for current expenditures that must be implemented, such as monthly salaries, support, and external obligations related to debts and other payments,” he added, “improved oil revenues will reduce estimates of the deficit gap and help overcome the resort to borrowing to fill the deficit, particularly in implementing special programs in the operating budget and investment spending on planned projects.” According to its strategic goals, which are directly related to increasing the rate of GDP development, and in line with the execution plans and specified timings without delay.”
“There is a correlation between the reduction in deficit estimates due to improved public revenues from oil revenues and other revenues, and the efficiency of implementing investment programs and projects in the general budget, which confirms the success of the efficiency of implementation by matching spending with the country’s annual financial planning without delay,” he continued. As a result of the expected deficit reduction, “Because of the development of oil resources, it will accelerate investment spending, which represents the basis of development and material economic progress, and at the same time reflects the efficiency of financial implementation.”