Revenue collection likely to hit 1.5tri/- mark in Jan

Tanzania's President John Magufuli delivers a speech during his swearing in ceremony in Dar es Salaam, on November 5, 2015. PHOTO | DANIEL HAYDUK | AFP 

SUNDAY NEWS Reporte

THE government has expressed its pride for being able to use its own funds to implement development projects as it is now likely to surpass the record 1.4tri/- revenue collection made last month.

As of last week, the government had already collected 1.31tri/-, and hopes are high because with the strategies that are now in place the amount could be higher.
This was said in Dar es Salaam yesterday by top government officials from the Ministry of Finance, the Bank of Tanzania and the Tanzania Revenue Authority at a joint news conference.
The Permanent Secretary in the Ministry of Finance and Planning, Dr Servacius Likwelile, said President John Magufuli has insisted on increased revenue collection by ensuring that those who are supposed to pay tax are paying so that the money can be spent on the country’s development projects.
He said that it is through this that collection has been impressive and that collections realised for the month of January could hit 1.5tri/-.
He further said that because of good strategies which have been put in place which includes avoiding unnecessary expenditure, the government has been able to use funds collected locally to implement several development projects, which means that depending on donor funds has gone down.
He said that for the month of January the government has set aside 318.406bn/- for implementing development projects which have been given priority. The projects include education, health, water, roads, electrification and payment of retirement benefits for pensioners.
In the education sector, he said that the government has set aside 18.77 billion/- to cater for free education, which will cover fees and food. On the infrastructure sector, Dr Likwelile said in December 2015, the government issued 193bn/- for paying debts to contractors and in January 130bn/- was allocated for the purpose. In the energy sector, Dr Likwelile said Tanesco was given 80bn/- to invest in the Kinyerezi II project.
On his part the Acting Tanzania Revenue Authority Commissioner General, Alphayo Kidato, said that they were targeting to surpass 1.45tri/- in January, but with only two days remaining they have been able to collect 1.31tri/-.
The Central Bank Governor, Beno Ndulu, said that the economy of the country has stabilised despite global economic crisis, saying that the economy has grown by 7 per cent.
He said there are signs which indicate that Tanzania’s economy is growing and taking the driver’s seat in the East Africa Community, which has been influenced by the growth in the tourism and industry sectors.
Governor Ndulu said that in the next four months the economy is expected to grow beyond 7 per cent, and this is after the entry of the Dangote Cement Factory