THE 2024 Supplementary Appropriation Bill is seeking Parliamentary approval of more than $133 million to provide much needed services in the remaining months of 2024.
Tabling the bill for the Second Reading in Parliament on Monday, the Minister for Finance and Treasury, Manasseh Sogavare said the bill calls to regularize expenditure incurred through the contingency warrant and advance warrant approved by the Minister for Finance and Treasury and Cabinet.
The bill also seeks additional expenditure and variation from the current 2024 Budget Framework, which is consistent with section 58 of the Public Financial Management Act 2013, which states that the Minister of Finance may in accordance with section 103 (2) of the Constitution issue a contingency warrant for an urgent and unforeseen need, or for a purpose for which no sum has been so appropriated and which cannot be delayed without detrimental effects to the public interest.
Sogavare said the bill is also in line with section 60 of the Public Financial Management Act 2013, that the Minister of Finance may by warrant under his hand authorize the Secretary to make disbursements of monies forming part of the Consolidated Fund, or other public funds, for the purpose of making an advance.
Sogavare informed Parliament that with the formation of the new government and after six months of implementing the 2024 Budget – critical and urgent expenditures have emerged from ministries.
He explained that the additional supplementary expenditures reflect government’s policy priorities under the four foundational pillars, which include economic transformation, unity and stability, infrastructure development and human capital development.
The supplementary budget will collectively be funded by domestic, external financing, and direct budget support from Development Partners.
Additional expenditure pressures will be financed through efficiency savings sourced from the 2024 budget and additional revenue (dividends) expected to be collected from SOEs.
Sogavare said the sole purpose of the bill is to make funds available for mandatory services, maintain government’s contractual commitments and outstanding obligations to ensure the economy is stable and much needed services delivered to people.
“The government remains committed to maintain fiscal stability and discipline, and hence additional expenditures must be fully funded to maintain stability and discipline in the overall fiscal framework of the 2024 financial year,” Sogavare said.
Sogavare assured Parliament that the Ministry of Finance and Treasury will continue to strengthen its capacity to closely monitor all expenditures and ensure they are spend wisely, responsibly and as allocated.
A finance Circular has been circulated to all ministries to adhere to their respective responsibilities as stipulated in the PFM Act (2013), and the budget execution strategy and payment processes to ensure smooth implementation of the 2024 Budget.
