"JOBS" 28/02/2019 - Government of Lesotho
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28/02/2019 “JOBS”
FOREWARD BY THE with the efforts to improve the lives of all INTRODUCTION
Basotho through its Programmes.
HONOURABLE MINISTER
OF FINANCE The structure of the crisis Lesotho faces is The preparation of this year’s Budget
diverse, but the following statements benefitted from the interactions
As the Government continues along the characterises succinctly what the Government officials have had with the
path of job creation, the Government of Government of Lesotho has to face: public and the many challenges they face.
Lesotho seeks to ensure that Basotho citizens Although diverse and wide-ranging, the
▪ Poverty, hunger and joblessness are high
are informed and aware of the objectives of most common and systemic challenge is the
and even higher amongst the youth;
their Government and the tools being lack of jobs. Thus, creating jobs is the
utilized to achieve these objectives. The ▪ Ill-health is pervasive and there is underlying concern for this budget. Many
National Budget expresses the Government persistent mismatch between skills of the proposals made will also reflect this
of Lesotho’s priorities and programmes as needed and that are produced; important concern.
well as its economic and social policies. The In response to consistent shortfall in cash
resources used to finance the expenditures in ▪ Hundreds of our young people looking
and foreign reserves as well as volatile SACU
the National Budget come from you, the for jobs dropped out of school at end
revenues, the depreciation of South African
people of Lesotho. For this reason, the primary school when they were 12 years
Rand against major world currencies and its
Ministry of Finance has prepared, for the old or at Form E when they were only 17
negative impact on the external debt stock
first time, a Citizen’s Guide to the years of age;
and strong recurrent expenditure growth
Government’s Budget for Financial Year ▪ The fiscal resources required to redress which have put pressure on budget deficits,
2019/2020. the situation are scarce and limit any the government will adopt the following
We believe that knowledge empowers and meaningful participation by principles which will underpin and guide the
the Government of Lesotho is interested in government. FY2019/20 budget:
empowering all Basotho. As such, we want Dr Moeketsi Majoro a) Achieve consistency of the medium term
the fundamentals of the National Budget to fiscal framework and medium term
be understood by all. Furthermore we seek Minister of Finance
expenditure framework to national priorities
to ensure that all segments of the Basotho and efficiency, effectiveness and value for
population understand the expenditure money in public expenditure;
programme that will be undertaken during
the financial year beginning on April 1 to b) Adopt a budget that is affordable,
further advance the country’s job creation. It sustainable, credible and responsive to the
is hoped that with this Citizen’s Guide, each growing needs over the medium term;
citizen of Lesotho will be able to identify
MINISTRY OF FINANCE – CITIZEN’S BUDGET 1
c) Achieve efficiency in domestic revenue be implemented during the Financial Year THE BUDGET AT A
mobilisation to finance government beginning April 1, 2019 and ending on
programmes while limiting the dependence March 31, 2020. This financial year is GLANCE: THE BIG PICTURE
on external financing; referred to as “FY 2019/2020” or “Fiscal EXPENDITURE
Year 2019/2020”. The Government has budgeted a total of
d) Improve monitoring, transparency and M19,012.1 million to meet its obligations
accountability to ensure expenditure
WHAT IS THE NATIONAL and provide goods and services to the
efficiency; and lastly, citizens for Financial
e) Prioritise the elimination and curtailment
BUDGET?
Year 2019/2020. This sum is allocated
of accumulation of arrears.
A national budget is an annual financial across the following major categories of
statement presenting the government's expenditure:
WHY A CITIZEN’S GUIDE proposed revenues and spending for a
TO THE BUDGET? financial year that is passed by the legislature
Table 1 Share of Major Categories of Expenditure
(in millions of Maloti)
and is presented by the Finance Minister to Public Debt 1,130.70
The Ministry of Finance supports the view
the nation. A budget is drawn up for Total Recurrent Expenditure 12,703.70
that the annual budget must not only be
each financial year and it contains Ministries, Departments and Agencies 10,273.00
made public but must also be made available Statutory Expenditure 2,430.70
information on the estimated value of
to the citizens in an easily understood Total Capital Expenditure 5,177.70
revenues and value of costs. If government
format. National Budgets by their very GOL 2,840.40
does not have enough money to do Donor Grants 1,015.10
nature tend to be long and detailed with
everything it would like to do, then it uses Donor Loans 1,322.20
several supporting documents all of which TOTAL 19,012.10
this planning process to prioritise its
are generally expressed in technical terms.
spending and focus the money on the things
The publication of a Citizen’s Guide an
that are most important to the tax payers.
initiative to bring aspects of the budget to a
Budgeting is simply balancing expenses
wider cross-section of persons in an easy
with income. If they don't balance and you
reading format with less emphasis on the use
spend more than you make, you will have a
of technical terminology.
problem. Many people don't realize that
The Guide focuses on the Expenditure they spend more than they earn and slowly
Budget of the Central Government which is sink deeper into debt every year.
funded from the Consolidated Fund and
provides budgetary information on the
major projects and programmes which will
MINISTRY OF FINANCE – CITIZEN’S BUDGET 2
REVENUE PROJECTIONS demonstrates an decrease of 11% compared
to 2018/2019 external grants budget.
The Government expects to generate
18,128.4 million from Revenue and Grants
in FY 2019/20. Tax Revenue, is budgeted at
EXTERNAL LOANS
M7,878.3 million and is expected to account These are monies coming from foreign
for 43.5% of total Revenue while SACU Governments and International
revenue is M6,226.0 million (34.3% of total Organisations with Government obligation
revenue). to pay back. For the 2018/2019 Budget,
external loans are projected at M1,322.2
million, which demonstrates an increase of
Table 2: Major Categories of Revenue 9% compared to 2018/2019 external loans
(in millions of Maloti) Any budget has to be financed and the budget.
Tax Revenue 7,878.30 2019/2020 budget will be finance with
domestically generated revenues, borrowing DO ORDINARY MOSOTHO
Grants 1,015.10 domestically and externally and grants from LEND MONEY TO
Other Revenue 3,009.00 development partners. GOVERNMENT?
SACU 6,226.00 Anyone from within or outside the country
can lend money to the Government by
Total Revenue 18,128.40 DOMESTIC RESOURCES
investing in Government Bonds and or
The overall target is estimated at M18,128.4 Treasury Bills through competitive and non-
million, of which, SACU is M6,226.0 competitive auctions in the Central Bank of
million, tax revenue is M7,878.3 million and Lesotho.
WHERE DOES THE MONEY other revenue is M3,009.0 million. This is an
overall revenue increase of 13 percent over WHY SHOULD GOVERNMENT
COME FROM TO FUND THE the 2018/2019 target of M16, 099.6 million. BORROW?
BUDGET? Essentially, the government borrows so that
EXTERNAL GRANTS it can enable higher spending without
having to increase taxes. The annual amount
These are monies given by development
the government borrows is known as the
partners with no requirement to be repaid.
budget deficit. The total amount the
For the 2019/2020 Budget, they are
government has borrowed is known as the
projected at M1,015.1 million which
national debt or public sector debt.
Borrowing means the government can meet
MINISTRY OF FINANCE – CITIZEN’S BUDGET 3
a temporary shortfall by borrowing, rather The industry, has not changed much in the establishment of the tourism development
than having to immediately cut back on last 50 years, despite fervent calls for fund, which shall be funded by the tourism
spending. Like an overdraft facility, beneficiation in other sectors. development levy. The Ministry and the
government borrowing gives the government Tourism Development Corporation are in
more flexibility and means they can discussion with potential investors, several of
maintain wages and spending commitments whom, have joined the investment
without having to keep cutting spending. laboratories being launched tomorrow.
The construction of both Mpiti-
BREAKDOWN OF Sehlabathebe and Marakabei Monontša
EXPENSES roads present new opportunities for tourism
The resources are allocated to different in the northeast and southeast regions of
sectors of the economy-agriculture, Lesotho. Talks are underway between
To take the sector forward, Government has Lesotho and South Africa officials on several
manufacturing, tourism and creative arts,
localised the brokerage service for wool and cross-border investments including a cable
and technology Line Ministries, Local
mohair trading and plans to tightly regulate car at Mont Aux-Sources and cross-border
Authorities and Districts have the
the industry and introduce other reforms to tourism at Sehlabathebe. As many of the
responsibility to spend this money in line
create more value in the sector. With the tourism sites including Letša la Letsie are
with the law on activities which will help the
assistance of the Brent Hurst Foundation, degrading fast, the Ministry will work closely
country achieve its national objectives
Government will explore during 2019 with the Ministry of Water to apply best
effectively.
opportunities for value addition including in practices learned from Tšehlanyane and
WHERE DOES THE MONEY the production in Lesotho of baby clothing, Bokong Nature Reserve biosphere and the
sportswear, and footwear. To raise Integrated Catchment Management
GO? productivity per animal, the Ministry of programme. M171 million will be allocated
AGRICULTURE Agriculture and Food Security will distribute to the Ministry of Tourism, Environment
Close to 30,000 farmers are involved in wool 300 ewes as breeding stock to the wool and and Culture in FY2019/20 for these
and mohair production in Lesotho, with mohair farmers in the southern part of the initiatives.
revenues ranging between M200 and M300 country.
million annually. Commissions and other
charges are estimated between 20 and 50 TOURISM AND CREATIVE
percent of revenues, mainly going to middle ARTS
men and without government deriving any
To continue promoting investment in the
tax. Productivity per animal averages 2.7
tourism sector, Cabinet has approved the
kilograms compared with 5 in South Africa.
MINISTRY OF FINANCE – CITIZEN’S BUDGET 4
LRA and Postbank, to bring their services The Mining Khotla held in November 2018
closer to the people using this infrastructure. has opened dialogue between the mining
operators and Lesotho businesses on the
opportunities available in the sector. This is
in line with the local purchase policy
announced last March. The Ministry of
Mining is implementing the Minerals and
Mining Policy and is presently reviewing
existing agreements to ensure compliance
with the vision of the policy. The underlying
principle for this policy is that all minerals
INFORMATION AND below ground belong to Basotho and
COMMUNICATION Basotho must benefit more than anybody
else whenever the minerals are extracted. To
In order to accelerate the implementation of address concerns about the industry,
MINING
the e-government, Government will establish government will draw up and implement a
The mining industry in Lesotho, dominated
46 community e-services centres, housed in comprehensive policy implementation plan
by diamonds, is important, as it accounts for
the Postal Services branches and agencies during 2019. M42.1 million has been
about 5.7 percent of GDP and half a billion
countrywide. With this model, the ministry allocated to the Ministry of Mines.
maloti in government revenues from an
of Communications, Science & Technology,
estimated production of 1.3 million carats in
will provide online access to government
2018. Three mines, Letšeng, Kao and
services using post offices as a delivery
Liqhobong have entered commercial
vehicle. Procurement processes for the
production, while Mothae, Lemphane, Kolo
equipment of 5 e-Services Centres
and Northern Fissures are still in the
(Sehlabathebe, Ketane, Mapholaneng,
preparation phases. The full operation of all
Sehonghong and Mt. Moorosi) are at
these mines will expand the scope for
advanced stage, with the rest of the 41 e-
additional revenues as well as increase
service centres to be established under the e-
business opportunities for local companies.
government Infrastructure Phase II project.
In addition, it is expected that the
Two such service centres (Mantsonyane &
geochemical mapping process, which will
Kubake Community councils) have since
identify in full Lesotho’s mineral potential, MANUFACTURING
been completed. It is worth noting that the
will be completed in 2019. Government wants to be clear that after 40
idea is that the e -service centres will also
enable other government agencies, namely years, the industry should move up the value
MINISTRY OF FINANCE – CITIZEN’S BUDGET 5
chain into high value garments that could which will serve approximately 18,000
penetrate boutique markets in Europe. people residing in four zones in the Maseru
CGM seems to have transformed itself and district. Two more zones namely, zone 20
left the AGOA market to focus on the large and 3 (St. Michaels and Senekane
regional market for garments which has respectively) are under construction as well
enabled it to establish links with the as water supply from TY to Lekokoaneng
domestic economy and to mentor Basotho reservoir, which is expected to serve 4,000
to enter the garment chain. There is a worthy people. Under Rural Water Supply and
lesson to learn from this transformation. Sanitation Project, 25 new water supply
systems serving about 10,227 people and
WATER 2,437 VIP latrines will be constructed during
Water harvesting and construction of several
HEALTH
FY2019/20.
bigger water reservoirs can significantly With the aim of improving the Health
develop effective land and water resources ENERGY Sector, Government has secured 36 Cuban
management. To this effect, Government Connection of our households to electricity doctors to be engaged in hospitals and clinics
has joined efforts with the Government of has been increasing very rapidly, although around the country. The Ministry of Health
Germany and the European Union to from a very low base of only 5 percent in will further employ thirty-five 35 Basotho
implement activities under Integrated 2005. Today, 207,000 (39 percent) of the doctors and 252 nurses. To effectively tackle
Catchment Management Project with a view 537,000 Lesotho households have been the cancer burden, the Ministry has
to protect water sources, rejuvenate connected to electricity. It is plausible that in developed a comprehensive National Cancer
agricultural land and preserve the mountain the near future, every household will be Control Plan. In the meantime, the Ministry
ecosystem. connected to electricity. However, as has expanded cancer and renal care services
connections increase the demand will far by sending patients for treatment at Apollo
outstrip bulk supply. The Ministry of Energy Hospital in India. To date, 3 kidney
is exploring mobilising more hydropower (in transplants have been performed on Basotho
collaboration with the LHDA), and wind patients in India. Health professionals
and solar power. Two solar investments are (doctors, nurses and pharmacists) have been
about start at Ha Ramarothole in Mafeteng trained in India to facilitate the
to generate 90MW by 2025. One of the establishment of National Chemotherapy
investments is led by a private company, One Centre in Lesotho.
Power, which is planning to generate 20 With regard to HIV and AIDS, the Ministry
MW. It is interesting that this private idea will, as a means to reduce incidences and
The Ministry of Water has completed
has been incubated by our own Appropriate increase the coverage of Anti-Retroviral
construction of a water supply network,
Technology Department.
MINISTRY OF FINANCE – CITIZEN’S BUDGET 6
Treatment (ART), continue to provide modernising social grants systems and EDUCATION
increasing multi-month ARV dispensing to expanding its reach to ultimately cover all The Ministry of Education and Training will
allow Basotho working locally and in the councils nationally. Plans are underway to develop transition policy to facilitate
Republic of South Africa enough reduce the age of qualification from 70 to 60 progression of learners from lower basic
medication to cover 3-6 months. The years, and this will be done gradually education schools to secondary schools in an
Ministry will further increase targeted HIV beginning in FY2020/21. In the meantime, endeavour to ensure inclusiveness in
testing and services to key populations such the old age grant is increased by M50 per learning. It will further upgrade and build
as Factory Workers, the Lesbian Gay month. Also the African Committee of appropriate infrastructure in four high
Transgender Bisexual and Intersexual Experts on the Rights and Welfare of the schools (St. Catharine’s, Abia, Motsekuoa
(LGTBI) community, migrant workers, Children (ACERWC) Office will soon and Mount Royal) for learners with special
adolescents and young women. relocate from Ethiopia to Lesotho educational needs. Furthermore, the
permanently. This is a demonstration of the Disability Equity Bill has been tabled before
At 11 percent of the national budget, health confidence Lesotho enjoys in the area of Parliament to pave way for disability grants
services consume the next largest portion social development. and a Disability Trust Fund.
after education. The budget proposes M2.4
billion be allocated to the Ministry of M419.2 million has been set aside for the The escalating number of sponsored
Health. Ministry of Social Development. In students and sponsorship costs, tight fiscal
addition, the Ministry of Finance will cater constraints and poor loan recoveries call for
for old age grants. During FY2019/20 plans an urgent implementation of Loan Bursary
will be finalised to relocate the Old Age Fund (LBF) Reforms. In the coming
Pension to the Ministry of Social financial year, the National Manpower
Development. Development Secretariat (NMDS) will
review and amend the legal framework
governing the LBF, including the National
Manpower Development Council (NMDC)
Act of 1978 and the Loan Bursary Fund
(LBF) Regulations of 1978. It will further
review and improve the Resource
Mobilisation and Financing Model of the
In order to care for the most vulnerable of fund by changing endorsement and
our people, Government has established a repayment of loan bursaries from partial to
social grants program that encompasses child actual incurred costs of sponsorships. In an
grants and old age grants. The Ministry of endeavour of ensuring equitable access to
Social Development is in the process of bursaries in light of the constrained funds,
MINISTRY OF FINANCE – CITIZEN’S BUDGET 7
the NMDS will develop the ‘Means Testing programme that will contribute significantly upgrading the road on the South African
Mechanism’ which will seek to ensure that to national output for many years to come. side.
bursaries are granted in favour of students Given the current resource constraints and
from financially disadvantaged families. the magnitude of the required financing, The Ministry of Public Works will also
Government will tap on PPPs as the main undertake feasibility and design studies for
Government traditionally invests a very large engine for implementing these large the expansion of the Kofi Annan road and
share of its budget in education. The Budget projects. Legislation for PPPs will be the upgrading to bitumen standard of the
proposes that M3.1 billion (17 percent of the presented in Parliament during the year. Thaba Phatšoa road. In addition to
total budget) be spent on education with However, work is underway to set up the PPP construction of new roads and maintenance
M2.4 billion allocated to the Ministry of Unit and the Ministry of Finance presently of existing ones, Government will construct
Education and M577 million for loan has adequate legislative authority to initiate thirteen foot bridges throughout the
bursaries. PPP projects. country. This will include two major
suspended foot bridges between Ha
Potomane and Shalane over Senqu River
and between Hlotse and Likhakeng over
Hlotse River. M955.5 million has been set
aside to enable the Ministry of Public Works
and Transport to perform these tasks.
NATIONAL REFORMS
POLITICAL AND
The construction of the 66 kilometre CONSTITUTIONAL REFORMS
INFRASTRUCTURE Marakabei to Monontša road in Butha- The National Reform Agenda is proceeding
During FY2019/20 government will adopt Buthe has commenced and joins the Mpiti- briskly. The inclusive National Leaders
decisions on Maseru relief infrastructure Sehlabathebe road whose construction Forum (NLF), the National Dialogue
that will include north and south by-pass began in late 2018. The bill for both roads Planning Committee, the Multi-Stakeholder
roads, toll roads where appropriate, will be M2 billion when complete. Both National Dialogue are holding their
residential and office development using roads will enhance tourism opportunities meetings as expected. District consultations
government-owned sites, as well as a smart between Lesotho and South Africa. will be held in April 2019 where Basotho in
city. These decisions will also outline how Government will soon open talks with the their diverse formations will have a direct
the private sector will take part in these Republic of South Africa on the prospect of opportunity to be part of the dialogue
initiatives. This will be a multi-year build opening a border at Monontša and process leading to reforms.
MINISTRY OF FINANCE – CITIZEN’S BUDGET 8
PUBLIC SECTOR REFORMS year transitional program at the end of which
Mr Speaker, on 1st April 2019, Government some of the beneficiaries would either have
will launch an upgrade to the Integrated founded their own businesses or found new
Financial Management Information System jobs. In FY2019/20, 8,500 youngsters, of
(IFMIS) which will address the existing which 3,500 will be graduates, will be
challenge of inaccurate financial statements assisted into internships and public works
and delays in payment of suppliers. The new programs.
system will do away with paperwork and will
provide users stronger control tools. As it The 2014 Decentralisation Policy should
will have tracking functionality, chief thus be implemented in earnest, with
accounting officers will be able track requisite legislation brought to the House
payments to suppliers and ensure payment soonest. During FY2019/20, Government
on time. will formulate and conclude a fiscal
decentralisation roadmap, which shall set
DECENTRALISATION
standards for the use of national financial
Local government service began with local
resources.
government elections in 2005. Fourteen
years later, decentralisation remains fragile, PUBLIC WORKS PROGRAMME WHAT ARE THE
with central government still performing Government is pained by the weakness in
most of the functions that are better MEASURES TO INCREASE
the economy and the rampant joblessness.
performed by councils. Delivery of services There are 10,000 graduates that are looking REVENUE?
to far reaching places by the central for placement, but can’t find any opening Budget is supported by new revenues and
government is inefficient at two levels: first, and many have been waiting for more than collection efficiency measures. During
the prioritisation of needs is not done by the 10 years. Below this group, there is even a lot FY2019/20 government intends to
people who need the service, and secondly, more needing a job placement. The introduce the following legislation:
the central government is far from every proposals in this budget will create 20,000
community in land. Over and above this, new jobs by the end 2021. But to ease the
paying councillors without allocating them current pressure and desperation,
responsibilities is not only inefficient; it Government proposes a public works and
duplicates costs government incurs in the internship program and set aside M300
delivery of services. million to cover the allowances under this
program. The details of the program will be
finalised by end of April, but it will be a 2-
MINISTRY OF FINANCE – CITIZEN’S BUDGET 9• Enactment of Tax Administration initiatives generated M15 million and M17 workshops and consultative
Bill; million, respectfully. meetings: (iv) ministers to cut their
• Enactment of the VAT Bill which delegations to the bone; (v) limiting
will provide for implementation of In an effort to mobilize the resources to the number of nights any minister
the reverse charge mechanism on address the identified fiscal challenges, can spend in outside meetings to 5
VAT on imported services. Government will scale up the VDP program. only. Exceptions to be granted under
The current zero rating on exports of natural additional justification by a
• Enactment of Income Tax Bill
resources will be replaced by VAT specialised committee and rarely; (vi)
• Enactment of the Customs Bill;
exemption in an effort to reduce revenue ministers to actively control
Furthermore, Government will implement leakages emanating from high VAT refunds international travel in their
the Tax Modernization Programme which claimed by the mining industry. ministries; and finally, ministers to
will include, amongst others, the Government will also zero rate sanitary produce international travel reports
implementation of VAT non-compliance towels as a way to increase access and total time and amounts spent on
detection solution. The Customs improve school attendance. travel.
Modernization Programme entails ▪ Eliminate all supplemental
upgrading border IT infrastructure and WHAT ARE THE subsistence allowances including
introducing a Coordinated Border quarter rates
Management through the Trade Related MEASURES TO REDUCE ▪ Except for His Majesty, Members of
Facility and the National Single Window, as EXPENDITURE? Parliament and Statutory Officers,
well as rehabilitation of Sani Top and Van During FY2019/20 government will all public servants travel economy
Royeen commercial border posts. implement in full the following measures: class;
▪ Reduce ministerial international
Government will also repeal the tax
travel by undertaking the following.
regulation that granted 100% accelerated
(i) the Right Honourable the Prime
depreciation for mining so as to curb
Minister to set up a special
revenue leakages and review the Precious
committee to authorise all
Stones Order 1970 and Mining and
ministerial international travel with
Minerals Act 2005 in order to align them.
the purpose to reduce such travel
Mr Speaker, in FY2018/19 Government including; (ii) government to use its
through the LRA implemented the foreign representatives to attend ▪ The Government of Lesotho shall
Voluntary Disclosure Program (VDP) and most meetings; (iii) ministers to acquire one travel agent to provide,
the Small Business Taxation (SBT). The two attend only representational for a fee, all its flight booking
meetings and to avoid conferences, services. Such an agent shall be IATA
accredited. An expression of Interest
MINISTRY OF FINANCE – CITIZEN’S BUDGET 10has been issued and a tender will disciplinary action. Only Principal Immigration Offices send vehicles to
soon be finalised. Secretaries should be assigned an the district each day;
▪ Reduce government phone expenses official vehicle and all other officials ▪ Instruct LRA to collect non-tax
by lowering existing allowances, below this level should not be revenues;
including cutting all spending limits entitled to such vehicles. ▪ Reduce ministerial gross salary by 5
on phone usage and negotiate better ▪ Eliminate all international training percent;
value for money with the telecom except that which is fully funded—the ▪ Eliminate the interest benefit on
suppliers. Enable an internal (free) PS and Minister to enforce this MPs loans and the possibility of
telephone network for all requirement. When international write-off of the loans following a mid-
government offices including training is fully funded, Government term election;
abroad; will not pay any additional amount. ▪ Eliminate the procurement of
▪ A cap of M5,000 per month to be to ▪ Reduce the incentive to travel by refreshments and official
be applied to all ministers; adopting the lower UN rates and entertainment; and
▪ Use communication technology amend the Annex B of the Ministry ▪ Set price limits in IFMIS to curtail
more effectively—the Ministry of of Public Service Circular Notice the overcharging of government.
Communications, Science and Number 8 of 2009 to reduce Per
Technology to submit a proposal Diem rates.
before end March that includes ▪ Reduce the cost of foreign missions
WHY SHOULD CITIZENS
teleconferencing in districts and by reducing their number of PARTICIPATE IN BUDGET
overseas and to train all senior missions and reviewing the formula FORMULATION,
officials on modern communication for calculating salaries.
technologies; ▪ Reform the method of appointing
MONITORING AND
▪ Freeze all government hiring; diplomats, particularly those EVALUATION?
▪ Reduce government fleet costs. All responsible for financial matters. Citizens and civil society have the right to
government vehicles to be parked ▪ Reduce the cost of accessing districts. monitor the implementation of the budget
outside office hours; introduce a ▪ Government should deliver more of Government. Citizens are encouraged to
permit system managed by the and more services through local monitor performance of works and services
Government Secretary. Deploy government structures. This requires done by service providers. Citizens’
police to impound vehicles that do the active implementation of the participation in the monitoring and
not have permits. Release 2014 Decentralisation Policy. evaluation of budget execution provide
impounded vehicles only on the ▪ Coordinate all trips to the districts Government with an opportunity to be
strength of demonstrable corrective through a central coordination accountable to the citizens on the use of
measures taken by the PS. PSs that system—the Post Office and public funds.
do not take action, to face
MINISTRY OF FINANCE – CITIZEN’S BUDGET 11This increases citizens’ confidence in the the Budget, before it is approved by
Government using their money and thus Parliament.
promote citizens’ understanding and
ownership of Government programs which You are also encouraged to follow the
increases the likelihood of their success. To debates by Members of Parliament (MP) on
this end, Citizens should request managers the proposed 2019/2020 National Budget
of public funds to report on the level of on Lesotho Television. The budget becomes
implementation of planned and budgeted a law after it is passed by Parliament. After
activities. Districts should hold open days to the approval, the budget can be found in the
provide citizens with information about form of Government Gazette at the Ministry
Government activities. These open sessions of Law and Constitutional Affairs –
are important in monitoring Government Printing. A soft copy of the
implementation and evaluation of complete Appropriation Act can be accessed This guide is published under the authority of
performance contracts. at the Government website and of the the Minister of Finance
Ministry of Finance:
Editor-in-Chief: PS Finance
WHAT CAN YOU DO WITH www.gov.ls/www.finance.gov.ls For more information contact:
THIS INFORMATION? Ms. Maleshoane Lekomola -
In addition, every fiscal year, the maleshoane.lekomola@gov.ls
This booklet is Lesotho’s 2019/2020 Government produces a Citizen’s Guide to
Citizens' Budget. It is a simplified version of Tel: 22320039
the budget that is distributed in all districts
the proposed 2019/2020 National Budget and Civil Society Organizations. A soft copy
that was presented by the Honourable of the Citizen’s Guide to the budget is also The Newsletter is available on the
Minister of Finance on Tuesday 12th March,
2019.
available on the website of the Ministry of Ministry of Finance website:
Finance.
http://www.finance.gov.ls
The Citizens’ Budget explains how the It is the right of every Mosotho to have
Government proposes to raise money and information about the National Budget.
where it intends to spend it, in a simplified Talk to your neighbours, Government
manner that is easy for citizens to Officers or your Leaders about this
understand. You are, therefore, encouraged information and share it with other people
to read the Citizens’ Budget and if you have in your community!
any comments, please contact your area
Member of Parliament (MP) to raise the
matter during the Parliamentary debates on
MINISTRY OF FINANCE – CITIZEN’S BUDGET 12You can also read
