08-Oct-2019

Alghad - The government has issued instructions to prepare a draft law on the general budget, a draft law on government budgets, and a draft law on the formation of ministries, departments and government units for fiscal year 2020.

The government called on ministries and government units to conduct a comprehensive review of the aspects of their expenditures, especially the current ones in order to control and rationalize to reflect the actual and irreplaceable needs.

The government also suspended the issuance of any new bids or commitments as of November 14, to include government bids and tenders for public supplies, except after obtaining the approval of the Prime Minister and upon the recommendation of the Minister of Finance in the Budget Department.

The report also examines the existing tax policies and their impact on public revenues to demonstrate their efficiency and stability in the medium term through enhancing the ability of collecting departments to estimate revenues according to a clear methodology related to macroeconomic variables, and the effects of agreements concluded between the Kingdom and the outside world, taking into account the capacity of taxpayers and achieve justice and reduce Tax evasion along with studying its effectiveness in stimulating demand and attracting investments to the Kingdom.

The communique included initiating the preparation of an economic and financial reform program in partnership with national authorities aiming at a national consensus on stimulating economic growth and preparing an action plan to reduce water sector losses. In its communique, the government called on all ministries, departments and government units to adhere to re-prioritize capital expenditure projects, especially those financed by external loans or grants, so as to take into account the ability to implement their projects and the government's directions to limit external borrowing and limit it to easy borrowing according to actual needs. , In line with the Public Debt Law and its administration.

Monitor the financial allocations required for e-transformation projects in the provision of government services.

To provide the General Budget Department with feasibility studies related to new strategic projects and complete and comprehensive information on all capital projects in accordance with the project description card approved by the General Budget Department, noting that no financial allocations will be made for any new project that does not include the mentioned documents and data.

It also called for the need to provide the General Budget Department with a comprehensive report on capital projects and the size of withdrawals from loans and grants, to finance these projects in order to identify the problems and obstacles that may hinder the implementation of these projects to be remedied and taken into account when monitoring allocations.

These expenditures should be directed towards development projects with economic and social returns, especially infrastructure projects and projects that stimulate investment in other governorates of the Kingdom to reduce the problems of unemployment and poverty.

Also stop buying cars and furniture, and focus on maintenance work in the light of the actual needs and write off cars with high maintenance costs and the implementation of the project tracking and management of government vehicles.

It also demanded that computers not be purchased until after coordination with the Ministry of Digital Economy and Entrepreneurship through the committee formed in this regard and work to maximize the use of available devices.

The current activities and capital projects targeting the family sector in general and women in particular (gender-sensitive projects in the field of economic, political and social empowerment) as well as projects that deal with children, so that their total costs, sources of funding and the governorates benefiting from them.

Also called for a comprehensive review of all items of capital expenditure to determine their impact on the national economy.

On the level of loans and liabilities, the government demanded that all government units include provisions for the repayment of their external and internal loan instalments, which are due in 2020 or due in previous years and not paid with the reasons for non-payment.(2020-2022).

The Ministry of Planning and International Cooperation provided the General Budget Department with a list of all external loans and grants contracted for development projects during the years (2020-2022).

The statement added that the Ministry of Finance should provide the General Budget Department with a statement that includes the loans contracted and re-lent, the dates of repayment of the installments, interest and projects to be financed, provided that they are evaluated according to the exchange rates issued by the Central Bank with an indication of the origin of the loans and their repayments. Loans over the coming years.

Regarding the instructions for preparing the table of job configurations, she called for giving the human resources planning process the necessary importance based on the provisions of the Civil Service Law No. (82) of 2013 and its amendments.

The obligation to be the decisions of transport, assignment, commissioning and secondment provided for in the civil service system in cases required by the public interest.

The report stressed the need to control and rationalize operational expenditures (use of goods and services) to be within the minimum limits for the conduct of the work of ministries, departments and government units and emphasize the need to adopt estimates with a high degree of accuracy, discipline and responsibility, especially items relating to hydrocarbons, electricity and water in addition to reducing the item rent through use Optimization of leased buildings and the gradual transfer of ownership of government buildings through the issuance of Islamic Suck, taking into account the need not to postpone the payment of bills and receivables due and that the preparation of estimates for each article of expenditure. Chgalah according to the actual needs.