Addis Ababa, 07 July, 2015(WIC) – The House of People’s Representatives has approved 223.39 billion EB for the next budget year.
In its today’s session, the Parliament approved a total budget of 223.39 billion EB for the 2015/16 fiscal year.
Among which 84.3 billion EB is allocated for capital expenses, 76.8 billion EB for subsidies of regions, 50.3 billion for recurrent budget and 15 billion EB for the expenses of sustainable regional development, WIC learnt.
Prime Minister Hailemariam Desalegn has also disclosed that the budget is allocated for the economic transformation of the nation.
The budget is a significant stepping stone to develop the national economy through strengthening small-scale enterprises, agriculture and industry sectors.
Both structural transformation of the Industrial sector using the developmental investors and agricultural transformation through mobilization of the farmers across the nation are the major focus area in the next GTP period, the Prime minister added.
According to the Premier, the current total tax revenue is 13 per cent of the national GDP and it is targeted to raise to 15 percent in the second.
The current single digit Ethiopian inflation rate and less than 3 per cent budget deficit are symptoms of healthy economy that the 20 per cent rise in the coming fiscal year’s budget hasn’t any influence on the national economy, PM Hailemariam said.