Anti-corruption watchdog criticizes 2020/2021 finance bill

The Council of Ministers approved the bill on the 2020/2021 public finance at a meeting held from 26 to 27 February.

Gabriel Rufyiri “Over 90% of the budget finances state services”

For the 2020/2021 financial year, the total resources of the General State Budget are estimated at BIF 1,415.51 billion while they were estimated at BIF 1,327.08 billion for the 2019/2020 financial year, i.e. an increase of 6.66%.

Expenses have increased from BIF 1,516.4 billion in 2019/2020 to 1,569.3 billion for the 2020/2021fiscal year, i.e. an increase of 3.4%.

The overall deficit of the General Budget of 2020/2021 thus amounts to BIF 153.8 billion against BIF 189.3 billion for the 2019/2020 financial year, i.e. a decrease of BIF 35.5 billion.

The government plans to increase revenues, take further measures to broaden the tax base, fight tax evasion and avoidance, recover all arrears and contain tax exemption to reduce the budget deficit.

Gabriel Rufyiri, chairman of Burundi anti-corruption organization believes the government approved and voted its budget without taking into account the poor conditions in which Burundians live. “This poor governance is anchored in our leaders’ mindsets,” deplores Rufyiri.

The activist also finds the austerity policy set out in this project as a complete farce. Budgetary spending continues to increase. Over 90% of the budget finances state services.
“Broadening the tax base means that the government will continue to reduce the purchasing power of the population,” says Rufyiri adding that this worsens the critical situation of the population.”
Mr. Rufyiri also doubts that the government will control the exemptions. “The finance law provides for BIF 18 billion in exemption. We, however, find that the exemptions granted exceed BIF 100 billion each year.”