In a bid to speed up the government’s tasks in 2019-2020 fiscal year, the Union government has allowed the ratio between the budget deficit and GDP at more than five per cent, said Myanmar President Win Myint who is the Chair of the finance commission, at the finance commission meeting 3/2019 at the meeting hall of the Union government office in the Presidential Palace on June 17.

“Since the current government took office, the fiscal year has entered its fourth year. All need to do their best for 2019-2020 FY after the reviews of advantages and disadvantages in the previous fiscal years. The budgets allocated to departments and organizations annually should be used effectively for the State and the people. These expenditures should reflect the economic policies, sector-and region-wise projects and the strategic projects included in the Myanmar Sustainable Development Plan (MDSP),” the President said.

For the timely completion of projects, head offices need to delegate its authority to relevant lower offices under the systematic expenditure management system.

There should not be large variances between the budgeted and actual expenditures. The return of huge budget surplus shows the weak budget management skills, he continued.

In order to promote the socio-economic status of the people, the government will spend its budgets more on electricity, roads and bridges and rural development projects which will be practically beneficial to the public. On the other hand, for the human resource development, the government will also use increased budgets on education, health and social protection, he added.

The departments which have taken overseas loans and get foreign grants, need to draft the budgeted amounts available in the fiscal year and manage the use of foreign grants and aid in accordance with the time table. The president also called on the officials to minimize the budget wastes as the government will have to repay overseas loans.

According to the 2019-2020 FY National Planning Law, the GDP is expected to hit a 7-per-cent growth based on the normal price. The Union government’s budget spending plays an important role in achieving this goal, he continued.