By Bill W. Cooper
President George M. Weah has pleaded with the Legislature for an extra 22 day before the submission of the Fiscal Year (FY) 2023 National Budget.
This latest appeal is in total contravention of the New Public Financial Management (PFM) Law in 2021 which set the FY budget year from January 1 to December 30 thus replacing the July 1 to June 30 budget year.
The PFM law of 2021 states: “The President of the Republic of Liberia shall submit the proposed Budget and accompanying documents to the Legislature no later than two months before the start of the Fiscal Year, thereby requiring the Legislature to be in Session.”
Granting the Liberian leader’s appeal amidst the provision that calls for two months before the start of the fiscal year, it means that the Executive branch of Government is already behind the notice set by the Public Financial Act, by the Executive requesting additional 22 days which will delay the submission of the 2023 fiscal budget
But the Liberian Chief Executive, in his communication to that august body assured the lawmakers that despite the request, the budget will be prepared and ready for its January 1, 2023, implementation as stated in the new fiscal policy of the PFM law.
Justifying his reasons for the adjustment, President Weah maintained that his government must conclude discussions regarding its next monitoring and fiscal policy course which are largely aimed at achieving micro-economic stability.
Therefore, as a follow-up to the recent discussions at the World Bank annual meeting, an International Monetary Fund (IMF) fifth review mission under the government of Liberia extended credit facility program is in Monrovia to conclude its assessment of our micro-economist development and performance and our fiscal policy outcomes and projection for the ensuing fiscal year.
The President’s communication stated further, “Under the ECF program negotiation by ensuring adequate funding for the 2023 general and presidential elections, addressing an extra budgeting pressure to subsidize the current rice situation in the country as well as fund government institutions in order to remain operational without causing disruption during the elections.”
“It is important to also state that the severity of the impacts of the COVID-19 pandemic and the ongoing war in Ukraine on our domestic economy continued decline in the global commodities prices and coupled with expenditures demands on our meager domestic resources cannot be overemphasized but we remain committed to addressing these challenges,” he informed the Legislature.
President Weah in his communication added, “So, it is my hope that the additional time requested will allow us to formulate a realistic and comprehensive FY2023 National Budget that reflects our current realities.”
“And during this extended period, I have instructed the Minister of Finance to commence sustained engagements with the Legislature and all spending entities in order to ensure wider consultations and inputs to the formulation of the budget,” he noted.
Meanwhile, following the reading of the President’s communication, a motion was agreed upon to invite the Minister Finance to explain further reasons behind the appeal for extension of the budget submission.
