The House of Representatives approves 1/12 of the previous fiscal year 2018/2019 budget.The House of Representatives Tuesday took the decision through a communication from the Acting Chair of the Cabinet, Nathaniel F. Mcgill, following a resolution.
According to Minister Mcgill, he was directed by the President of the Republic of Liberia George M. Weah to convey to the House of Representatives the need to pass a resolution, authorizing the Ministry of Finance and Development Planning to spend beyond the stipulated (1/12) One-twelfth of last year’s budget for August 2019, while awaiting approval of the draft national budget for 2019/2020 by the Legislature.
Mcgill notes that he is delighted to herewith submit the amount as temporary funding for government operations in the absence of an approved fiscal budget as required by Section 17 of the Public Financial Management (PMF) law, which is virtually exhausted.
He says the request is prompted by the fact that from the US $47,500,000 allotted under the PFM law, US$45,633,310.00 has already been spent, leaving a balance of US$1,866,690 for government operations, which is grossly inadequate for the month of August.
Appearing before the House of Representatives last week Thursday, the Minister of Finance and Development Planning, Samuel Tweah told members of the House that he had informed President Weah the first 1/12 required by Section 17 0f the PFM law was already exhausted and if nothing were done in terms of urgent capitalization, the country will shut down because there will be no money to pay salaries and provide fuel for hospitals.
With 38 members of the House voting in favor of the resolution, none against and four abstaining, a motion was passed, instructing that an additional One-Twelfth of the budget be approved to save the country from shut down, pending full approval of the draft national budget currently before the House of Representatives for scrutiny. By Bridgett Milton