Govt committed to service delivery: Marape
THE budget and expenditure for the last five years for the provincial and district services improvement programs (PSIP, DSIP) was budgeted at K4.887 billion, with K4.880 billion remitted to the provinces and districts.
Finance Minister James Marape said the country had faced challenging economic times and has dealt with the impact of natural disasters, however, except for the 2017 national election, where the PSIP and DSIP were reduced to K2 million for each province and district.
“The Government has maintained its commitment and support to this service improvement programs,” he said.
“I can assure the leaders of the provinces and districts that we will continue to meet this commitment in 2019. Again, despite difficulties in the economy and tight cash-flows, there has been a 7 per cent increase in payments in these areas to the provinces and districts over the last three years.
“The area of concern remains the continued growth of personnel emoluments, which consistently exceeds the approved budgets for staff salaries and allowances.
“We are hearing reports from district and provinces but they are still dependent on Waigani, there is limited revenue for provinces and districts as we talk about autonomy and district empowerment. We are trying to supervise at the micro level and disburse as required. In the last five years, we have set the tempo and pace.
“I am curious to appreciate what is happening out there.”
“Activities are taking place in districts, our country is still 80 per cent rural, I can confirm 80 per cent plus of districts are rural.
Recurrent expenditures of most provinces were budgeted for — including local level governments, with a total of K2.18 billion, of which K2.5 billion was remitted, he said. Mr Marape said despite difficulties in the economy and tight cash flows, there has been a 7 per cent increase in payments in these areas to the provinces and districts over the last three years.
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