Secretary to the Treasury Fredson Yamba
Secretary to the Treasury Fredson Yamba

Secretary to the Treasury Fredson Yamba says the implementation of the 2015 national budget took constitutional effect on January 1.

And Mr Yamba says a new payment system which will be implemented during the 2015 budget cycle is imbedded with benefits that will accrue immediately for suppliers of goods and services to the government.

Mr Yamba said following approval by parliament in December last year, the implementation of the 2015 national budget constitutionally commenced on January, 1, 2015.

Mr Yamba disclosed this in a statement released to media in Lusaka today by Ministry of Finance Public Relations Officer Chileshe Kandeta.

And Mr yamba said the commencement of the 2015 budget cycle also signals inauguration of the Treasury Single Account (TSA) System.

He said the TSA system is a unified structure of bank accounts which gives a consolidated position of government’s cash resources.

Mr Yamba said the TSA system aims to improve the government’s ability to efficiently manage public financial resources by refining the current payment proccess and eliminating redundant procedures between itself and clients.

He said the Ministry of Finance has established a system with the Bank of Zambia which will provide a reliable information exchange interface between the Integrated Financial Management System further stating that the system will be piloted at the Administration level in the Eastern province starting tomorrow on January, 5, 2015.

“The on-going public financial management reforms present an opportunity for strengthening procedures and processes in the budget cycle, including planning and budgeting, internal controls, procurement, debt management, accounting and evaluation. The TSA system is designed to streamline government bank accounts and introduce direct payments into suppliers accounts”, he stated.

Mr Yamba said the benefits of the TSA system include elimination of idle balances in commercial banks and reduction in the costs related to maintenance of numerous accounts.

Other benefits include improvement of cash analysis, reduction of unnecessary government borrowing through short term bridge financing and elimination of unethical practice of government borrowing its own money through treasury bills and bonds bought by Commercial Banks from Bank Of Zambia using governments idle balances.

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12 COMMENTS

  1. This is a prudent and efficient management of our resources. It also shows how govt is eager to deliver to the people

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    • Cheers. This will expose a number of banks who have been making billions (old currency) through Government idle money. Pray and hope the system includes Zesco, ZRA, Napsa etc. so that they are not allowed to maintain multiple accounts with banks and keep money idle to make extra pocket money for their CEOs and CFOs. BOZ shall make it mandatory that anybody can deposit money in any bank branch for credit of amount in his/her account with another bank without any charges. This will eliminate the need for multiple collection accounts.

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    • Hey, you cruel PF Government, how can you do this? How will my brurus from Napsa Zesco will survive? How will they finish their third-fourth house? I abhor you. How can you make direct credit to suppliers’ accounts, depriving thousands of managers in government departments of small tips for delivery of cheques? I loathe you Yamba, Chikwanda. You have lost votes of many votes, inclusive of mine from Brussels.

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    • Sarcasm aside, Mr. Yamba, convey my good wishes to His excellency and his cabinet for a good job. This was long overdue.

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  2. Well done Yamba. Vote Edgar. Don’t waste your vote on failed politicians with no Agenda for Zambia, only empty promises. The other I say HH in a helicopter admiring the land scape and saying we have vast resources which we have not utilised. That is theory Mr HH come down that Helicopter and convert your observations into actions. We all admire our land when we are driving along roads but that does not mean we are good leaders. Action,Action, Action is all we need. Atleast PF has done it and we can all see it.

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  3. Now this sounds like plan. A [email protected] GOOD one too!!!!

    Just watch how the YAPPERS from ZWD a.k.a. UPND sycophants will avoid this thread. Anything that’s sounds like good policy by PF, these guys avoid it like impele (scabies). Hope HH does not claim credit for this one too.

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