Finance Minister Felix Mutati has unveiled a K64.5 billion 2017 national budget with a focus on restoring fiscal prudence while maintaining a growth path.

And Government hopes to borrow close to K20 billion to finance the budget while around 42.94 billion will be through domestic revenues and K2.23 billion through grants from Cooperating Partners.

Meanwhile, Mr Mutati has Increase the exempt threshold for PAYE from K3, 000 to K3, 300 per month and has adjusted the income bands accordingly and increase the top marginal tax rate from 35 percent to 37.5 percent for those earning above K6,200.

Mr Mutati presented the budget under the theme Restoring Fiscal Fitness for Sustained Inclusive Growth and Development.

Finance Minister Felix Mutati with wife Grace a few minutes before presenting the 2017 national budget
Finance Minister Felix Mutati with wife Grace a few minutes before presenting the 2017 national budget

He has also announced increase in excise duty on air time from 15 percent to 17.5 percent.

On allocation, Mr Mutati has pushed the allocation for social protection by 85 percent, to K2.7 billion in order to cushion the vulnerable.

Of that amount, K552 million for the Social Cash Transfer Scheme and K1.7 billion for the payment of pension benefits under the Public Service Pension Fund.

And Mr Mutati has announced that Government will be reviewing the performance of many State Owned Enterprises (SOEs) such as Zesco, Zamtel, Zambia National Building Society, Indeni, TAZAMA Pipeline, Zambia Railways and Zambia State Insurance Corporation in 2017.

Mr Mutati has also increased to 40 percent from 25 percent surtax on plastic carrier bags for shopping and 15 percent for both single and multiple yarn (acrylic yarn) from zero percent and 5 percent, respectively.

He said this will help stimulate local production and support Government’s efforts towards promoting local value addition and diversification.

He has also increased the specific excise duty rates on cigarettes to K240 per mille from K200 per mille and remove the ad valorem rate of 145 percent to induce a reduction in the consumption of cigarettes by increasing the price, in line with the recommendation of the World Health Organisation– Framework Convention for Tobacco Control.

The Download Link of the Full Budget Speech is below

The 2017 Full Budget Speech Download Link here

Government Budget Expenditure Allocation
Government Budget Expenditure Allocation
Government revenue Sources
Government revenue Sources
[Read 144 times, 1 reads today]
Loading...

82 COMMENTS

    • SO FIRST THERE WAS THE MOVE TO ENCOURAGE PEOPLE TO USE MOBILE MONEY. THEN WE INCREASE THE TAX ON AIRTIME. DOUBLE WORMY!!! THE PEOPLE HAVE BEEN HIT FROM BOTH SIDES. HERE WE GO!!!!

      0

      0
    • Means nothing, qont make a difference to you and I. These numbers are meant to play with people’s minds

      WHat matters is, how these Ministers are acquiring the welath they are from mediocare salaries.

      DEC, ACC you name them are inept. There is a bigger deprooted problem and measure on how to curtail that matters more than a budget that means nothing. They will tax you and I and they will get richer

      I am 27 and I remember when budget unveling meant paying attention and listening.

      There is nothing in this budget apart from the Government getting more money. The other way round would have made more sense

      WHo cares

      Thanks

      BB2014

      0

      0
    • I stopped paying attention to the national budget way back when I realised it meant nothing to me. How many times have we been told the budget is ‘pro-poor’? How many poor people have in the past benefited from such budgets? Theis thing is just formality. It means nothing.

      0

      0
    • The choice of the wife he decided to bring to Parliament is attractive, but looks like she will consume same as health in the budget for up keep. This is problem with Zambian minister, Kambwili is the fresh example, keeping wife in UK just for money laundering?

      0

      0
    • A pretty mundane and uninspiring Budget.
      1. Where is the Eurobond Repayment Sinking Fund? This was a key feature of Alexander Chikanda’s last budget.
      2. There are no incentives for households to produce power for themselves eg. by guaranteed uptake by Zesco for any excess energy. Wholesale feed-in tariff and netting must be allowed to sort out Zesco’s madness. Such wholesale incentives (in that case, duty – free importation of buses) were one way Chiluba eliminated transport problems when UBZ collapsed.
      3. I am not sure how PF can excite new PPP partners after they nationalised Kasumbalesa Border and kicked out the Turkish partners in the KKIA Expansion Projects. PF flip-flopping on these partnerships has killed killed off interest.
      4. Those PAYE income bands look so wrong!…

      0

      0
    • It is crazy how on expenditure side he has used %age of budget but on revenue side of us %age of GDP. What is he hiding by using unrelated %ages on the two sides?
      Anyway, 27.9% going towards servicing of debt even before Eurobonds are due for repayments shows how PF have already spent Zambia’s future. What a callous thieving lot!

      0

      0
    • PF will tax Zambians to death. Businesses will close and lots of people will be jobless. All because PF want to eat their cake and have it at the same time. For Zambians, this is the cost of gullibility. Instead of reading between Lungu’s drunken mutterings, they danced Dununa Reverse. Now enjoy the hardships. Zambians have never had it so bad.

      1

      0
    • @ Nostradamus you say ”The choice of the wife he decided to bring to parliament is attractive..” Educate me. Does the man have more than one wife? Is he a polygamist?

      0

      0
    • Its surprising how Mutati has based the huge part of this budget on foreign financing. Where will he get the money and who in the international community will be willing to lend money to a useless PF government under murderer and stupid dictator Lungu?

      IMF has chicken out unless Lungu addresses the serious violation against the Zambians citizens. IMF and its core partners will not lend a single dime to Lungu ‘s government just like Mugabe’s Zimbabwe failed to get any foreign financing until Mugabe begged an MDC stooge leader to accept power sharing in order to ease the financila burden. Unfortunately for Lungu’ us in UPND are not prepared to share power with thugs who are murderers , thieves and corrupt minions.

      Such budgets are just a simple demonstration of craziness as the…

      0

      0
    • Such budgets are just a simple demonstration of craziness as the they come to nothing. If you look at Zimbabwe which is under the rule of Lungu’s mentor, the situation is desperate despite such billion quoted budgets year on year.

      Chagwa must fall.

      0

      0
    • @Fwebene – Please excuse BR Mumba, he is a mere dreamer and a wishful thinker.
      This is lazy Lungu govt is on one hand imposing out these taxes on people asking them to sacrifice but on the other they themselves are not leading by example why don’t you reduce your salaries and allowances for a start, stop this talk of reintroduction of Deputy Minsters and amendment of the constitution.

      0

      0
    • @ wanzelu it is baffling to see a national budget itemizing foreign financing with such a huge percentage margin in balancing act a continuation of the dependency syndrome! Seems common across the African continent though Rwanda seems to have chosen to wean itself from being held hostage by foreign financing despite the turmoil it is healing from, Zambia ought to do better! The stage is set for a flurry of activity by our less analytical representatives in parliament and national economic sectors in praise of the budget akin to what we have been hearing with each presentation of budget by Finance minister in the past years!

      The 2.5% increased tax exempt threshold for PAYE for lower income bands has been transferred to be borne mostly by the middle income bands while no major shift has…

      0

      0
    • contd….. been imposed on the high income bracket. (Check cash flow demographics). The 2.5% must not be seen as an inconsequential figure for the wide small scale businesses! The actual service one gets for air time will be reduced by the same percentage margin with each purchase!

      0

      0
    • Appointed by chikwanda to hide his failures,we are in trouble.Please explain first where all the money your relatives borrowed went.

      0

      0
  1. How i wish The Post was around so that we know where we are going. We miss their analytical thinking though powers at the top was behind its closure for the unknown reasons. The Post was a going concern and disputed debt was going to be redeemed.

    0

    0
  2. Everything increased. Bane this does not make you the common man any better. So long as price of fuel. mealie meal and other food basket necessities are going up, these so called fiscal numbers will not put food on your tables. Look at how pathetic it sounds for us to rely on borrowing for our budget. kikiki it is like makign a shopping list whe you dont have money, with the hope that your relative in america who is scared of trump will subsidise your budget by sending you some dollars. Pathetic. We in upnd would give priority to stimulating local business growth which inturn would lead to local job creation and thus an increased tax basewhich in turn has the effect of insuring a budget surplus.. not these deficits you are looking at. HH was your man… its not too late bane

    0

    0
    • For once I agree with you. I think Zambians made a very big mistake to vote for ECL. I see a lot of hardships ahead. Fuel subsidies removed, toll gate fees doubled, all taxes increased and Zesco charges to go up soon. Surely, is this the kind of life Zambians voted for. Meanwhile some job seekers can even have the courage to tell Zambians that the want the position of deputy minister re-introduced! Welcome to hell!

      0

      0
  3. Meanwhile gorrilas like kambwili have networths more than the country’s budget.This is life under pf. Thieving, death, hunger, load shedding order of the day.

    0

    0
    • Zambians voted for P.F, & Kambwili, in the process insulting / abusing anyone who tried to enlighten them.
      They danced like Mad when Edgar declared himself winner of an election stolen by Kaizer, & Chavula.
      I’m sure now they can see Kambwili & 95% of P.F, officials DO NOT have their interests at heart.
      IN SHORT ZAMBIANS MADE THEIR BED, & IT’S NOW TIME TO LIE IN IT!!

      0

      0
  4. Please you idi0ts who voted for this 2016 most incompetent and idi0tic president of the millenium pledge with him to reduce the PAYE because his killing his own people.

    0

    0
  5. Please Satan we have refused this son of yours Edgar Wrungu you have imposed on us,he is slowly killing us take with you to hell or in allepo syria because that’s where he belongs.

    0

    0
  6. Kambwili is the cause to all this. he is selfish that’s why he stole our hard earned tax payer’s money. Am sure he is not alone and alot more will follow suit. Please ba Lungu fire all the thieves if you want to survive in 2021 otherwise the axe will be very sharp on you in 2021 if you don’t expel your corrupt ministers.

    0

    0
    • NOT ONLY KAMBWILI MANY MORE MINISTERS AND GOVERNMENT OFFICIALS. WE NEED TO PUT PRESSURE ON ALL OF THEM TO PAY BACK STOLEN MONIES. KAMBWILI WAS JUST A PEACEMEAL AND THE SACRIFICE FOR HIS GREEDY AMBITIONS OF STANDING AS PRESIDENT NEXT TERM. HE IS THE SACRIFICIAL LAMB.

      0

      0
    • What about Edgar Lungu with k23 billion in one year? Zambia is not going anywhere as long as we have selfish and visionless people in power.

      0

      0
    • YOU ZAMBIAN SHOULD LEARN TO READ BETWEEN LINES. NOTHING WILL HAPPEN TO KAMBWILI. YOU HAVE ALREADY SEEN THE CONDUCT OFF ACC. THEY ARE NOT CHAMPIONING ANYTHING. THEY ARE DOCILE.

      0

      0
  7. @Mushota ..You have been 27 for the last four years. Anyway, still need to make sense of the budget by reading the whole script. I don’t know whether it will inspire any positives seeing as I still don’t know what the holistic country’s economic plan is. When did Mutati put this together? Or did he just pick up what was being developed before he became Finance Minister and present it? Or if these are his ideas, has he had time already to make them?

    0

    0
  8. For the dull PF supporters …..”15 percent for both single and multiple yarn (acrylic yarn) from zero percent and 5 percent, respectively”…Yarn is the raw material (the white strings)used in the manufacture of mealie meal bags.So expect higher mealie meal prices….The increase in the exempt threshold for PAYE will evaporate in thin air….It’s dununa reverse time.

    0

    0
  9. Hmmm I predict Mutati will not last more than 2 years as Minister of finance- some of the points In this budget are anti poor. Instead you should cut on top govt expenditure including salaries of ministers, remove the huge allocation to luxury SUVs that you ministers are giving yourselves after 2 years ! The govt spends USD100,000 on the latest Hilux then the officials using it after 2 years buy it at K40,000? Please that is not fair! Cut on MP gratutiy, cut on foreign trips and workshops! This is what us the real PF want not false measures ba Mutati that only benefit the rich!

    0

    0
    • Totally agree with you. Why are the MPs still getting gratuity? Why are we still wholesomely paying for Ministers’ phone bills? Seating allowances? Why do they need new vehicles? Everybody needs to feel this tightening of belts, not the poor only.

      0

      0
    • Its the poor who were dancing to dununa reverse and shouting on top of the roof ‘ IFINTU NI LUNGU’ when just a few meters away there was someone who has a proven track record of being a successful businessman.

      0

      0
  10. Mutati has been harping about recovery. What recovery is there when money is being stolen left right and centre? This budget is way too small to make any difference in the year 2017. The soonsooner the IMF injection is administered on this sick economy, the better. Meanwhile, PF want to bring back deputy ministers who will surely suck the little blood left in this emaciated and disembowelled economy. Let’s all get interested in what’s happening in this country and demand for accountability.

    0

    0
  11. There again Lazy Lungu is secretly tightened your belts with another two belt notches…for those that do not know what PAYE is, its tax the taxman gets from you before it even hits your account. Meanwhile the Lazy Bum in State House is there encouraging misappropriation and corruption.

    0

    0
  12. While Kenya and Tanzania unveil budgets of $23b and $13b respectively our poor Zambia is still dealing with low figures of $6.6b.
    With our lower GDP growth of 3% and low budget we will keep falling further behind in development and other economic indicators with a lower quality of life than Kenya & Tz.

    0

    0
    • Population stats; Kenya 45million, Tanzania 50million, Zambia 15million. Needless to say.

      Ever heard of the term per capita?

      0

      0
  13. Zambian’s we’re very stupid,LULU told us that he don’t have a vision so why are we crying of what is happening in our country.
    Lulu confessed that he don’t have a vision but we were busy saying ifintu ni lungu tiye nankwe lulu kaili paka litente paka litulike.
    Kkkkkkkkkk viahadlifeinzambia.com

    0

    0
  14. The best is to hand back this country to the British. We are not going anywhere as a country guys. No matter how much we cheat ourselves that there is a saviour, there is actually none. Tell the British, please rule us but don’t make us buy through small windows in the shops, then we will be back on track. Neither the ruling party nor the opposition can lead us anywhere. We are wasting and loosing time

    0

    0
    • That’s why Donald Trump says, ‘Africa should be recolonised because it has bad leaders.’ Maybe we should now support him.

      0

      0
    • You are the most ignorant person ever. You can crawl back to England. I would rather be free than live under colonial victimization.

      0

      0
    • @shot put kaputi kobe; @realist kapuli kobe. Mwe tunangwa mwe – just brave the winds and help usher in a fairer nation. Now I see why Africans have been selling their birthright for centuries.

      0

      0
    • @ Nzelu

      Are you FREE?
      Just because you exchanged skin color of your Rulers makes you feel free?
      For your info, Public Order Act left by colonial power has been amended in UK 16 times in last 50 years and it has all checks and balances expected from legislation of democratic society. For that matter, even Supreme Court Rules 1999 (White Book) has been abolished in UK way back in 2001. And you are defending your “freedom”???
      More likely, you are happy to be kept in permanent slavery, always provided that the slave-master has “right” skin color.

      0

      0
    • I totally agree with you, we should be asking ourselves this question ‘WHEN WE GOT INDEPENDENCE IN 1964 THE ECONOMY WAS GREAT, WHY HAS THE ECONOMY DETERIORATED TO SUCH LEVELS’? if we become honest with ourselves we will sort this. Mwanawasa came close to sorting this.

      0

      0
    • Donald Trump AND HIS ALLAYS WILL NEVER HELP OF COUNTRY BECAUSE OF ITS BAD REPUTATION. WHEN IN LEADERSHIP WE MIGHT BE SEEING OUR SELVES AS BEING CLEAVER BUT MIND YOU THAT BEHAVIOR IS COSTING THE COUNTRY IRREPARABLY.

      0

      0
  15. Hakainde Hichilema & GBM, president and vice president of UPND respectively, & of southern province and northern province respectively. Uuhhmmm, how is my english? Better than Trump I think. Anyway, tell them that there are no such positions in the Zambian constitution….only exists in their donkey skulls…hiho hiho hiho hiho hiho.

    0

    0
  16. Once again we have seen how “intelligent” Mutati is This is a budget a student studying economics can prepare.We don’t need this nonsense! This has been going on from Penza’s time. PF should have. Some sort of economic recovery plan.They need by now to have identified keys area of investment and align the budget as such so that we know specific things to expect in in the short and long term.Not this vague nonsense about acrylic.These are small businesses run by Kifco,Lamise and some Chinese. This is grade nine economics.How do such unsophisticated guys even manage to negotiate with IMF?

    0

    0
  17. Its the beginning of the Party………turn on the dununa reverse song , we need to celebrate bane .

    Just an observation, it seems those who were big advocates are no longer commenting and behind the scene………….election bribes are gone and you will start feeling the heat and come to reality.

    My concern is the ordinary Zambian, will he be able to keep up even to have even that 1 meal per day? While Kambwili are ccumulating wealth through corruption

    0

    0
    • yes, my only concern is the children who had nothing to do with this choice of dununa reverse, yet they bear the brunt of the suffering. I still have nightmares of treating the malnourished children in muchinga ward at arthur davison hospital in the 90’s. and to think that these innocent angles remain INVISIBLE to this age! its like a nightmare which keeps chasing you even after running away from it,,,, so okay HH here i come, back to zambia. please don’t give up. wait for people like me who have seen the light which never left your sight. you are a genius

      0

      0
  18. All of you here are not getting the real picture in this Budget-The budget is K64.5 billion,the government is borrowing internally K42.5 billion and K20 billion externally,while expecting to receive K2 billion of donations from charities.if you add all these figures they give you K64.5billion which means the government is not putting in a single cent towards its own budget.What kind of crap is this?why call this trash a budget?rather call it a fundraising plan or Nkongole master plan.Other than NGOs,who writes a budget that is to be entirely funded by wellwishers?Now i can believe that Zambia has been sold,this is it.And time to start running is now-dont wait till its too late.The Zambian government dead ass broke bane!!!!!!!!!!!!!!!!!!!!!!!

    0

    0
    • Total domestic revenue ca. ZMK43b (mostly tax and other govt revenue e.g. fees). This is ‘government money’. Domestic finance ca ZMK3.8b, this is internal borrowing. Redbull and Rab you are two id.iots. Keep enjoying your collective fart…

      0

      0
  19. Those blaming the budget allocations are like dogs that do not appreciate in any way. You may feed a dog but once it goes rabbie it you will never look at you as a its master. The end result is you being bitten. You are like snakes, nothing will change your vermous into sweets. If you think cannot survive in it leave the country. God said multply and fill the earth. He did not say multply and remain at one position. Can you leave the country we dont want *****s in this country. Those that commented negatively are the sons of the evil one, satan the devil. You are the same people who do not support your parents out there and expect other N.G.Os to look after your parents. You just love kunyopola va mahala acimbwi atyalatyala. You squillos!!!

    0

    0
    • Its because of people like you that Africa shall forever remain the poorest and a dark continent..Just take a walk through Misisi or Chibolya,see the poverty and filth for yourself.God forbid when those people rise up in anger.

      0

      0
  20. Why are you people worried? In Zambia we do not follow any budget. That one is meant for cheating International donors that we are civilised, we put our thoughts on paper. Let us stop the habit of borrowing from outside for our grand children to come and pay. Its a bad habit. We can do better if we learn how to manage our natural resources than using them as collateral for loans. My worry is not what the Gvt is dreaming, but what is our input as individuals? If we a?l fall in the trap of waiting for collections and loans from public China like our Ministers and MPs are doing, will fall together with them. Let us find another way of survival. Am still wondering, why do we have Parliament? I fill we can do with powerful state house arrangement alone, especially with the leadership of His…

    0

    0
  21. We have seen the budget of the Republic of Zambia presented by the minister of finance. And we have read the usual empty comments (or is it comedy) by UPND cadres. Now we are waiting for the budget of the republic of southern province by UPND so that we can make our usual informed comments. Is their budget speech going to be made in parliament? Is it going to be on ZNBC? What will be the currency? Who will present it? Do they have a minister of finance or HH heads all ministries in the UPND arrangement? Since in UPND no one else thinks except HH. I hear that in HH administration he also doubles as the governor of the bank of southern province and commissioner general of the sp revenue authority.

    0

    0
  22. LAST YEAR, AS EMPLOYEES WE DID NOT GET ANY RELIEF IN TERMS PAYE THRESHOLD. I THEREFORE EXPECTED A MUCH HIGHER RELIEF IN THE LIGHT OF COST OF LIVING THAT HAS TRIPLED AND NOT THE JOKE OF A K300 MUTATI HAS GIVEN US. ON THE OTHER HAND, MUTATI’S BUDGET JUST CONFIRMS THAT MMD IS BACK AND HAS TAKEN OVER THE REAL POWER OF GOVERNANCE. PF WILL REMAIN IN THE STREETS, BUS STATIONS & MARKETS AS USUAL. SAD REALITY

    0

    0
  23. A budget is drawing the future to the present. The future is not predictable as Christians would say “God willing”. Even when you could have presented it exactly the way Mr. Magande would have, the other players would still have found something not to their liking. No wonder they say another mans head is a different world. Go ahead, where necessary adjust. You are not there to amuse DC the so called constitution expert but the country at large. By the way where were these constitutional experts when they wrote this current bumpy constitution which takes you to left , right and center?

    0

    0
  24. This budget just goes to confirm that there is nothing to “sontapo”. The patient called Zambia is not fit and jogging but prostrate in intensive care. The PF lied to the Zambian electorate that everything was fine when it wasnt. These desperate measures will not resuscitate the economy but will just quicken the nose dive. Most of the policy announcements are contradictory and will not stimulate the economy.

    0

    0
  25. Where is the ‘nuclear’ energy plan of Edgar Lungu? Why is the budget so different from the plans in the Presidential speech of Lungu at the opening of parliament? This bunch of impis are a disgrace!

    0

    0
  26. This budget is clearly a recipe for a national disaster. The poor have nothing to lose by taking out these government. It is full of individuals whose sole agenda is to serve themselves at the expense of the disadvantaged majority. Why must the poor pretend that they have a government in Lusaka and Mutati as its finance minister when there are no BENEFITS coming their way to address their basic human needs? What incentives are there for the poor to keep this government in office?

    0

    0
  27. Mutiti chikal.a you cant impose 40% PAYE on innocent people. It seems you guys are just good at talking, you lack innovation on income generating actives to boost the economic growth and development of the country and the only solution is to rob us through high taxes. NGOs, Private sector, churches, catholic bishops where are u are finished or what? Zambians in general rise to defend your selves against this day light robbery!!!!!!!!!!!

    0

    0
  28. will I be wrong to say that I can only see increments in each n every sector. does it mean that our 2017 budget is totally based on inrements?

    0

    0

Comments are closed.