KUDZANAI GEREDE
THE Finance ministry is tightening its focus on efficient resource allocation in 2027, seeking to channel limited public funds into priority programmes and improve the implementation of government projects.
This comes amid growing pressure to contain public expenditure, strengthen accountability and ensure that available resources deliver measurable economic and social returns.
“The challenge facing the Treasury was not necessarily a lack of resources but how best to prioritise and allocate available resources,” Permanent Secretary for Finance George Guvamatanga said.
He also said the Ministry would place greater emphasis on Programme-Based Budgeting, with departmental funding requests having to be assessed against available resources and national priorities.
“Every allocation must therefore be directed towards the right priorities, avoiding duplication and ensuring value for money,” Guvamatanga said.
This comes as Finance Minister Mthuli Ncube is expected to present the 2027 national budget later this month against a background of competing demands on the fiscus. The Treasury challenged Ministry departments to move away from treating strategic planning as an annual administrative exercise, insisting that plans should be supported by measurable targets, clear responsibilities and realistic implementation timelines.
He called for an honest assessment of institutional performance, identification of implementation gaps and stronger alignment between strategic, tactical and operational plans.
The Ministry recorded some progress during the review period, with domestic revenue mobilisation reaching 17,5 percent of gross domestic product against a target of 15,9 percent, while financing mobilisation also exceeded its target.
Progress was also recorded in public accountability, risk management, electronic procurement, financial inclusion and financial sector stability. However, the Treasury flagged persistent weaknesses, including expenditure deficits and costs exceeding targets, shortfalls in development assistance mobilisation and inadequate monitoring of grant-funded programmes.
Audit compliance also remained a concern, with only 16 of the 37 targeted ministries, departments and agencies having submitted audit findings registers.
Staffing constraints and incomplete performance data were also undermining implementation and accountability.
On revenue mobilisation, Guvamatanga called for a broader approach that looks beyond enforcement pressure on informal businesses, arguing that more could be done to strengthen collections from productive sectors such as mining, agriculture and manufacturing.
He urged the Treasury to leverage technology, strengthen revenue collection systems and improve enforcement capabilities.
He also questioned the effectiveness of Centralised Procurement Units several years after their establishment, calling for internal assessments and practical corrective measures.
The revised strategic plans will also have to accommodate the separation of Economic Development and Investment Promotion from the Finance Ministry while maintaining continuity in the implementation of government policies and programmes.