Prime Minister's Budget Framework Letter

The framework letter for the FY2012-2013 budget, addressed to all ministers.

A growth objective of 7.8% had been set for FY2011-2012, to be carried by a large public investment programme. Four months from the end of the year, preliminary analysis indicates the expected level will not be reached, and the letter names two reasons.

The finance law for 2011-2012 was tabled and adopted late, which prevented the timely mobilisation of the resources it provided for. Adopted less than a month before the letter was written, it left sectors running for the first seven months of the fiscal year on carried-over appropriations that too often could not answer a new policy directed at improving services to the population and reducing poverty.

Public investment, which was to have stimulated growth, shows a low execution level in the first half of the year, about 33.6% across all sources of financing. The letter also records failures to respect the procedures and formalities attached to entering and executing projects in the Public Investment Programme in several sectors. Revenue from the collecting agencies is of the order of 28.8 billion gourdes. For the last four months of the fiscal year the Prime Minister asks every member of the government to redouble effort so that productive investment spending improves appreciably and growth comes closer to the objective set.