Cut expenditure to control borrowing, think tank advises the State

IEA has said tax revenues are no longer sufficient to meet recurrent spending and the Government [File, Standard]

The Government must cut the public wage bill, the number of parastatals and new projects if it is to manage the huge financing gap that has led to massive borrowing, an economic think tank has said.

The Institute of Economic Affairs (IEA) has said tax revenues are no longer sufficient to meet recurrent spending and the Government should explore the option of retiring its huge workforce.