Gambia takes fiscal measures, suspends foreign trips

Gambian President Adama Barrow has taken a significant fiscal measure by instituting a suspension of foreign travel for officials, including himself, in a bid to curb public expenditure.

The decision was communicated on Saturday through a statement made by a government spokesperson.

In a demonstrative act of financial prudence, President Barrow executed an executive order to halt all overseas journeys for the duration of the fiscal year. This suspension encompasses not only the president and vice-president but also extends to cabinet ministers, senior government officials, civil servants, and employees throughout various government institutions and agencies. This move is intended to streamline the nation’s financial outflows and ensure a tighter grip on expenditures.

The presidential spokesperson, Ebrima Sankareh, detailed that “certain exemptions will be granted in cases where Gambian presence is deemed indispensable for compulsory meetings, as well as for foreign trips that are fully financed by external sources.”

The context underlying this measure is Gambia’s socio-economic status. As the smallest nation in continental Africa, boasting a population just surpassing two million, The Gambia ranks at 174 out of 191 on the UN’s Human Development Index, which evaluates criteria including health, education, and standard of living.

A noteworthy statistic reveals that over 20% of the population exists on an income of less than two dollars per day, as reported by the World Bank.

Moreover, the country witnessed an annual inflation rate of 11.6% during the preceding year.

The reasons necessitating such stringent measures are multifaceted. The nation’s tax revenues have experienced a decline, coupled with the added financial pressure from substantial state subsidies on essential commodities like fuel, fertilizers, and grain.

These fiscal challenges have translated into an expanded budget deficit, signaling a heightened level of financial stress.

Notably, the current economic strain has also been influenced by external factors, most notably the ripple effects of the conflict in Ukraine. These circumstances have contributed to an escalation in both the budget deficit and overall debt levels. As tax revenues falter and subsidies increase, Gambia faces a complex financial landscape that necessitates prudent financial management.

In light of these challenges, President Barrow’s decision to restrict foreign travel stands as a tangible demonstration of the government’s commitment to address the nation’s fiscal constraints and promote responsible financial stewardship.

Source: AFP