Bahrain plans to cut public debt
Manama, August 25, 2014
Bahrain has planned to slash public debt and boost state revenues to bolster development. The government's financial policies took centre stage as the Cabinet convened for its weekly meeting yesterday (August 24).
Chairing the session, His Royal Highness Prime Minister Prince Khalifa bin Salman Al Khalifa stressed the need to maintain public deficit at acceptable levels and generate more revenues, said a report in the Gulf Daily News (GDN), our sister publication.
The Premier directed officials to reduce public debts and restructure the governmental sector and slash public spending.
A committee in charge of rationalising expenditure, boosting state revenues and productivity was directed to draw up viable plans and timetables.
The Premier also called for new initiatives to create jobs.
He underscored the importance of optimising benefits from the GCC development programme to revitalise the national economy.
In June the IMF urged Bahrain to tackle public debt and subsidies, with government debt climbing to 44 per cent of gross domestic product last year.
Subsidies are one of the main drains on government finances, accounting for BD1.535 billion of allocated spending last year along with other public sector support schemes.
Ministers also discussed plans to step up co-operation with international watchdogs to build national competences and promote human rights.
Technical co-operation with the UN Human Rights Commission, in particular, will be enhanced. - TradeArabia News Service