The Gambia plans to spend D66.78 billion in 2027 up from D59.36 billion this year. But a lot of the money will go on servicing existing debts. Some D16.17bn is earmarked for debt repayments.
Figures in the proposed budget show that the government expects domestic revenue to reach D37.39 billion, an increase of 16.1 per cent. Tax revenue is also projected to grow, rising by 16.5 per cent to D31.47 billion.
The government expects to collect D56.94 billion in total revenue and grants. With expenditure and net lending put at D59.24 billion, the budget is projected to run a deficit of D2.30 billion, equivalent to 0.99 per cent of gross domestic product (GDP).
To help finance its spending, the government plans to borrow D7.63 billion from domestic sources. Foreign borrowing is expected to reach D2.21 billion, an increase of about 52 per cent.
Debt repayments remain one of the biggest demands on public funds. The D16.17 billion allocation represents roughly one-third of the D48.6 billion the government expects to finance directly.
D4.10 billion set aside for health sector.
The budget also has a heavy weight on recurrent spending pegged at D43.32 billion. The government funded development expenditure is D5.28 billion but this goes up to D23.47 billion when donor funded projects are included.
Overall, the proposed budget reflects the challenge of meeting the cost of public services and development projects and keeping pace with the country’s debt obligations. The collection of the planned revenue and the spending of the money will be key as the government works to meet its 2027 targets.
Important Figures in the 2027 Budget
- Total proposed budget: D66.78 billion
- Domestic revenue: D37.39 billion
- Tax revenue: D31.47 billion
- Debt servicing: D16.17 billion
- Education: D6.06 billion
- Health: D4.10 billion
- Projected budget deficit: D2.30 billion
- Projected GDP: D233.07 billion
- Domestic borrowing: D7.63 billion
- Foreign borrowing: D2.21 billion
