March 24, 2006
1. The Namibian authorities appreciate the candid exchange of views during the 2005 Article IV Consultation discussions and the FSAP mission, and have taken note of staff’s comments and recommendations. They also find the topics for the selected papers to be well chosen, as they supplement ongoing work by the authorities in these areas. There is a broad measure of agreement between staff and the authorities on most aspects of economic policy.
To further enhance transparency of the budget, the authorities in 2004/05 adopted a programme budget, which shows how public resources are allocated to priorities and how much expenditure impact on outcomes.
The authorities budget deficit figures are slightly different from those reported in the staff report. This is because the authorities do not include financing of selected infrastructure projects through foreign loans in their definition of the budget deficit. For transparency purposes the authorities have started to publish a full list of projects benefiting from foreign financing together with disbursement amounts in the latest MTEF.