Gambian finance minister says country will lose 1 billion Dalasis if CONVID-19 is not contained
Banjul, Gambia (PANA) - The Gambian minister for Finance and Economic Affairs, Mambury Njie, told the national assembly members that preliminary assessment of the COVID-19 on the economy indicates that The Gambia may lost 1 billion Dalasis if the coronavirus is not contained.
He told lawmaker here on Monday that the estimated impact of the virus on the economy is also estimated to result in a budget financing gap of about 2.5 billion Dalasis.
“In terms of revenue performance, it is estimated that close to 1 billion dalasis will be lost in revenue for the year (equivalent to one month of Gambia Revenue Authority revenue collection in 2020),” he said.
Presenting the Coronavirus economic impact assessment analysis, Njie said the report suggests that economic growth in 2020, will be 3 percentage points lower than the initial estimates of 6.3 percent at the beginning of the year.
“The decline in economic growth is estimated to be emanated from trade, remittances, construction, hotels and restaurants.
“The budget deficit is expected to widen from 1.5 to 2.1 GDP with the impact of COVID-19″,” he stated.
According to him, due to closure of factories in China, Europe and Middle East, domestic supply for basic commodities would also experience short term adverse shocks, thus posing the risks of price hikes.
However, he suggested that expenditure control and planning will provide a suitable mechanism to lessen the impact.
The Gambia still remains a country without Coronavirus that claimed the lives of several people around the world and continues its widespread presence in African countries including neighboring Senegal.
-0- PANA MSS/VAO 16March2020
