Gambia Could Lose D1 Billion in Revenue due to Coronavirus – Finance Minister
The Finance Minister of The Gambia, Mambury Njie, has told lawmakers on Monday that the country could lose in revenue a whopping estimated 1 billion dalasi due to the coronavirus pandemic.
He added that the estimated impact of the virus on the economy is also estimated to result in a budget financing gap of about D 2.5 billion.
“In terms of revenue performance, it is estimated that close to 1 billion dalasi will be lost in revenue for the year (equivalent to one month of GRA revenue collection in 2020)”.
Also presenting the coronavirus economic impact assessment analysis, Njie said the report suggests that economic growth in 2020, will be 3 percent 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.
Meanwhile, The Gambia still remains a country with no confirmed cases of the virus, which has claimed the lives of thousands around the world and continues its widespread presence in African countries including neighboring Senegal.