Walvis faces budget deficit

THE more than N$1,6 million deficit that the Municipality of Walvis Bay has budgeted for the 2010/ 2011 financial year will be financed out of surpluses from previous years.

So said the chairperson of the harbour town’s management committee, Jeffrey Noabeb, when he tabled the budget last week.
He announced that the total estimated revenue was expected to amount to N$214 330 716, while the expenses are estimated at N$215 931 882 – resulting in the projected loss.
Apart from this expected deficit, residents will have to bear the brunt of tariff increases amounting to between 5,2 per cent and 10 per cent for services such as water supply, refuse removal and sewerage.
In his budget presentation speech, Naobeb said: ‘The current fiscal year has been characterised by numerous challenges not only in our local communities but also in other communities around the globe.’
The chairperson attributed the anticipated deficit to ‘the rates and taxes charges review and the rather moderate tariff adjustments made in order to lessen financial burdens on consumers.’
The mayor, Uilika Nambahu, said: ‘It seems that together with the rest of the world, we will remain confronted by economic challenges for a while to come. However, since we have dealt with hardship rather well before, nothing should prevent us from continuing to build a prosperous urban environment for all our current and future residents.’
Municipal spokesman Nolito Marques yesterday denied that this was only a ‘partial budget’, as had been reported.
‘This is the full budget that, once approved by Government, will be gazetted,’ he said.
The council recently earned N$12, 4 million from the auction of 90 erven at the town.