Examining factors that lead to the increasing deficit in the Government of Swaziland

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Date
2017
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Volume Title
Publisher
University of Namibia
Abstract
This study investigated the factors that lead to fiscal deficits in the Swaziland Government. The study's purpose was to gain insight into the causes of the fiscal deficits in the Swaziland Government. The main objective of this study is to examine the factors that lead or influence the increasing budget deficit in the Government of Swaziland. Specific objectives were: to ascertain the laws, regulations, government practices and methods that relate to the collection of revenue and government spending, to establish the revenue generation mechanisms that are in place in govenunent and find out how these can be improved and to determine the key challenges the government faces in expenditure controls. The study used the mixed method research design which employed both qualitative and quantitative research methods with no sample but employed the Distributed Log (DL) approach using time series secondary data from 1968-2017. Data from the findings revealed that government practices and overspending are the main culprits of budget deficit in the form of overspending, decrease in revenue, a slow growing economy, outdated subvention policy, poor revenue collection methods, corruption, withdrawal of Withholding tax and also the fluctuation of SACU receipts. The study recommends that Swaziland must reduce, its reliance on SACU revenues by enhancing her revenue generating capacity in order to finance her expenditure adequately and help increase the multiplier that further generates output for economic growth. A quantitative research study is recommended to measure the real extent of budget defic it prevalence
Description
A thesis submitted in partial fulfilment of the requirements for the Degree of Master of Business Administration Management Strategy
Keywords
Fiscal, Deficit, Government of Swaziland, Economic growth Swaziland, University of Namibia, Namibia
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