Chad must cut costs or risk ruin: finance minister

2018-01-26 16:38
Map of Chad. (iStock)

Map of Chad. (iStock)

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

N'Djamena - The cash-strapped central African nation of Chad risks bankruptcy unless it implements drastic austerity measures, its finance minister has warned after a backlash against government plans to lower the wages of civil servants.

Civil service salaries in 2017 totalled $720m, roughly the equivalent of the combined revenue from income tax and customs duties, according to official figures given to AFP.

"It's worth knowing that over a period of 10 years, the wage bill (of public servants) has increased by 700%," Finance and Budget Minister Abdoulaye Fadoul Sabre told journalists late on Thursday.

"Today we need to make sacrifices collectively in the hope of redressing state finances and preserve social gains," he said.

"If nothing is done, the public treasury won't even be able to pay wages anymore, regardless of the government or minister in place."

Despite the depleted coffers, Fadoul said civil servant wages would still be paid in January.

However, some employees including teachers could see their bonuses cut by 50% under a new finance law, he warned.

Oil-producing Chad is one of the poorest countries in the world. Nearly half of its population lives below the threshold of poverty.

The country is under pressure to cut costs to meet performance targets under an International Monetary Fund (IMF) aid programme.

Earlier this month, the government was forced to shelve plans to reduce the salaries of state employees after angry opposition from trade unions.

Read more on:    chad  |  west africa

Join the conversation!

24.com encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.
NEXT ON NEWS24X

Inside News24

 
/News
 

And the Paws24 and Hill's winners are ...

Find out who the winners of our Paws24 pet pics and Q&a competitions are...

 

Paws

Keep your family and pets safe from rabies
5 scientific benefits of owning a cat
Why we love cats
8 great natural remedies for your pet
Traffic Alerts
There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.




Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.