Regardless of the path the government chooses to tread, there is an important factor on which the success or failure of its endeavor, namely fiscal discipline. Fiscal discipline is generally defined as the exercise of control over total government expenditure, including central and local government budgets, state-owned enterprises and extra-budgetary funds. Lack of fiscal discipline is largely attributable to the imprudent use of policy discretion. This reinforces the notion that one of the hallmarks of a responsible government is to institute a system promoting fiscal discipline and implement same strictly. Fiscal discipline is not something the Ethiopian government can dispense with as it sees fit; it’s a principle it must be guided by at all times.

Source: Ethiopian News December 24, 2022 15:45 UTC