Ammon News - AMMONNEWS - Ministry of Finance, Mohammad Al-Asas said the government will pay all late payments due on the government for the private sector, including tax returns.

Speaking at the meeting of the Parliamentary Financial Committee of the Lower House on Tuesday, Al-Asas said the drafting of the 2020 state and government units' general budget had to be based on realistic and actual figures, adding: "For the first time in years, we've increased capital projects' spending by 30 percent."

He pointed out that the government has included costs of the recently announced incentive packages across all stages in the 2020 budget.

Al-Asas noted that "the most problematic issue we face is the high payroll proportion of the budget, which stands at 66 percent of current expenditures." But, given citizens difficult living conditions in light the ongoing increase of prices during the past years, salaries had to be raised for the public sector employees, civilian and military retirees, the minister added.

He stressed that the wage increase came at the expense of current spending, which constituted an increase of only 2 percent of total spending.

The minister explained that the $300 million UAE grant, which came thanks to His Majesty King Abdullah's efforts, was not included in the 2020 budget, but will reduce the budget deficit.

Head of the Financial Committee of the Lower House, Khaled Al-Bakkar, stressed the necessity of controlling spending, and avoiding unnecessary spending in light of the difficult economic challenges the Kingdom is facing.