While revenue, as a percentage to GDP, has declined when compared to the previous years, government spending has been increasing on the other hand. This is indicative of the fact that part of the amount spent by government during this period has been borrowed. This is indicated by the budget deficit which started increasing from the 2010/11 financial year until the 2012/13 financial year. The increase in the budget deficit may actually cause the government to borrow more in order to finance the deficit. This move is likely to affect the future generation to come negatively. The projected tax revenue has increased between 2010/11 until 2012/13. However, revenue, as a percentage of the GDP, has declined quite drastically over the same period. In the 2011/12 financial year, the budget deficit, as a percentage of the GDP, is projected to be 5.5 per cent -increasing from 4.6 per cent in the 2010/11 financial year. The increase in the budget deficit is as a result of borrowings because revenue is less than spending. Furthermore, state debt costs are the fastest growing expenditure component in government spending, followed by spending on infrastructure. The proposed increase in government expenditure on education, social protection, local government and, housing and health services does not include rural development as part of government's policy priorities.