NSO release Government finance data for first ten months of 2014

In the period January-October 2014, the deficit of the government’s Consolidated Fund amounted to €282.6 million, according to data released by the NSO.

Government finance data for the period January-October 2014 released by the NSO reveals that recurrent revenue registered an increase of €183.8 million, offsetting the higher expenditure of €180.7 million when compared to the corresponding period last year.

In the first ten months of 2014, recurrent revenue was recorded at €2,499.9 million, up by 7.9 per cent over last year. The main contributors to this increase were Income Tax (€65.6 million), Social Security Contributions (€46.5 million), Grants (€39.5 million) and Value Added Tax (€36.5 million). Conversely, Customs and Excise Duties registered a decline of €28.4 million (Table 1).

Recurrent expenditure increased by €162.2 million, mainly as a result of higher spending on Programmes and Initiatives (€82.7 million). The major increases registered in this category were recorded in the public service obligations (€19.8million), social security benefits (€17.0 million), social security state contribution (€13.1 million), EU Own Resources (€5.1 million), medicines and surgical materials (€4.1 million) and the ex-gratia grant scheme for motor vehicles (€3.2 million), among others.

 In addition, personal emoluments and contributions to government entities increased by €40.9 million and €32.9 million respectively. Operational and maintenance expenditure went up by €5.7 million.

The interest component of the public debt servicing costs for the period under review amounted to €192.1 million, an increase of €3.0 million over last year.

Expenditure on Government’s capital projects amounted to €319.1 million. The increase of €15.4 million was mainly brought on by additional outlays on EU funded capital projects, mainly road works and the procurement of a helicopter. Conversely, a lower equity injection to the national air carrier was registered.

At the end of October, Central Government debt stood at €5,375.8 million, up by €377.5 million over the corresponding period last year. This was the result of higher long-term borrowing, which added €566.6 million. On the other hand, short-term and foreign borrowing went down by €183.0 million and €10.6 million respectively. As a result of consolidation, higher holdings by government funds in MGSs brought about a fall in debt of €0.9 million.

The euro coins issued in the name of the Maltese Treasury went up by €5.4 million when compared to the coin stock as at the end of October 2013, and amounted to €60.0 million