Deficit down by €74.3 million

An increase in recurrent revenue outweighed the expenditure, resulting in a reduction of €74.3 million in the government deficit.

The National Statistics Office (NSO) today reported an increase of €146.4 million in government's recurrent revenue which outweighed the added expenditure of €72.1 million.

This resulted in a reduction of €74.3 million in the government deficit in the first seven months of the year.

In the first seven months, the shortfall between government's recurrent revenue and total expenditure amounted to €259.0 million, down from €333.3 million in the corresponding period last year.

During January-July 2013, recurrent revenue stood at €1,543.8 million, up by 10.5% over last year. The main contributors to this increase were Grants (+€81.1 million), Income Tax (+€74.7 million) and Social Security (+€21.0 million).

Conversely, lower proceeds were mainly recorded from Miscellaneous Receipts (-€39.4 million) and the Central Bank of Malta (-€6.0 million).

Total expenditure was recorded at €1,802.8 million, up by 4.2% when compared to the corresponding period in 2012. This was primarily due to added outlays on recurrent and capital expenditure.

Recurrent expenditure increased by €55.5 million, mainly as a result of higher spending on programmes and initiatives and personal emoluments, by €30.0 million and €21.5 million respectively.

The Programmes and Initiatives category advanced by 3.3%, primarily on account of a rise in social security benefits (€19.2 million) and EU own resources (€7.2 million).

In addition, the feed-in tariff and the social security state contribution, which also feature as revenue, went up by €4.4 million, whereas expenditure on street lighting contracted by €5.8 million.

Moreover, contributions to government entities added €6.4 million, while operational and maintenance expenditure declined by €2.4 million.

Expenditure on Government's capital projects amounted to €198.3 million. The increase of €16.3 million over the corresponding period last year includes an equity injection of €40.0 million to the national air carrier, up from €20.0 million in 2012.

The contribution towards the Treasury Clearance Fund went up by €8.0 million. On the other hand, a decline of €6.0 million in the ICT core services agreement and lower investment incentives by €5.7 million were also recorded.

During the period under review, the interest component of the public debt servicing costs registered a marginal increase of €0.3 million and was recorded at €130.6 million.

At the end of July, Central Government debt stood at €4,984.0 million, up by €167.2 million over the corresponding period last year. This was the result of higher long-term and short-term borrowing, which added €173.2 million and €3.4 million respectively.

On the other hand, foreign borrowing went down by €12.0 million. As a result of consolidation, higher holdings by government funds in MGSs brought about a decline in debt of €2.5 million.

The euro coins issued in the name of the Maltese Treasury went up by €5.0 million when compared to the coin stock as at the end of July 2012, and totalled €53.2 million.

JIsta' Gonzi u issa Simon jghidilna fejn kienu qed imorru qabel dal-miljuni kollha li qed jirnexxilu jsalva l-Gvern LAburista? Prsit Prof Scicluna ghax qed turihom kemm Tonio Arloggi tick tock lanqas dilettant ma kien ghax dilettant kien jahdem hafna ahjar minnu.
X'kapacita to bniedem!! Prosit profs.
Malta tassew bil mod qed issir taghna ilkoll ghax hawn xi hadd li qed jiehu hsieb il-flus tal poplu Malti u mhux jisraq bhall Gonzi PN WAQT LI FL`ISTESS HIN BEPPE JIDDEFENDI LILL MIN HA DAWK IL-MILJUNI FIX XIRI TAZ-ZEJT.....bhall xifajk...PROSIT TASSEW PROFS
Issa ghandna veru finanzi fis sod.
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