Date: September 3, 2018
For the period of April 2018 to July 2018, the GOJ reported Total Revenues & Grants of $185.51 billion, $2.65 billion more than the Government’s projection. Furthermore, year over year, this represents an increase of approximately 11.6% relative to the $166.21 billion recorded for the corresponding period in 2017. ‘Tax Revenue’ and ‘Capital Revenue’ outperformed projections while ‘Non-Tax Revenues’ and ‘Grants’ underperformed projections during the review period. ‘Tax Revenue’ amounted to $168.41 billion, $5.75 billion more than budgeted, while ‘Capital Revenue’ of $562.7 million was reported; $293.7 million more than budgeted. ‘Grants’ underperformed budget by $3.02 billion, amounting to $1.60 billion during the review period, while ‘Non-Tax Revenue’ totalled $14.94 billion, $375.0 million or 2.4% less than budgeted. Notably, no provisional amount was booked for ‘Bauxite Levy’ for the review period.
Expenditures
Total Expenditure for the period April 2018 to July 2018 amounted to $188.54 billion, $7.43 billion or 3.8% less than the budgeted $195.96 billion. Recurrent expenditure which totalled $171.15 billion, accounted for 90.78% of overall expenditures. Relative to projections, recurrent expenditure was $8.23 billion (4.6%) less than budgeted. Of the recurrent expenditure categories over the review period, all categories came in below budget. ‘Programmes’ which amounted to $62.61 billion was $2.34 billion or 3.6% less than projected, while ‘Employee Contribution’ which amounted to $6.00 billion for the period was under budget by 9.2% relative to the budgeted $6.61 billion. ‘Compensation of Employees’ which amounted to $67.28 billion was $846.4 million or 1.2% less than projected, while ‘Wages & Salaries’ amounted to $61.27 billion and was $235.9 million or 0.4% less than projected.
As a result of the decrease in Expenditures for the period April 2018- July 2018, the ‘Fiscal Deficit’ was $3.02 billion, relative to a projected deficit of $13.10 billion. Additionally, the primary balance for the period amounted to $38.24 billion, 15.2% more than budgeted.
As part of the Memorandum of Economic and Financial Policies (MEFP), the GOJ estimates that the primary balance, as a performance criterion, should amount to $141.1 billion by the end of the 2018/2019 fiscal year. For the September quarter, a primary balance of $44.0 billion is estimated. As at the end of July 2018, this amounted to $38.34 billion. Tax Revenue is expected to total an estimated $234.0 billion by the end of the September quarter. The reported tax revenue for the end of July 2018 was $168.41 billion.
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