Government Operations Results for July 2017

Government Operations Results for July 2017

For the period of April 2017 to July 2017, the GOJ reported Total Revenues & Grants of $166.21 billion, $5.9 billion more than the government’s projection. Furthermore, year over year, this represents an increase of approximately 8.1% relative to the $153.8 billion recorded for the corresponding period in 2016. ‘Tax Revenue,’ ‘Non-Tax Revenue’ and ‘Grants’ outperformed projections while ‘Bauxite Levy’ and ‘Capital Revenue’ underperformed projections during the review period. ‘Tax Revenues’ amounted to $153.63 billion, $5.45 billion more than budgeted, ‘Non-Tax Revenue’ of $10.36 billion was reported; $54.4 million more than budgeted. ‘Grants’ totalled $1.84 billion, $448.8 million or 32.3% more than budgeted.  In addition, “Bauxite Levy” was lower than expected, amounting to $127.5 million, relative to the budgeted figure of $131 million, while ‘Capital Revenues’ underperformed projections by $48.7 million to total $258.3 million.

Expenditures

Total Expenditure for the period April to July 2017 amounted to $172.19 billion, $6.87 billion or 3.8% less than the budgeted $179.06 billion. Recurrent expenditure which totalled $162.89 billion, accounted for 95% of overall expenditures. Relative to projections, recurrent expenditure was $6.04 billion (3.6%) less than budgeted. Of the recurrent expenditure categories over the review period, ‘Compensation of Employees’ came in slightly above budget, totalling $64.05 billion relative to a budget of $62.56 billion. ‘Employee Contribution’ which amounted to $4.69 billion, was $137.2 million less than projected, while ‘Wages and Salaries’ was above the projection by $1.62 billion to total $59.35 billion. ‘Interest’ closed the period under budget by 6.7%, while ‘Programmes’ was under budget by 7.4%. ‘Capital Expenditure’ amounted to $9.3 billion for the period and was under budget by 8.2% relative to the budgeted $10.13 billion.

As a result of the decrease in expenditures for the period April to July 2017, the ‘Fiscal Deficit’ was $5.98 billion, relative to a projected deficit of $18.75 billion. Additionally, the primary balance for the period amounted to $38.57 billion, 32.9% 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 $131.9 billion by the end of the 2017/2018 fiscal year.  For the September quarter, a primary balance of $38.1 billion is estimated. As at July 2017, this amounted to $38.57 billion.  Tax Revenue is expected to total an estimated $218.0 billion by the end of the September quarter, as at July 2017, tax revenue was booked at $153.63 billion.

 

 

 

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2017-09-19T17:56:57+00:00