The Government reports a deficit of €467.8 million until the end of September – NSO
By the end of September 2022, the Consolidated Fund of the Government reported a deficit of €467.8 million, the NSO said on Friday.
In the first nine months of 2022, Recurring Income amounted to €4,072.6 million, 11.7 percent higher than the €3,646.9 million reported a year earlier. The biggest increase was recorded under Value Added Tax (€184.2 million), followed by Income Tax (€144.9 million), Social Security (€95.9 million), Grants (€15.2 million), Licenses, Taxes and Fines (€12.5 million), Refunds (€10.2 million) and Rents (€4.0 million).
The increase in income was partially offset by decreases under Investment Dividends (€14.8 million), Miscellaneous Receipts (€9.9 million), Office Fees (€9.1 million), Customs Duties and Excise (€4.6 million) and Bank Central of Malta. (€2.8 million).
By the end of September 2022, the total expenditure was €4,540.5 million, €2.8 million higher than the previous year. During the reference period, Recurrent Expenditure amounted to €4,014.0 million, an increase of €45.1 million compared to the €3,968.9 million reported in the first nine months of 2021. The main contributor to this increase was an increase of €28.8 million reported under Contributions to Government Entities. In addition, increases were also seen under Personal Emoluments (€19.8 million) and Programs and Initiatives (€12.3 million). This increase in expenditure exceeded the decrease under Operating and Maintenance Costs (€15.8 million).
The main developments in the Programs and Initiatives category involved increased expenditure towards Energy support measures (€109.8 million), Economic stimulus payments (€47.7 million), Social security benefits (€40.0 million), Residential care in private homes (€11.2 million), Gas stabilization fund (€10.0 million), Electricity distribution network (€10.0 million), Tax relief measures (€7.9 million ) and Activities of the Electoral Commission (€6.0 million).
This increase in Programs and Initiatives has been partially offset by reductions under the Pandemic assistance schemes (€170.9 million) and the EU’s own resources (€59.3 million). The interest component of public debt service costs amounted to €126.2 million, a decrease of €10.9 million compared to the previous year.
By the end of September 2022, the Government’s capital expenditure amounted to €400.2 million, €31.4 million less than in 2021. This reduction resulted from less expenditure for the construction and improvement of Roads (€15.0 million), Property, plants and equipment (€8.5 million), Gozo Aquatic Center (€8.0 million), Acquisitions of property for public purposes ( €5.6 million), Maritime Facilities (€4.1 million), Investments in physical assets (€3.9 million) and Corporation for the Regeneration of the Great Port (€3.2 million).
This reduction in Capital Expenditure was partially offset by increases under the incentives of the Film industry (€10.4 million) and the Qali National Park (€6.8 million). The difference between income and total expenditure resulted in a deficit of €467.8 million which was reported in the Consolidated Fund of the Government at the end of September 2022. Compared to the same period in 2021, it was there is a reduction in the deficit of €422.9 million.
This difference reflects an increase in total Recurring Income (€425.7 million), partially offset by an increase in total expenditure, consisting of Recurrent Expenditure (€45.1 million), Interest (-€10.9 million) and Capital Expenditure (-€ 31.4 million). ). At the end of September 2022, the debt of the Central Government was €8,516.6 million, an increase of €657.5 million from 2021. The increase reported under Malta Government Stocks (€435.9 million) was the main contributor to the increase in debt.
Higher debt was also reported under Treasury Bills (€266.0 million), Euro coins issued on behalf of the Treasury (€5.1 million) and 62+ Malta Government Savings Bonds (€0.3 million). This increase in debt was partially offset by a reduction in Foreign Loans (€0.1 million). Finally, higher holdings by government funds in Malta Government Stocks resulted in a reduction in debt of €49.6 million.