MaltaMedia.com

The National Statistics Office has reported that in the first three quarters this year, the shortfall between recurrent revenue and total expenditure of Central Government amounted to €299.7 million, a decrease of €34.1 million compared to last year.

The increase in recurrent revenue amounted to €133.2 million, whereas total expenditure went up by €99.1 million.

During the period under review, recurrent revenue was recorded at €1,686.8 million. The comparative increase of 8.6 per cent was mainly the result of higher returns from Customs and Excise Duties (+€42.2 million), Grants (+€23.9 million) and Income Tax (+€22.2 million). Conversely, declines were observed in Licenses, Taxes and Fines and Fees of Office by €11.2 million and €7.9 million respectively.

Between January and September, total expenditure reached €1,986.6 million, up by 5.2 per cent, as a result of more outlays on recurrent and capital expenditure.

Social Security Benefits, the main contributor for the increase in recurrent expenditure, went up by €31.7 million. The reclassification of the Malta Tourism Authority shifted €21.1 million from capital to recurrent expenditure, and the budgetary compensation in respect to Energy Support Measures added €13.5 million to recurrent expenditure. Other increases were registered in Personal Emoluments (+€21.6 million), in the allocation with respect to local councils (+€8.7 million) and in EU Own Resources (+€5.2 million).

On the other hand, the spend on the medicines and surgical materials declined by €14.6 million, while last year’s outlay of €17.6 million on the shipyards’ voluntary retirement schemes was not repeated this year.

Capital expenditure rose by €40.6 million. This was mainly due to increases relating to the Malta South Sewage Treatment Infrastructure of €18.5 million and an amount of €10.0 million in connection with the introduction of the Jeremie Financial Engineering Fund. Furthermore, this year an additional €24.8 million were transferred to the Treasury Clearance Fund. These were in part outweighed by the reclassification of the Malta Tourism Authority.

This year, a fall of €16.7 million has been recorded in the interest portion of the public debt servicing costs.

Central Government debt stood at €4,192.1 million, up by €314.8 million, or 8.1 per cent, over the corresponding period last year. A notable increase in government debt was recorded in long-term borrowing, which added €423.4 million. On the other hand, short-term securities and foreign borrowing declined by €99.4 million
and €12.9 million respectively.

The euro coins issued in the name of the Maltese Treasury rose by €3.7 million when compared to the euro coin stock as at the end of September 2009, and totalled €40.6 million.