MaltaMedia.com

The shortfall between recurrent revenue and total expenditure of Central Government for the first two months this year has increased, according to new data published Friday by the National Statistics Office.

According to data obtained from the Consolidated Fund of Government, the shortfall between recurrent revenue and total expenditure increased by €56.5 million when compared to February 2008 and amounted to €199.5 million. Recurrent revenue decreased by €35.7 million, while total expenditure increased by €20.9 million.

During January and February, the Consolidated Fund recorded decreases in Dividends on Investment (-€9.0 million), Customs and Excise Duties (-€7.1 million), Fees of Office (-€5.8 million), Income Tax (-€4.3 million), Grants (-€3.2 million) and Miscellaneous Receipts (-€2.3 million). At the same time, revenue from Social Security Contributions increased by €1.3 million.

Recurrent expenditure during the first two months of the year amounted to €382.7 million, an increase of €30.7 million compared to the same period last year. The increase was mainly brought about by increases on social security benefits (+€12.9 million), the shipyard’s early retirement schemes (€17.9 million) and expenditure on medicines and surgical materials (+€11.3 million).

The interest component of the public debt servicing costs for January and February 2008 increased by €5.4 million and amounted to €37.2 million. Government’s outlay on its Capital Programme for the first two months of this year amounts to €38.2 million, a decrease of €15.2 million when compared to the expenditure of €53.4 million for the same period last year. Capital expenditure of €9.3 million on the Mater Dei Hospital in 2008 was not repeated this year.

The Central Government debt outstanding at the end of February amounted to €3,635.4 million, an increase of €350.0 million compared to February last year. Long-term and short-term borrowing increased by €201.1 million and €146.5 million respectively, while foreign borrowing declined by €7.0 million.

The euro coins issued in the name of the Maltese Treasury, which are considered as a currency liability pertaining to the Central Government, amounted to €32.4 million, an increase of €10.0 million over the same period last year