Government debt hits Lm1.6 billion

The shortfall between recurrent revenue and total expenditure for the first nine months of the year compared to the same period last year rose by Lm400,000 and amounted to Lm73.3 million, the National Statistics Office said yesterday.

The increase in total expenditure was Lm16.2 million while that in respect of recurrent revenue was Lm15.8 million.

When compared to the same period in 2006, revenue from income tax rose by Lm21.2 million, to Lm176.5 million. Revenue from social security contributions and from VAT increased by Lm3.9 million and by Lm4.3 million respectively.

Recurrent expenditure in the first three quarters amounted to Lm582.7 million, an increase of Lm22.6 million over the same period last year. This increase was mainly brought about by a rise of Lm9.5 million in social security benefits.

Capital expenditure for the January/September period this year, at slightly over Lm73 million, reflects a decline of Lm6.5 million when compared to the first three quarters of 2006.

Compared to September 2006, central government debt at the end of this September increased by Lm17.3 million, amounting to Lm1,394.1 million.

For the 12-month period ending last month, Treasury bills and Government Stock increased by Lm4.5 million and by Lm23.6 million respectively, while foreign borrowing declined by Lm10.2 million