Deficit increases to €66.8 million in second quarter
The general government deficit for the second quarter of this year amounted to €66.8 million, compared to a deficit of €38.7 million for the second quarter of 2007, the National Statistics Office said yesterday. During the June quarter this year total...
The general government deficit for the second quarter of this year amounted to €66.8 million, compared to a deficit of €38.7 million for the second quarter of 2007, the National Statistics Office said yesterday.
During the June quarter this year total revenue amounted to €542.7 million, a increase of €24.1 million compared to the second quarter of last year. The main increase was recorded under 'social contributions receivable' which added €10.6 million. Underpinned by higher VAT revenues, taxes on production and imports added €9.6 million, while current taxes on income and wealth increased by €9.9 million.
Total expenditure during the second quarter amounted to €609.5 million, registering an increase of €52.3 million compared to the same quarter last year. This increase was brought about by increases in intermediate consumption (+€17.6 million), in compensation of employees (essentially wages and salaries which added €14.1 million), and social benefits (+€16.6 million).
Higher interest payments pushed up the property income payable during the second quarter to €47.1 million, an increase of €14.1 million over the same quarter last year. Meanwhile, reflecting a lower capital outlay by the government, capital formation declined by €13.2 million to €31.9 million.
When compared to June 2007, the total general government debt outstanding at the end of June this year increased by €116.6 million, and amounted to €3,528 million. This increase was underpinned by higher long-term securities (Malta Government Stocks) which added €148.5 million, while short-term securities (Treasury Bills) declined by €37.3 million.
Moreover, as from last January, the euro coins issued in the name of the Treasury are being considered as a currency liability pertaining to the Central Government. At the end of June, this liability amounted to €26.7 million.
Meanwhile, another NSO statement issued yesterday said that the government deficit for 2007 amounted to €96.4 million, equivalent to 1.8 per cent of GDP, down from a deficit of €116.6 million for 2006 which was equivalent to 2.3 per cent of GDP.
The NSO said it had changed the method of recording taxes and social contributions in Malta in order to comply with an EU directive. This revision had the following effect on the annual deficit:
2004: -€6.3 million;
2005: +€3.8 million;
2006: +€10.7 million;
2007: + €14.6 million.
During the June quarter this year total revenue amounted to €542.7 million, a increase of €24.1 million compared to the second quarter of last year. The main increase was recorded under 'social contributions receivable' which added €10.6 million. Underpinned by higher VAT revenues, taxes on production and imports added €9.6 million, while current taxes on income and wealth increased by €9.9 million.
Total expenditure during the second quarter amounted to €609.5 million, registering an increase of €52.3 million compared to the same quarter last year. This increase was brought about by increases in intermediate consumption (+€17.6 million), in compensation of employees (essentially wages and salaries which added €14.1 million), and social benefits (+€16.6 million).
Higher interest payments pushed up the property income payable during the second quarter to €47.1 million, an increase of €14.1 million over the same quarter last year. Meanwhile, reflecting a lower capital outlay by the government, capital formation declined by €13.2 million to €31.9 million.
When compared to June 2007, the total general government debt outstanding at the end of June this year increased by €116.6 million, and amounted to €3,528 million. This increase was underpinned by higher long-term securities (Malta Government Stocks) which added €148.5 million, while short-term securities (Treasury Bills) declined by €37.3 million.
Moreover, as from last January, the euro coins issued in the name of the Treasury are being considered as a currency liability pertaining to the Central Government. At the end of June, this liability amounted to €26.7 million.
Meanwhile, another NSO statement issued yesterday said that the government deficit for 2007 amounted to €96.4 million, equivalent to 1.8 per cent of GDP, down from a deficit of €116.6 million for 2006 which was equivalent to 2.3 per cent of GDP.
The NSO said it had changed the method of recording taxes and social contributions in Malta in order to comply with an EU directive. This revision had the following effect on the annual deficit:
2004: -€6.3 million;
2005: +€3.8 million;
2006: +€10.7 million;
2007: + €14.6 million.