Deficit reaches €50 million

The deficit in the first quarter this year reached €49.8 million, down from €106 million in the same period last year.

In the March quarter, total revenue amounted to €547.8 million, an increase of €5.4 million compared to the same quarter last year.

Revenue classified as ‘current taxes on income, wealth, etc’ and ‘capital transfers receivable’ increased by €31.3 million and €7.3 million respectively.

On the other hand, declines were reported under ‘taxes on production and imports’ (- €16.4 million) and ‘market output’ (- €13.7 million).

Concurrently, total expenditure during the first quarter amounted to €597.6 million, a comparative decrease of €50.9 million.

This was brought about by decreases in ‘gross capital formation’ (- €38.4 million), ‘subsidies payable’ (- €23 million), ‘intermediate consumption’ (- €12.6 million) and ‘capital transfers payable’ (- €8.6 million).

In contrast, expenditure on ‘compensation of employees’ and ‘social benefits’ increased by €21 million and €9.3 million respectively.

A decline of €162.7 million was recorded for ‘currency and deposits’ in assets between the first quarter this year and the last quarter of 2008.

Conversely, ‘currency and deposits’ in liabilities registered an increase of €1.5 million. In liabilities, ‘short-term securities’ increased by €177.5 million, whereas declines were recorded in ‘long-term securities’ by €73.2 million. 'Short-term loans’ in liabilities decreased by €45.9 million.

On the other hand, there was an increase of €1.6 million transactions in assets as ‘shares and other equity’. ‘Other accounts receivable’ increased by €162 million, whilst ‘other accounts payable’ decreased by €23.4 million.

When compared to March last year, total general government debt outstanding at the end of March increased by €325.7 million, and amounted to €3,706.8 million.

This was underpinned by an expansion of €202 million in the short-term securities category (treasury bills) and an increase in long-term securities (Malta government stocks) of €146.7 million. On the other hand, loans decreased by €32.4 million. The euro coins issued in the name of the treasury, which are considered as a currency liability pertaining to the government, amounted to €32.7 million, an increase of €9.4 million over the euro coin stock as at end of March last year.