The general government financial deficit for the whole of last year reached €297 million, an increase of €63.9m, the NSO said today. That is €39 million more than projected in the Budget speech in November.
The NSO said recurrent revenue increased by €68.6 million but total expenditure rose by €132.5 million, resulting in a deficit between recurrent revenue and total expenditure of €297.0 million.
The NSO said that increase in revenue was the result of higher earnings from Grants (+€42.7 million), Licenses, Taxes and Fines (+€17.0 million), Social Security Contributions (+€16.0 million) and transfers from the Central Bank of Malta in respect of previous year's profits (+€12.9 million).
On the other hand, lower returns were recorded from Customs and Excise Duties (-€3.4 million), Miscellaneous Receipts (-€9.4 million) and Dividends on Investment (-€5.1 million).
Recurrent expenditure increased by €80.3 million, totalling €2,204.4 million. The largest increase was recorded in programmes and initiatives by €36.3 million. The regular increases observed in programmes and initiatives were in social security benefits (+€37.0 million), medicines and surgical materials (+€19.6 million), third country nationals (+€6.9 million), influenza combatting measures (+5.6 million) and solid waste management strategy (+€3.7 million).
These were partly offset by declines in energy support measures (-€63.8 million), and streets and roads lighting (-€4.8 million).
Moreover, personal emoluments added €24.5 million whereas operational and maintenance expenditure and contributions to government entities went up by €11.6 million and €7.9 million respectively.
The interest component of the public debt servicing costs for the period under review rose by €3.0 million and amounted to €192.0 million.
Government’s Capital Expenditure reached €271.3 million, up by €49.2 million. The main increases were in the EU external borders fund (+€15.5 million), EU agricultural fund for rural development (+€8.6 million) and film industry incentives (+€6.5 million).
The Central Government debt outstanding at the end of 2009 totalled €3,886.9 million, an increase of €361.8 million compared to 2008.
Short-term and long-term borrowing rose by €108.3 million and €261.7 million respectively, while foreign borrowing declined by €13.4 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 €37.2 million, €6.0 million more compared to the euro coin stock as at the end of December 2008