The amount of recurrent revenue earned through Government grants in July 2019 increased by 19223.7% when compared to the same month in 2017; data from the National Statistics Office (NSO) have shown.
In July of 2017, revenue earned through grants amounted to €375,000. In the same month of 2019, statistics showed that this amount increased to €72.464 million. When comparing the period between January and July, 2018 resulted in €29.683 million earned through grants, while the same period in 2019 amounted to €144.011 million, a 385.2% increase.
Recurrent revenue rose by €380.5 million
Between January and July 2019, recurrent revenue rose by €380.5 million and amounted to €2,638.6 million. This represented a 16.9% increase from the €2,258.1 million reported in revenue during the corresponding period in 2018.
Reported rises in grants (€114.3 million) and Income Tax (€108.1 million) were the main catalysts for the increased revenue. Further increases were also registered under Social Security (€75.5 million) and Value Added Tax (€60.3 million). Conversely, drops in outlay were recorded under Dividends on Investment (€11.2 million), Central Bank of Malta (€8.0 million) and Reimbursements (€0.3 million).
Total expenditure increased by 16.4%
Total expenditure by the end of July 2019 stood at €2,764.6 million, a 16.4% increase from the corresponding period in 2018.
Recurrent expenditure stood at €2,373.1 million, €305.7 million higher than the corresponding amount registered by the end of July 2018. The main contributor to this increase was a €196.8 million rise reported under Programmes and Initiatives. Furthermore, rises in outlay were also registered by Contributions to Government Entities (€55.8 million), Personal Emoluments (€39.4 million) and Operational and Maintenance Expenses (€13.7 million).
€126 million deficit in Government’s Consolidated Fund
Government’s capital expenditure registered an increase of €95.3 million from the same period last year and added up to €282.4 million. The rise in outlay was mainly due to increased expenditure reported on road construction and improvements (€28.7 million), structural funds 2014-2020 (€19.5 million) and cohesion funds 2014-2020 (€19.3 million).
The difference between total revenue and expenditure resulted in a deficit of €126 million being reported in the Government’s Consolidated Fund by the end of July 2019, compared to a deficit of €117.2 million in the same period in 2018. The main driver in the difference was a higher reported increase in total expenditure, consisting of recurrent expenditure (+€305.7 million), interest (-€11.7 million) and capital expenditure (+95.3 million).
Central Government Debt stood at €5,451.2 million
During July 2019, Central Government Debt stood at €5,451.2 million, a €95.8 million rise from the same month in 2018. This was primarily the result of an increase reported under the 62+ Malta Government Savings Bond (€98.1 million). Malta Government Stocks and Euro coins issued in the name of the Treasury also rose by €54.5 million and €4.9 million respectively. On the other hand, there were decreases recorded under Treasury Bills (€46.2 million) and Foreign Loans (€0.2 million).
Higher holdings by government funds in Malta Government Stocks also resulted in a decrease in debt of €15.3 million.