Revenue-expenditure shortfall decreases in first half of 2013

In the first half of 2013, the shortfall between recurrent revenue and total expenditure of Central Government amounted to €241.2 million, down from €284.3 million in the corresponding period last year. An increase of €104.0 million in recurrent revenue outweighed the added expenditure of €60.9 million, resulting in a reduction of €43.2 million in the government deficit. During January-June, recurrent revenue stood at €1,307.5 million, up by 8.6 % over last year. This was mainly due to higher proceeds from Income Tax (+€60.8 million), Grants (+€59.1 million), Social Security (+€14.2 million) and Value Added Tax (+€8.5 million). These were partially offset by Miscellaneous Receipts (-€20.2 million), lower returns from the Central Bank of Malta (-€6.0 million), Customs and Excise Duties (-€6.0 million) and Dividends on Investments (-€4.1 million). At the end of June, Central Government debt stood at €5,045.3 million, up by €250.4 million over the corresponding period last year. This was the result of higher long-term and short-term borrowing, which added €79.8 million and €173.2 million respectively. On the other hand, foreign borrowing went down by €12.0 million. As a result of consolidation, lower holdings by government funds in MGSs brought about an increase in debt of €4.0 million. The euro coins issued in the name of the Maltese Treasury went up by €5.2 million when compared to the coin stock as at the end of June 2012, and totalled €52.3 million