Jordan Times
Friday, October 15, 2004
'Domestic revenues yield
JD34m budget surplus'
By Rami Abdelrahman
AMMAN — A 30.4 per cent rise in domestic revenues has resulted in a JD34 million
surplus in the national budget during the first eight months of fiscal year
2004, compared to a JD23.4 million deficit logged during the same period in
2003.
According to the monthly Government Finance Bulletin, the overall surplus
increased by JD71.3 million, excluding rescheduled interest which amounted
JD37.3 million during the first eight months of this year.
“Calculating fiscal deficit excluding grants, which better reflects national
efforts in fiscal reform, the budget deficit during the first eight months of
this year declined by JD244.6 million or 45 per cent, bringing it to JD290.5
million from JD535.1 million during the same period in 2003,” the report
indicated.
Total revenues and grants amounted to JD1,719.1 million, according to the
bulletin, published by the Ministry of Finance. This reflects an increase of 8.7
per cent (JD137.9 million) over the JD1,581.2 million tally for the first eight
months of 2003.
“This increase was an outcome of a rise in domestic revenues by 30.4 per cent,
despite a 36.6 per cent decrease in foreign grants. Domestic revenues totalled
JD324.5 million till the end of August,” the report showed.
Figures also showed that during the first eight months of 2003, total foreign
grants reached JD511.7 million.
The bulletin revealed that domestic revenues amounted to JD1,394.6 million
during this year's first eight months, compared to JD1,069.5 million during the
same period of 2003, which indicates a JD325.1 million increase.
According to the ministry, the rise is attributed to increases in tax revenues,
nontax revenues and repayments by JD254 million, JD52.8 million and JD18.3
million, respectively.
Total expenditures rose by 5 per cent from JD1,604.6 million in the first eight
months of last year to JD1,685.1 million in the same period this year.
The ministry attributed the rise in expenditures to an increase in capital
expenditures by JD92.4 million minus a JD11.9 million decrease in current
expenditures.
Net outstanding total debt (domestic and external) dropped to JD6,785 million
from JD7,095 million recorded during last year's first eight months, indicating
a decline of JD310 million or 4.4 per cent.
Whether government or government-guaranteed debts, the report indicated that at
the end of August 2004 foreign debt amounted to JD5,191.9 million or 67.7 per
cent of gross domestic product (GDP) compared to JD5391.8 million (76.4 per cent
of GDP) at the end of 2003.
Net outstanding domestic debt (budgetary central government) amounted to JD1,637
million (21.3 per cent of GDP) during the first eight months of 2004, compared
to JD1,711 million (24.2 per cent of GDP) at the end of 2003.
Accordingly, net outstanding total debt ratio to GDP declined to 88.5 per cent
at the end of August 2004 compared to 100.6 per cent at the end of 2003.