Govt’s outstanding debt totals $3.066B

The Reserve Bank of Fiji has stated that at the end of June 2009, government's outstanding debt totalled 3.066 billion dollars equivalent to 51.3 percent of GDP.

According to the RBF's quarterly report, this compares with the outstanding debt level at June last year of 2.769 billion dollars or 47 percent of GDP.

However on public finance, it has been revealed that cash flow data indicate that the government recorded a net surplus of 39.6 million dollars, in the first five months of this year.

The fiscal outturn in the year to May was underpinned by a 2.5 percent increase in revenue collections.

The Reserve Bank of Fiji states that government expenditure increased on an annual basis by 7.3 percent, underpinned by a 16.7 percent increase in investing payments which includes loans, transfer payments and purchase of physical non-current assets.

Capital expenditure in the review period rose by 22.1 percent on an annual basis but was below target by 46.6 percent.

Compared with the forecast for the period, total expenditure was lower by 25.5 percent.

On the other hand, government revenue increased by 2.5 percent in the review period.

The increase in revenue collections stemmed from annually higher direct taxes, fiscal duty, and hotel turnover collections.

Revenue collections were also higher by 6.5 percent when compared with the budgeted level.

And as we get ready for the announcement of the 2010 National Budget by Commodore Voreqe Bainimarama next Friday, he had revealed in the 2009 Budget that the government is projecting revenue of 1.522 billion dollars.