The 8% growth in total government revenue was not enough to reduce the financial deficit, which at the same period reached 1% of GDP.
Wednesday, March 23, 2016
From a statement issued by the Ministry of Finance in Costa Rica:
By February 2016, the increase in expense figures was lower than those shown in the growth of tax revenues. This was announced by the Ministry of Finance, when it released the fiscal results at the end of the second month of this year, when expenses grew by 7.8% and total revenue increased by 8.2% with respect to the previous year.
The growth of current expenditures up to February 2016 was 4.1%, lower than last year, which stood at 5.1%. Capital expenditures had a significant increase of 127.5%, this is explained mainly by transfers to CONAVI for the Road Infrastructure Project (PIV I).
¿Busca soluciones de inteligencia comercial para su empresa?
In comparison to 2015 revenue grew by 9% and expenses by 6%, and total public debt as a proportion of GDP reached 45%.
From a statement issued by the Ministry of Finance:
The figures for income and expenditure of the central government indicate that by the end 2016,the shortfall of government revenue to cover expenses was 5.2% of GDP, less than the 6% calculated at the beginning of the year and less than the amount that was observed in 2015 (5.7%). This result represents a reduction of 2% (equivalent to ¢32 billion) from the deficit of 2015, which makes it the lowest deficit in the last four years.
State expenditures continue to exceed tax revenues while the government cries out for legislative approval of the proposed tax reform.
In October, total revenues amounted to ¢3,241,326 million ($6,047 million), recording a variation of 8.5%, while total expenditures reached ¢4,589,189 million ($8.561 billion), growing 9.6% compared to the same period in 2014.
Facing a serious and growing fiscal deficit, the Solís administration has presented the 2015 spending plan for the central government which is 19% higher than that of 2014.
Even though the fiscal deficit up to July is already located at 3% of GDP, the government has decided to increase the state budget for 2015 by 19%, which added to the 4% increase approved for public wages and 14% increase in the resources paid to state universities, threatens to push up interest rates and further complicate the economic scenario.
español
6404
