By the end of April, the government’s consolidated fund reported a deficit of €388.7 million, national data shows.

In a statement on Friday, the National Statistics Office reported that in the first quarter of the year,  recurrent revenue amounted to €1,595.3 million - 16.5 per cent higher than the €1,369.7 million reported last year.

The largest increase was recorded under income tax (€82.4 million), followed by VAT (€53.0 million), grants (€42.3 million), social security (€25.3 million) and customs and excise duties (€14.7 million).

The rise in revenue was partially offset by decreases in fees of office (€7.9 million) and miscellaneous receipts (€5.8 million).

By the end of April, total expenditure stood at €1,983.9 million - 1.6 per cent higher than the previous year.

During the reference period, recurrent expenditure totalled €1,769.7 million - an increase of €35.9 million in comparison to the €1,733.8 million reported by the end of April 2021.

The main contributor to this increase was a €46.2 million increase reported under programmes and initiatives. An increase was also witnessed under contributions to government entities (€3.3 million).

The main developments in the programmes and initiatives category involved added outlays towards economic stimulus payments (€48.1 million), tax relief measures (€25.7 million), assistance to help the elderly live independently (€13.7 million), social security benefits (€11.4 million), residential care in private homes (€7.2 million) and the gas stabilisation fund (€5.1 million).

Decrease in hospital concession, COVID assistance

This rise was partly offset by decreases under the pandemic assistance schemes (€46.9 million) and hospital concession agreements (€20.7 million).

By the end of April, the government’s capital spending amounted to €159.5 million - €1 million higher than in 2021.

This increase resulted from higher expenditure towards investment incentives (€3.5 million), property, plant and equipment (€3.2 million) and Ta’ Qali National Park (€3 million). 

This rise in capital expenditure was partially offset by decreases in the acquisition of property for public purposes (€4.9 million) and Gozo aquatic centre (€3.7 million).

€388.7 million deficit

The difference between total revenue and expenditure resulted in a deficit of €388.7 million being reported in the government’s consolidated fund.

Compared to the same period in 2021, there was a decrease in deficit of €193.5 million.

At the end of April, the central government debt stood at €8,532.4 million - a €1,174.6 million rise from 2021.

Increases reported under Malta Government Stocks (€932.1 million) and foreign loans (€176.9 million) were the main contributors to the rise in debt.

Higher debt was also reported under the 62+ Malta Government Savings Bond (€93.9 million) and Euro coins issued in the name of the Treasury (€4.2 million). This increase in debt was partially offset by a decrease in treasury bills (€10.4 million).

Finally, lower holdings by government funds in Malta Government Stocks resulted in a decrease in debt of €22.2 million