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Budget in Statistics 2013.Pdf GOVERNMENT BUDGET SUMMARY YEAR 2013-2015 MINISTRY OF FINANCE AND TREASURY MALE' REPUBLIC OF MALDIVES Table of Contents Executive Summary………………………………………………………………………………………………………………………….. 01 The Budget System and Processes………………………………………………………………………………………………….… 02 Budgetary Summary, 2011-2015…………………………………………………………………………………………………….… 05 Government Revenues Summary of Government Revenues……………………………………………………………………………….….… 07 Details of Government Revenues, 2011-2015……………………………………………………….…………..… 10 Expenditures Economic Classification of Government Expenditure, 2011-2015…………………………..………….… 17 Functional Classification of Government Expenditure, 2011-2015…………………………………….…. 22 Classification of Government Expenditure by AGAs………………………………………………………….…. 25 Project Loan Disbursements 2011-2015………………………………………………………………………….…… 34 Project Grant Disbursements 2011-2015……………………………………………………………………..………. 36 Domestic Project Loan Estimates………………………………….……………………………………………………... 37 Public Sector Investment Program PSIP Summary 2013-2015……………………………………………………………………………………………….…… 38 Review of the Budget in GFS Format, 2011-2015 Summary of Central Government Finance, 2011-2015…………………………………………….……….…. 40 Central Government Revenue and Grants, 2011-2015……………………………………………….….….… 41 Functional Classification of Central Government Expenditure, 2011-2015……………………....... 44 Functional Classification of Central Government Current Expenditure, 2011-2015………...….. 45 Functional Classification of Central Government Capital Expenditure, 2011-2015………….….. 46 Foreign Grants by Principal Donors, 2011-2015…………………………………………………………………... 47 Expenditure on Major Projects Financed by Loans, 2011-2015………………………………….………… 48 Foreign Loans by Lending Agency, 2011-2015……………………………………………………………….…….. 50 Historical Data Summary of Government Cash Inflow, 1998-2011………………………………………………………………. 51 Summary of Government Cash Outflow, 1998-2011………………………………………………………….… 52 Functional Classification of Government Expenditure, 1998-2011…………………………………….... 53 Executive Summary The ‘Government Budget Summary’ handbook prepared by the Fiscal Affairs and Economic Policy Division (FAEPD) of the Ministry of Finance and Treasury is a concise presentation of the National Budget estimates approved by the People’s Majlis (Parliament) for the year 2013. The handbook was compiled in an attempt to present the National Budget numbers in a summarized manner under the following headings: The Budget System and Process Budget Summary, 2011-2015 Government Revenues Government Expenditures Public Sector Investment Program (PSIP), 2011-2015 Review of the Budget, 2011- 2015 (in GFS Format) Historical Data The Budget for the year 2013 is prepared on the basis of a medium-term framework. Hence, this publication includes actuals for 2011, revised estimates for 2012, and approved estimates for 2013, 2014 and 2015. We would like to take this opportunity to extend our sincere gratitude to all the staff of the Fiscal Affairs Division for their commitment and effort put into this publication. Fiscal Affairs and Economic Policy Division 1 The Budget System & Processes THE BUDGET SYSTEM AND PROCESSES The fiscal year of the Government of Maldives runs from 1st January to 31st December. Basis of Accounting The Budget is essentially based on cash accounting principles. Budget estimates are prepared on the basis of the total requirement to finance the expenditure of the government considering the revenue constraints for each year. The Budget Process The Minister of Finance and Treasury is responsible for the preparation and presentation of the budget to the Majlis for approval. The Government Budget consists of regular budget and extra-budgetary items. The regular budget presents estimates of domestic revenue, current expenditure and domestically financed capital expenditure. Extra-budgetary items include estimates for projects financed by foreign grants and foreign loans. The Budget Formulation Process The annual budget formulation process begins in mid-June when the Ministry of Finance and Treasury issues the Budget Circular which requests individual ministries and departments to provide regular and extra budgetary information on actual out-turn for the past year, revised estimates for the current year, and expenditure proposals for the forthcoming year. Once the requested data and estimated budgets are received, the FAEPD then starts evaluating it. The evaluation process first includes technical assessment, followed by technical and ministerial meetings with the offices. These meetings help to cap expenditures on ceilings provided to each Ministry and Independent Offices. The budget is then consolidated on the basis of the information provided by ministries and departments, in consultation with the Budget Committee and the Cabinet. The final budget is sent to the Majlis in late November for approval before the end of the year. With the amendment to the Public Finance Act passed by the Majlis in the year 2012, effective from 2013, the Ministry of Finance and Treasury will have to submit the Budget to the Majlis two months prior to the end of each calendar year. Scope of the Budget The Budget records all receipts and expenditure by government ministries and departments, including sales of goods and services to the public on a gross basis. Transactions between central government bodies and non-financial public enterprises are usually recorded in the budget on a net basis. 2 The Budget Classification The revenue of the government falls into two broad categories. 1- Revenues of the government, which are mainly domestic in nature and include both tax and non-tax revenues. 2- Revenues of the government that are external in nature and include foreign grants and proceeds from foreign loans. The expenditure of the government is divided into recurrent and capital expenditure. These are further classified into functions and economic activities (functional and economic classification). The economic classification of recurrent expenditure includes items such as salaries and wages, travel expenses, supplies and requisites, repairs and maintenance. The economic capital expenditure consists of equipment outlays, amortization, capital contribution and investment outlays. Functional expenditure of either a recurrent or capital nature is further subdivided into such categories as General Public Services, Social Development and Welfare, Economic Services and Debt-servicing. 3 REVENUE PUBLIC BANK EXPENDITURE ACCOUNT CREDIT DEBIT PAYMENT VOUCHERS (Account No 220301) COLLECT CENTRALISED PROCESSING State/Government Consolidated Loans & Capital Advance Fund Trust Fund Revenue Fund Works Fund 4 Budget Summary 2011 – 2015 ` Budget Estimate 2013 -2015 2011 2012 2013 2014 2015 Actual Revised Estimated Estimated Estimated I National Income 12,196,841,780 14,550,395,575 14,710,000,000 17,263,828,543 17,075,646,143 Consolidated Revenue Fund: 9,826,482,037 9,627,671,709 12,277,761,898 13,482,460,264 14,159,453,654 Revenue - Government Departments 9,508,118,115 9,415,200,709 10,997,508,856 11,001,414,248 11,451,186,678 Revenue - New Revenue Measures - - 1,113,514,042 2,365,296,016 2,592,448,976 Foreign Grants & Donations (In Cash) 318,363,922 212,471,000 166,739,000 115,750,000 115,818,000 Trust Fund: 71,725,728 83,374,500 74,530,000 70,305,000 75,135,000 Revenue From Trust Funds 71,725,728 83,374,500 74,530,000 70,305,000 75,135,000 Loan & Capital Works Fund 2,298,634,015 4,839,349,366 2,357,708,102 3,711,063,279 2,841,057,489 Foreign Project Grants 414,071,335 253,053,006 393,619,566 632,496,417 613,776,790 Foreign Project Loans 1,398,417,894 1,900,000,002 1,300,588,536 2,878,566,862 2,150,280,699 Domestic Project Loans - - 21,000,000 170,000,000 77,000,000 Foreign Loans- Budget Support 486,144,786 2,386,296,358 463,500,000 - - Domestic Loans- Budget Support - 300,000,000 179,000,000 30,000,000 - II National Budget Grand Total 13,660,056,281 16,520,141,744 15,300,000,000 20,192,807,890 18,416,070,190 Consolidated Revenue Fund: 11,787,357,188 14,313,656,247 13,532,787,969 16,463,238,382 15,527,060,772 Budget Total - Government Departments 11,488,839,484 14,274,819,297 13,495,308,919 16,428,747,932 15,492,592,322 Expenditure From Foreign Grants & Donations (in Cash) 298,517,704 38,836,950 37,479,050 34,490,450 34,468,450 Trust Funds: 60,209,864 53,432,489 52,003,929 48,506,229 47,951,929 Expenditure From Trust Funds 60,209,864 53,432,489 52,003,929 48,506,229 47,951,929 Loans & Capital Works Fund: 1,812,489,229 2,153,053,008 1,715,208,102 3,681,063,279 2,841,057,489 Expenditure From Domestic Project Loans - - 21,000,000 170,000,000 77,000,000 Expenditure From Foreign Project Grants 414,071,335 253,053,006 393,619,566 632,496,417 613,776,790 Expenditure From Foreign Project Loans 1,398,417,894 1,900,000,002 1,300,588,536 2,878,566,862 2,150,280,699 5 2011 2012 2013 2014 2015 Actual Revised Estimate Estimate Estimate I Total Revenue & Grants 9,904,561,483 9,831,977,464 12,608,909,944 14,050,017,783 14,712,815,146 Revenue - Government Departments 9,508,118,115 9,415,200,709 10,997,508,856 11,001,414,248 11,451,186,678 Revenue - new revenue measures - - 1,113,514,042 2,365,296,016 2,592,448,976 Revenue - Trust Funds 71,725,728 83,374,500 74,530,000 70,305,000 75,135,000 (-) Re-inmbursement of the subsidiary loans (407,717,617) (132,121,751) (137,001,520) (135,243,898) (135,550,298) Total Revenue 9,172,126,226 9,366,453,458 12,048,551,378 13,301,771,366 13,983,220,356 (+) Foreign Grants & Donations (in Cash) 318,363,922 212,471,000 166,739,000 115,750,000 115,818,000
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