Final Budget Report

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Final Budget Report UNMIK PROVISIONAL INSTITUTIONS OF SELF-GOVERNMENT INSTITUCIONET E PËRKOHSHME TE VETËQEVERISJES PRIVREMENE INSTITUCIJE SAMOUPRAVLJANJA MINISTRY OF ECONOMY AND FINANCE MINISTRIA PËR EKONOMI DHE FINANCA MINISTARSTVO ZA PRIVREDU I FINANSIJE SECTION 41 FINAL BUDGET REPORT 2003 Fiscal Reporting Unit Ministry of Finance and Economy Corner of Bill Clinton Boulevard and Mother Teresa Street, Pristina, Kosovo Telephone: +381 (0)38 540 564 x244 Facsimile: +381 (0)38 540 788 FINAL BUDGET RECONCILIATION REPORT 2003 Reporting Requirement The Law on Public Financial Management and Accountability requires that the Minister of Finance and Economy shall prepare a Budget Reconciliation Report covering the previous fiscal year. Readers Guide This report is designed to provide the information required of a Final Budget Report under the Law for the 2003 financial year. The column titled “Reporting Requirement” in following table outlines the information sought in each relevant section of the Law. The “Status” column in the table below either contains the information requested or will direct you to the relevant sections of the information provided in the attachments. Consistent with the Law, where information is not currently available this is specified. Section Reporting Requirement Status 41.3 (a) An overview of important actual receipts and Total Expenditures in 2003 were € 570.14 million. expenditures. Total revenues were € 589.65 million. In addition, Designated Donor Grants of € 25.15 million were received during 2003. These receipts and expenditures are set out in Attachment 1, 2 and 3. 41.3 (b) Details of how a budget deficit was financed In 2003 there was a cashflow surplus of €19.5 million. or how a surplus was invested. These surplus funds were invested in the Banking and Payments Authority of Kosovo. 41.3 (c) Other information considered necessary by In addition to the reporting requirements set out in the the Minister of Finance and Economy or Law, this report also includes a detailed cashflow th e SRSG. statement for 2003. This is included as Attachment 1. 41.4 (a) The actual receipts, identified by type, of Attachment 2 details the actual receipts of budget budget organizations compared with the organizations on an aggregate basis. relevant projections contained in the budget. 41.4 (b) Actual dedicated revenue received, identified The principle item of dedicated revenue is municipal by ty pe , dur in g t he f isc a l ye ar . own-source revenue. During 2003 €23.6 million euro of own source revenue was spent by municipalities. The University of Pristina collected € 5.0 million euro of dedicated revenue during the year, in the form of student fees. The Ministry of Health collected € 1.2 million in of dedicated revenue in the form of co- payments in hospitals. 41.4 (c) Actual expenditures, by classification, from Of the € 21.5 million of municipality own source appropriations of dedicated revenue. revenue spent in 2003, € 21.3 million was for goods and services and € 0.2 million for capital. All expenditure of student fee revenue by the University of Pristina was classified as being for goods and services. All expenditure of co-payment revenue by the Ministry of Health was classified as being for goods and services. 41.4 (d) Actual number of permanent and temporary Data for the number of employees by budget organization is included in Attachment 5. Currently employees of budget organizations paid the data available from the Ministry of Public Services from appropriations in the fiscal year. does not distinguish between temporary and permanent employees. 41.4 (e) Actual payments of interest or amounts in the There is currently no debt held by the Government nature of interest on debt described in and therefore no payments of interest or principal. Section 46 and for repayment of debt principal. 41.4 (f) Actual expenditures in respect of each In 2003 appropriations are categorized by Goods & app rop riat io n category comp ared wit h (i) the Services, Wages & Salaries, Subsidies & Transfers budget appropriation for that category; and and Reserves. Attachment 2 contains information on (ii) the actual expenditure for that category in spending in these categories against the 2003 th e prev ious fiscal year. appropriation and expenditure under these categories in 2002 (total actual and YTD). 41.4 (g) Details of all recipients of public grants made Public grants are record ed by Treasury as subsidies in the fiscal year and the amount they and trans fers, refl ecting the structure of appropriation Received. schedules. The principal recipients of grants under the Kosovo Consolidated Budget in 2003 were Designated Entities (through the Kosovo Trust Agency) and cultural institutions (through the Ministry of Culture). Data is not currently held centrally regarding the amount received by each of these recipients. 41.4 (h) Details of expenditures for the contingent Expenditure under the Advance for the Minister for exp en dit ure app rop riat ions described in Finance and Economy, the Advance to the SRSG and Section 26. other Reserves are set out in Attachment 4. 41.4 (i) Details of all adjustments to appropriations No adjustments were made to appropriations on the made pursuant to Section 27 and basis of changes in responsibilities. Section 28. 41.4 (j) Actual user fee receipts for the fiscal year. T otal fees and charg es data is included in Attachment 2 under the category of non-tax revenue. 41.5 (a) Details of investments of public money made All surplus funds in 2003 were held as deposits at the during the fiscal year. Banking and Payments Authority of Kosovo. Interest received relates to deposit accounts held at Banking and payments Authority of Kosovo and Commerzbank. 41.5 (b) Details of any obligations described in The Government had no borrowings during the period. Section 46. 41.5 (c) A full accounting of assets held by budget Financial assets of the Kosovo Consolidated Budget at organizations at the end of the fiscal year. the end of 2003 totaled 336 million euro on a cash basis. Data relating to non-financial assets was not collected. The FreeBalance project team within the Treasury Department are currently planning for the introduction of an assets module which will enable the centralized collection of additional data on non- financial assets. 41.5 (d) Other information considered necessary by In addition to the reporting requirements set out in the & the Minister of Finance and Economy or Law, this report also includes a detailed cashflow 41.4 (k) th e SRSG. statement for 2003. This is included as Attachment 1. Ali Sadriu Minister for Finance and Economy 2 ATTACHMENT 1 – CASH FLOW DATA 2003 2003 Actual (Unaudited) Total Total Jan Feb March April May June July Aug Sept Oct Nov Dec appropriations and DDGs actual Actual (€ million euro) Total Revenues 584.40 589.65 41.17 34.88 48.51 51.59 45.65 45.69 56.89 51.53 65.21 58.35 38.17 52.00 Tax revenues 512.20 520.76 34.71 30.77 43.08 46.83 40.15 40.31 50.92 46.71 59.02 52.90 32.45 42.91 Border taxes 420.50 428.28 24.65 24.50 35.28 29.82 35.31 36.78 39.03 41.18 55.03 39.29 31.73 35.68 Domestic taxes 101.70 108.15 10.40 6.80 8.30 17.50 6.79 5.31 14.23 5.66 6.92 13.96 3.92 8.34 Domestic VAT refund -1.00 -2.25 -0.18 -0.21 -0.13 -0.22 -0.09 -0.02 -0.68 -0.03 -0.26 -0.16 -0.07 -0.20 Border taxes refund -9.00 -13.43 -0.16 -0.33 -0.37 -0.28 -1.86 -1.76 -1.66 -0.09 -2.68 -0.20 -3.13 -0.92 Non tax revenues 44.40 41.59 4.74 3.01 2.79 2.74 3.36 3.06 3.91 2.63 3.50 3.25 2.86 5.73 Municipal own revenues 27.80 27.31 1.72 1.10 2.64 2.03 2.14 2.31 2.05 2.19 2.69 2.21 2.87 3.36 Total Expenditures 862.43 570.14 32.43 36.39 41.50 43.17 48.54 46.62 49.52 38.15 43.00 46.55 58.91 85.37 Central government 624.94 406.41 16.51 26.92 29.06 32.46 36.40 33.92 34.83 26.55 30.65 29.01 43.60 63.84 Local governments 185.57 138.65 8.70 8.71 10.10 9.56 11.20 10.69 11.78 10.81 11.42 13.36 13.44 18.88 Designated Donor Grants 51.92 25.08 4.57 0.75 2.33 1.16 0.93 2.01 2.92 0.79 0.93 4.18 1.86 2.65 Adjustment 3 2.65 2.65 Overall Budget Balance -278.03 19.51 8.74 -1.51 7.02 8.42 -2.89 -0.93 7.36 13.38 22.21 11.81 -20.74 -33.37 Financing 278.03 -19.51 -8.74 1.51 -7.02 -8.42 2.89 0.93 -7.36 -13.38 -22.21 -11.81 20.74 33.37 Donor transfers 34.15 29.15 2.53 6.17 4.49 3.67 0.67 0.71 5.05 1.51 0.92 0.22 1.27 1.94 Budget Support Grants 5.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Designated Donor Grants new 29.15 29.15 2.53 6.17 4.49 3.67 0.67 0.71 5.05 1.51 0.92 0.22 1.27 1.94 Change in bank balances 243.88 -48.66 -11.27 -4.66 -11.51 -12.09 2.22 0.22 -12.42 -14.89 -23.13 -12.03 19.47 31.42 Memorandum items: Cumulative Budget Balance 324.77 300.30 304.96 316.47 328.56 326.34 326.12 338.54 353.43 376.56 388.58 369.11 ATTACHMENT 2 – AGGREGATE REVENUE DATA 2003 Budget Progress Plan YTD against annual actual plan euro million % Total Revenues 584.40 589.65 100.9 Central Budget Revenues 556.60 562.35 101.0 Tax revenue 512.20 520.76 101.7 Taxes on income and profits 62.70 61.91 98.7 Wage tax 14.80 14.58 98.5 Profit tax 29.90 28.41 95.0 Presumptive tax 18.00 18.91 105.0 Hotels and restaurants tax 0.00 0.01 Taxes on goods and services 380.80 386.80 101.6 VAT 224.00 215.46 96.2 Domestic 36.30 34.86 96.0 Imports 187.70 180.60 96.2 Excises 156.80 171.34 109.3 Taxes on international trade 78.70 74.98 95.3 Customs 76.00 72.34 95.2 Other 2.70 2.64 - Adjustments -10.00 -2.92 Border taxes 1.37 Domestic taxes 11.38 Tax refunds -15.67 Non tax revenue 44.40 41.59 93.7 Fees and charges 44.40 39.13 88.1 Interest Income n.a.
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