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The Government announced today (November 30) its financial results for the seven months ended October 31, 2002.
Expenditure for the period April to October 2002 amounted to $139.2 billion and revenue to $66.8 billion, resulting in a deficit of $72.4 billion.
A Government spokesman explained that some major revenue items including salaries and profits taxes were mostly received towards the end of a financial year. It was too early at this stage to draw any conclusion on the deficit outturn for the full year.
The outturn would be affected mainly by two of our revenue items, namely land premium and sale of the second tranche of MTR shares. Subject to the outcome of other major revenue items, the budget deficit for 2002-03 could be larger than $45.2 billion estimated in March 2002.
The fiscal reserves stood at $300.1 billion at October 31, 2002.
More detailed figures are shown in Tables 1 and 2.
TABLE 1. CONSOLIDATED ACCOUNT
Year to date
Month ended April 1, 2002 to
October 31, 2002 October 31, 2002
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HK $ million HK $ million
Revenue 18,244.0 66,853.4
Expenditure (19,802.0) (139,216.0)
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Deficit (1,558.0) (72,362.6)
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Financing
Domestic
Banking Sector(Note 1) 1,168.7 70,861.6
Non-Bank Sector 389.3 1,501.0
External - -
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Total 1,558.0 72,362.6
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Government Debt as at October 31, 2002 (Note 2) NIL
Debts Guaranteed by Government as at HK$1,218.4 million
October 31, 2002 (Note 3)
Notes :
1. Includes transactions with the Exchange Fund and resident banks.
2. The Government is debt free.
3. Guarantees provided under the Special Finance Scheme for Small
and Medium Enterprises, the Self-employment Business Start-up
Assistance Scheme and the SME Business Installations and
Equipment Loan Guarantee Scheme.
TABLE 2. FISCAL RESERVES
Year to date
Month ended April 1, 2002 to
October 31, 2002 October 31, 2002
--------------- -----------------
HK $ million HK $ million
Fiscal Reserves at 301,698.7 372,503.3
start of period
Add: Consolidated Deficit (1,558.0) (72,362.6)
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Fiscal Reserves at end of period 300,140.7 300,140.7
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End/Saturday, November 30, 2002
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