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The Government announced today (July 31) its financial results for the three months ended June 30, 2004.
Expenditure for the period April to June 2004, amounted to $58.8 billion and revenue to $41.8 billion, resulting in a deficit of $17 billion.
A government spokesman said that a deficit in the initial months of a financial year was not unusual as many types of revenue including taxes were mostly received towards the end of the year.
The fiscal reserves stood at $258.3 billion at June 30, 2004.
More detailed figures are shown in Tables 1 and 2.
TABLE 1. CONSOLIDATED ACCOUNT
Year to date
Month ended April 1, 2004 to
June 30, 2004 June 30, 2004
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HK $ million HK $ million
Revenue 11,098.4 41,763.0
Expenditure (18,893.4) (58,804.3)
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Surplus/(Deficit) (7,795.0) (17,041.3)
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Financing
Domestic
Banking Sector(Note 1) 7,642.5 15,773.9
Non-Bank Sector 152.5 1,267.4
External - -
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Total 7,795.0 17,041.3
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Government Debt as at June 30, 2004 (Note 2) HK$6,000 million
Debts Guaranteed by Government HK$4,184.4 million
as at June 30, 2004 (Note 3)
Notes:
1. Includes transactions with the Exchange Fund and resident banks.
2. In May 2004, the Government issued a $6 billion Toll Revenue Bond to be repaid by the net toll revenue receivable of government-owned tunnels and bridges to Hong Kong Link 2004 Limited, which issued notes and bonds totalling the same amount to institutional and retail investors. The maturity date of the Toll Revenue Bond is May 2016 and full repayment may be made before 2016.
3. Guarantees provided under the Special Finance Scheme for Small and Medium Enterprises, the Self-employment Business Start-up Assistance Scheme, the SME Loan Guarantee Scheme, the Film Guarantee Fund and the Loan Guarantee Scheme for Severe Acute Respiratory Syndrome Impacted Industries.
TABLE 2. FISCAL RESERVES
Year to date
Month ended April 1, 2004 to
June 30, 2004 June 30, 2004
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HK $ million HK $ million
Fiscal Reserves at 266,096.4 275,342.7
start of period
Add: Consolidated Surplus/ (7,795.0) (17,041.3)
(Deficit)
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Fiscal Reserves at 258,301.4 258,301.4
end of period ------------- -----------------
Ends/Saturday, July 31, 2004
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