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    The Government announced today (July 30) its financial results for the three months ended June 30, 2005.

    Expenditure for the period April to June, 2005, amounted to $56.4 billion and revenue to $39.7 billion, resulting in a deficit of $16.7 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 $279.3 billion at June 30, 2005.

    More detailed figures are shown in Tables 1 and 2.

TABLE 1.  CONSOLIDATED ACCOUNT

                  Month ended    Three months ended
                  June 30, 2005  June 30, 2005
                  -------------  ------------------
                   HK$ million      HK$ million
Revenue              9,721.1         39,709.9
Expenditure        (18,077.0)       (56,433.3)
                  ------------     ------------
Deficit             (8,355.9)       (16,723.4)
                  ------------     ------------
Financing
 Domestic
  Banking Sector(Note 1) 7,699.0      15,286.4
  Non-Banking Sector       656.9       1,437.0
 External                     -             -
                         ----------   -----------
Total                      8,355.9     16,723.4
                         ----------   -----------

 

Government Debts as at June 30, 2005 (Note 2)

 HK$24,988.3 million

Debts Guaranteed by Government as at June 30, 2005 (Note 3)

 HK$5,453.9 million

Notes:

1.  Includes transactions with the Exchange Fund and resident banks.

2.  The total Government debts of $24,988.3 million as at June 30, 2005 comprise :

(i)  Toll Revenue Bond of $5,024.2 million to be repaid to Hong Kong Link 2004 Limited by the net toll revenue receivable of Government tolled tunnels and bridges.  The outstanding Toll Revenue Bond will mature by May 2016 but may be fully repaid before then; and

(ii)  Retail bonds and institutional notes totalling $19,964.1 million (including US$1.25 billion denominated in United States dollars).  The maturity dates of these bonds and notes fall within the period July 2006 to July 2019.

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

                   Month ended    Three months ended
                   June 30, 2005  June 30, 2005
                   -------------  ------------------
                    HK$ million      HK$ million
Fiscal Reserves at
  start of period    287,613.8        295,981.3

Less: Consolidated
  Deficit            (8,355.9)        (16,723.4)
                   ------------      -------------
Fiscal Reserves at
  end of period     279,257.9          279,257.9
                   ------------      --------------

 

Ends/Saturday, July 30, 2005

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