**********************************************************
The Government announced today (February 29) its financial results for the 10 months ended January 31, 2008.
There was a surplus of $36.4 billion in January, thereby bringing a surplus of $122.6 billion up to end of January 2008. Expenditure for the period April 2007 to January 2008 amounted to $192.2 billion and revenue $314.8 billion.
A government spokesman explained that the surplus in January was mainly due to the collection of salaries tax and profits tax. Taking into account the forecast financial results for February and March 2008, we expected the overall surplus for 2007-08 would be $115.6 billion.
The fiscal reserves stood at $491.9 billion as at January 31, 2008.
More detailed figures are shown in Tables 1 and 2.
Table 1. Consolidated account
Month ended Ten months ended
January 31, 2008 January 31, 2008
HK$ million HK$ million
Revenue 58,035.7 314,774.3
Expenditure (21,613.2) (192,157.2)
---------- -----------
Surplus 36,422.5 122,617.1
--------- ---------
Financing
Domestic
Banking Sector (Note 1) (35,814.5) (123,662.4)
Non-Banking Sector (608.0) 1,045.3
External - -
--------- ----------
Total (36,422.5) (122,617.1)
---------- ----------
Government Debts as at
January 31, 2008 (Note 2)
HK$20,276.1 million
Debts Guaranteed by Government
as at January 31, 2008 (Note 3)
HK$4,235.6 million
Table 2. Fiscal reserves
Month ended Ten months ended
January 31, 2008 January 31, 2008
HK$ million HK$ million
Fiscal Reserves
at start of period 455,458.8 369,264.2
Add : Consolidated
Surplus 36,422.5 122,617.1
--------- ---------
Fiscal Reserves at
end of period 491,881.3 491,881.3
---------- ----------
Notes :
1. Includes transactions with the Exchange Fund and resident banks.
2. The total government debts of $20,276.1 million as at January 31, 2008 comprise :
(i) Toll Revenue Bond of $2,825.3 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 $17,450.8 million (including US$1.25 billion denominated in United States dollars). Of the outstanding amount, the retail bonds of $2,700 million will mature in July 2008 and the institutional notes totalling $14,750.8 million will mature within the period July 2009 to July 2019.
3. Includes guarantees provided under the Special Finance Scheme for Small and Medium Enterprises, the SME Loan Guarantee Scheme, the Film Guarantee Fund and the Loan Guarantee Scheme for Severe Acute Respiratory Syndrome Impacted Industries.
Ends/Friday, February 29, 2008
Issued at HKT 16:15
NNNN
