First Nine Months of Financial Year Generate USD 1.99 Billion in State Revenue
The government continued allocating resources towards infrastructure and development programmes. | Photo: Envato
State revenue and grants reached USD 1.99 billion during the first nine months of the financial year, marking a 1.8 per cent increase compared to the USD 1.96 billion recorded over the same period last year, according to the latest figures released by the Ministry of Finance and Public Enterprises.
The latest Weekly Fiscal Developments Report shows that strong performance in tax collections largely drove the overall growth. Total tax receipts surged by 5.8 per cent to reach USD 1.54 billion. Although the Tourism Goods and Services Tax (TGST) experienced a slight year-on-year contraction of 1.4 per cent, it continued to serve as the single highest weekly contributor, generating USD 518.8 million in total.
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Other commercial sectors expanded at a robust pace. Receipts from general business and goods taxes expanded by 21.2 per cent to USD 369.6 million, whilst import duty collections rose by 11.4 per cent to USD 162.1 million. Furthermore, revenue generated from airport service charges and departure fees grew by 8.2 per cent, surpassing USD 97 million.
Despite higher revenue receipts, total state spending expanded rapidly, outpacing income gains. Public expenditure rose by 18.2 per cent to reach USD 2.29 billion.
A sharp 44.3 per cent surge in state grants, subsidies, and social assistance payments contributed heavily to the higher spending figure, totalising USD 654.9 million. Additionally, administrative and operational overheads grew by 23.8 per cent to stand at USD 1.19 billion.
The government continued allocating resources towards infrastructure and development programmes. Capital expenditure expanded by 15.9 per cent over the nine-month period, reaching USD 311.2 million.
Spending on land acquisition and building construction witnessed a substantial 34.1 per cent increase to USD 94.23 million. Simultaneously, capital outlays for harbour development and general utility infrastructure rose by 38.4 per cent and 37.5 per cent respectively.
