JAM | May 7, 2023

Government of Jamaica revenues now running below projections

/ Our Today

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Expenditures also running behind budget

File Photo: Dr Nigel Clarke, minister of finance and the public service, making his opening contribution to the 2023-2024 Budget Debate in the House of Representatives.

Durrant Pate/Contributor

Government of Jamaica (GOJ) revenues, which have consistently been running ahead of schedule, is now falling behind.

The GOJ is reporting that for the period of April to March 2023, total revenues and grants amounted to J$827.78 billion, which is J$19.08 billion less than the projection. However, at this level, revenues and grants are still ahead by 15.5 per cent relative to the J$716.90 billion recorded for the corresponding period in 2022. 

‘Capital Revenue’ recorded nil during the period, relative to the budgeted amount of J$190.30 million. Conversely, ‘Bauxite Levy’ amounted to J$1.27 billion during the review period, relative to the budgeted amount of J$1.21 billion.

‘Grants’ closed the period at J$6.34 billion, which is J$456 million less than the budgeted amount. ‘Tax Revenue’ closed at J$752.84 billion, which is J$18.64 billion less than the budgeted amount.

‘Non-Tax Revenue’ of J$67.33 billion was reported, which Is 0.2 per cent higher than the budgeted amount.  

Expenditure performance

File Photo: Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, addresses the ground-breaking ceremony for the new Christiana Tax office at Straun Castle in Manchester on Thursday, February 23.

Total expenditure for the period April to March 2023 amounted to J$819.99 billion, which is J$19.94 billion less than the budgeted amount of J$839.93 billion. Recurrent expenditure, which totalled J$766.80 billion, accounted for 94 per cent of overall expenditures. 

Under the recurrent expenditure categories for the review period, the category above the budgeted amount was ‘Interest’ which totalled J$151.38 billion, which is J$180.30 million above the budgeted amount.  The categories below the budgeted amount included ‘Programmes’ which was J$277.30 billion, which is J$8.90 billion below the budgeted amount.

‘Compensation of Employees’ totalled J$338.13 billion, which is J$6.38 billion below the budgeted amount of J$344.51 billion. ‘Wages & Salaries’ amounted to J$317.88 billion that is J$127.80 million below the budgeted amount of J$318.01 billion. 

‘Employee Contribution’ totalled J$20.24 billion, which is J$6.25 billion below the budgeted amount of J$26.50 billion.  The ‘Fiscal Surplus’ was J$7.79 billion, relative to a ‘Projected Surplus’ of J$6.92 billion. 

Additionally, the ‘Primary Surplus Balance’ for the period amounted to J$159.16 billion, relative to the ‘Budgeted Primary Surplus Balance’ of J$158.11 billion.


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