Books by Hani Al-Houti
Friday, May 12, 2023 05:00 PM
The state’s general budget achieved a primary surplus (total deficit without paying interest) amounting to 50 billion pounds during the period from July to March of the fiscal year 2022/2023, or 0.51% of the GDP, compared to a primary surplus of 32 billion pounds, or 0.5% of the total. GDP during the same period of the last fiscal year, compared to a primary deficit of 41.6% in the fiscal year 2015/2016, or 1.3% of the GDP.
The total deficit of the state’s general budget amounted to 5.5% due to the increase in interest expenditures that resulted from the depreciation of the pound against the dollar, the large increase in interest rates locally and abroad, and the increase in social life measures, compared to 4.9% of GDP during the same period of the last fiscal year, and against a deficit It amounted to 9.4% of the GDP during the fiscal year 2015/2016, according to the financial statement of the general budget for the new fiscal year.
The debt ratio of public budget agencies amounted to about 87.2% of GDP in June 2022 compared to 101% of GDP in June 2017, with expectations that it will rise to about 96% of GDP by the end of June 2023 as a result of the recent decline in the value of the pound against the dollar and the rise in prices. Benefit.
The statement indicated that the sustainability of financial performance and the continuity of financial discipline has been achieved at a time when inflation rates began to rise, reaching 32.7% in March 2023, which led the Central Bank to take a decision to raise the interest rate by 2% during March 2023. , from 16.75% to 18.75% to control inflationary pressures, and inflation rates recorded an annual average of 13.8% in the calendar year 2022, and 5.9% in the year 2021.