Deficit of government budget decreased by 56.7 percent

Economy
unurzul@montsame.gov.mn
2020-10-14 12:10:59

Ulaanbaatar/MONTSAME/. According to the preliminary results in the first nine months of 2020, the total revenue of the general government budget was MNT 7.3 trillion. The equilibrated revenue of the general government budget was MNT 6.7 trillion and 91.6% of the total revenue of the general government budget. On the other hand, the total expenditure and net lending was MNT 9.4 trillion in the first nine months of 2020, resulting in a deficit of MNT 2.7 trillion in the equilibrated balance.


In September 2020, the total equilibrated revenue and grants of the general government budget was MNT 1.0 trillion, increased by MNT 202.9 billion or 25.4%, the total expenditure and net lending was MNT 1.1 trillion, increased by MNT 94.7 billion or 9.6% compared to the previous month.


In September 2020, the equilibrated balance of the general government budget was in deficit of 82.7 billion, decreased by MNT 108.2 billion or 56.7% compared to the previous month.


The General government budget revenue was comprised of 83.3% of tax revenue, 8.3% of non-tax revenue, 8.0% of the future heritage fund and 0.4% of the stabilization fund.


In the first nine months of 2020, tax revenue reached MNT 6.1 trillion, decreased by MNT 0.9 trillion or 13.1% compared to the same period of the previous year. This decrease was mainly due to MNT 330.9 billion or 18.5% decrease in income tax revenue, MNT 183.9 billion or 13.0% decrease in social security revenue, MNT 149.4 billion or 22.0% decrease in other taxes revenue MNT 146.9 billion or 8.3% decrease in value-added tax revenue, MNT 74.7 billion or 11.4% decrease in excise tax revenue and MNT 33.4 billion or 5.7% decrease in foreign activity revenue.


In the first nine months of 2020, 23.9% of the total tax revenue was accumulated from income tax, 20.2% from social security contributions, 26.6% from value-added tax, 9.5% from excise taxes, 9.0% from foreign activities, and 10.8% from other taxes. In the first nine months of 2020, value-added tax revenue increased by 1.4 percentage points, foreign activity revenues increased by 0.7 percentage points and excise taxes revenue increased by 0.2 percentage points, while other taxes revenue decreased by 0.7 percentage points, income taxes revenue decreased by 1.6 percentage points сompared to the same period of the previous year.


In the first nine months of 2020, general government budget expenditure and net lending was MNT 9.4 trillion, increased by MNT 2.2 trillion or 30.0% compared to the same period of the previous year. This increase was primarily affected by MNT 1.7 trillion or 29.6% increase in current expenditure and MNT 610.0 billion or 46.2% increase in capital expenditure. However, net lending decreased by MNT 147.1 billion or 91.6%, compared to the same period of the previous year.

In the current expenditure, 42.4% was expenditure on goods and services, 46.3% was current transfers, 7.7% was interest payment, and 3.6% was subsidies.


In the first nine months of 2020, the capital expenditure amounted to MNT 1.9 trillion, increased by MNT 610.0 billion, or 46.2% compared to the same period of the previous year.


The increase in the capital expenditure was mainly resulted from MNT 228.0 billion or 23.6% increase in construction expenditure, MNT 169.2 billion or 81.6% increase in other capital expenditure, MNT 204.3 billion or 4.3 times increase in equipment expenses and MNT 4.9 billion or 6.4% increase in capital repairs expenditure compared to the same period of the previous year.


In the total capital expenditure, 61.8% was construction expenses, 19.5% was other capital expenses, 13.8% was equipment expenses, 4.2% was capital repairs expenses and 0.7% was strategy reserve fund capital expenses. In the first nine months of 2020, other capital expenses increased by 3.8 percentage points and equipment expenses increased by 9.2 percentage points, while construction expenses decreased by 11.3 percentage points, capital repairs expenses decreased by 1.6 percentage points and strategy reserve fund capital expenses decreased by 0.1 percentage points as compared to the same period of the previous year.


Source: National Statistics Office