The stock of domestic debt increased by 43 per cent year-on-year to GHs11.84 billion in 2011 from GHs8.3 billion in 2010.

The external debt stock also increased by 20.1 per cent over the end of December 2010 position to US$7.6 billion (GHs11.77 billion).

In January 2012, total revenue and grants accruing to government amounted to GHs649.3 million while expenditure was GHs1.4 billion.

This resulted in a narrow fiscal deficit of GH?756.4 million compared to a surplus of GHs107.7 million recorded for January 2011.

A recent Monetary Policy Committee (MPC) report, which disclosed this, said the deficit was financed mainly from the domestic sector of GHs679.9 million, and net foreign inflows of GHs76.6 million.”It represents 80.6 per cent of the first quarter target of GHs844 million.

“Total revenue and grants in 2011 amounted to GHs10.7 billion compared to GHs7.5 billion in 2010. Import duties, import VAT, petroleum taxes and NHIL receipts accounted for GHs3.5 billion.

“Income and property taxes were GHs3.8 billion while domestic VAT, excise duty and NHIL amounted to GHs1.3 billion. Programmed grants of GHs340.6 million also accrued.”

Total expenditure was GHs12.7 billion in 2011, compared to GHs9.2 billion in 2010. Wages, salaries and related expenditures totalled GHs5.2 billion.

The report noted that fiscal operations in 2011 resulted in a narrow budget deficit of GHs2.1 billion, adding that it was financed mainly through the issuance of domestic bonds.

“The Net Domestic Financing (NDF) of GHs2.1 billion was within the programmed target of GHs2.4 billion.”

From: Daily Guide