The Ministry of Finance and Planning has announced a notable enhancement in the country's fiscal position, attributing this positive trend to increased revenue from Goods and Services Tax (GST) on tourism goods and services, alongside higher land sale and transfer fees.
The latest Weekly Fiscal Development Report reveals a robust growth in government revenues, providing a promising outlook for the nation's financial health.
As of 27 November, the government's revenue has reached USD 2.3 billion, marking a 9.4 percent increase compared to USD 2.1 billion during the same period last year. This growth is primarily fueled by an increase in tax revenues, which rose from USD 1.6 billion to USD 1.7 billion, a gain of 8.3 percent. The Goods and Services Tax (GST) remains the largest contributor, generating USD 933.9 million, up 12.4 percent from USD 830.1 million in the previous year.
Non-tax revenue has also shown significant improvement, climbing to USD 557.7 million—an increase of 19.4 percent from last year. Notably, revenue from land acquisition and conversion fees surged from USD 28.2 million to USD 36.2 million, reflecting a remarkable 27.7 percent year-on-year growth.
In addition to revenue growth, the contributions to the Sovereign Development Fund (SDF) have significantly increased, reaching USD 155.6 million—an impressive rise of 84.6 percent from the same period last year.
The fiscal report also highlights the narrowing of the total deficit, which decreased to USD 90.8 million from USD 661.5 million the previous year. Additionally, the primary balance has shifted from a deficit of USD 382.6 million to a surplus of USD 180.4 million, illustrating effective revenue management and expenditure control.
Total government expenditure has also fallen, with recurrent and capital expenditures decreasing from USD 2.7 billion to USD 2.4 billion, representing a 13.2 percent reduction compared to the same period last year. This marked decline in spending is a strategic move to enhance fiscal stability while focusing on essential developmental projects.