Lebanon's budget gap widens 68% y/y to USD 1.9bn in Jan-June 2013

By bne IntelliNews September 19, 2013

Lebanon's budget deficit (including Treasury transactions) expanded 68% y/y to LBP 2.862tn (USD 1.9bn) in the first six months of the year as revenue shrank and spending increased, daily Al-akhbar reported on Sept 19, citing a statement by the finance ministry.

Total revenue dropped 4.3% y/y to LBP 7.318tn, whereas spending rose 8.9% to LBP 10.18tn. The primary budget surplus, excluding the cost of debt servicing, plummeted to LBP 25bn from LBP 1.164tn a year earlier. Excluding debt servicing, spending rose 12.6% y/y to LBP 7.293bn in H1.

Caretaker finance minister Mohammed Safadi has recently warned that the budget deficit would reach LBP 5.5tn by end-2013 and might expand further in 2014 if no measures were taken to boost revenue.

Custom proceeds fell 2.6% y/y to LBP 1.065tn in January-June and VAT income dropped 3.3% to LBP 1.619tn on weak tourism activity.

A weak real estate activity also reduced non-tax income by 12% y/y to LBP 1.486tn over the period. 

Read in IntelliNews Pro
Get IntelliNews Pro

Related Articles

Xlinks warns cost of Morocco-UK Power Project could rise some 25% to reach $30bn

UK renewable energy producer Xlinks, noting significant upward pressure on the cost of all energy projects, has warned that construction of the Morocco-UK Power Project could reach $27bn to $30bn, up ... more

Morocco in talks with investors to build EV battery gigafactories, says minister

The Moroccan government is in extensive talks to attract more electric vehicle (EV) battery manufacturers to support its growing automotive sector and meet soaring demand, industry and trade minister ... more

UAE’s Masdar, Uzbekhydroenergo partner up to evaluate potential of national hydro power storage

United Arab Emirates renewable energy company Masdar has partnered with Uzbekhydroenergo to evaluate the potential of national hydroelectric power storage projects. Masdar and Uzbekhydroenergo, a ... more

Follow Us On

Most Read

  1. The models are wrong, climate change is accelerating faster than predicted
    5 days ago
  2. EU finally boosts defence investment into arms production as Ukraine runs out of ammo
    1 month ago
  3. Don't mention the "D" word - Ukraine
    10 days ago
  4. The 'wet-bulb' set to kill hundreds of thousands of people if temperatures and humidity levels continue to rise
    8 days ago
  5. Russia already treating Bosnia’s Republika Srpska as an independent state
    5 days ago
  1. Russia could pay off its entire external debt tomorrow, in cash
    1 month ago
  2. Albanians campaign on social media to keep bus bridge created in freak accident
    1 year ago
  3. BRICS announce a blockchain-based payment system to create a common currency
    1 month ago
  4. Saudi Arabia to scale back plans for Neom city
    20 days ago
  5. Iran vs Israel: Who is better equipped for war?
    16 days ago

Reports

Dismiss