Government Finance Statistics
Quarterly Fiscal Bulletin January-March 2016 Page 3
to the end of the March 2015, mostly due to First Tranche Petroleum, which decreased by 70.6 compared to the same period of 2015.
2. Expenses
Expenses incurred by the 31
st
March 2016 amounted to 261.3 million, this is a 11.9 increase over Q1 2015. The GGoTL spent 249.7 million, DF spent 6.5 million whilst 5.2 million were expenditures in the
PF
2
.
a. General Government Expenditures
Expenditure categories for GGoTL are composed of:
Compensation of Employees totalled 44.3 million by the 31
st
March 2015, 5.0 higher than the 42.2 million spent by the end of the first quarter 2015.
Use of Goods Services was 34.5 million during the quarter 2016, 22.5 lower than the 45.5 million spent by the end of the first quarter 2015, as part of government policy to reduced unnecessary spending
in the government operation services.
Social benefits totalled 22.2 million in the end of the first quarter of 2016, 21.7 higher than was recorded in the same period of 2015. This was due to an increase in social assistance transfers and
personal benefit payment.
Other expenses totalled 148.6 million at the end of the first quarter of 2016, much higher than the 105.0 million recorded in the same period of 2015. The increase was strongly affected by a rise in the
transfer of public grants which reached 147.6 million by the end of the first quarter 2015.
b. Donor Fund Expenditures
DF expenditure was 6.5 million by the end of the first quarter of 2016. This was divided into: 0.9 million
spent on compensation of employees. 4.5 million spent on use of goods and services and 1.1 million on
other expenses.
c. Petroleum Fund Expenditures
Petroleum Fund expenses reached 5.2 million on management fees by the end of the first quarter of 2016. In addition to this amount, 100.0 million was transfered to the GGoTL in the form of the ESI.
3. Net Operating Balance
By the 31
st
March, the GGoTL, DF and the PF were running a net operating deficit of 5.3 million. The net operating deficit for the GGoTL without PF and DF was 212.0 million, which demonstrates the key role
that petroleum revenues play. The et operati g ala e is al ulated as re e ues i us e pe ses a d it sho s the Go er
e t’s a ilit to sustain its current level of operations, given revenues and expenses.
2
The PF transfered 100 million to the CFTL in grants on top of the 5.18 million spent on management fees.
Government Finance Statistics
Quarterly Fiscal Bulletin January-March 2016 Page 4
4. Net Acquisition of Non-Financial Assets
Net acquisition of non- fi a ial assets re ords tra sa tio s that ha ge GGoTL’s holdi gs of o -financial
assets. It is broadly equivalent to capital expenditure as recorded in the Charter of Accounts in Timor-Leste. Total acquisition of non-financial assets for the GGoTL including DF and PF stood at 8.1 million at the
close of the first quarter of 2016. 1.9 million was spent by DF and 6.2 million was spent by the GGoTL particularly on building, machinery and equipment.
5. Net LendingBorrowing
Net borrowing for the GGoTL with the PF and DF was 13.4 million at the end of the first quarter of 2016, taking into account the combination of total revenue, expenditures and acquisition of non-financial assets
Net lendingborrowing is calculated as the difference between revenues and expenditures . This means that the GGoTL with the PF and DF incurred a small deficit, which is due to lower oil revenues.
6. Net Acquisition of Financial Assets
At the 31
st
March 2016, the net acquisition of financial assets for the GGoTL, DF and the PF was -9.0 million. This was composed of two parts: a 113.8 million deficit in the GGoTL and a 104.9 million surplus
in the PF. The unrealized market value of financial assets is recorded under Other Economic Flows and reached
257.4 million the end of the first quarter of 2016. This means that the value of the investments in the PF increased by 257.4 million, following a 159 million increase in the share and other equity from Q4 2015.
This reflects improving international stock market performance and a strengthening dollar. This is also recorded separately to the net acquisition of financial assets in Table 5 of the annex, as it shows changes
in value in PF investments.
7. Net Incurrence of Liabilities
