Wednesday, August 3, 2016

UTAO warns of “risks” budget in the second half – RTP

| Economy

From January to June, “both the implementation of revenue and expenditure execution fell short of the planned”. That’s what completes UTAO in the note on the budget execution in the first half of this year, whose content is quoted by Lusa.

“In terms of actual revenue there is an unfavorable deviation mainly of other revenue current and capital revenue, but also the tax revenue and social contributions “signal independent technicians. On the other hand, “the actual expense showed a degree of execution below the same period of 2015, the level of subsidies, investment and procurement of goods and services”.
In last week, the Budget Directorate-General
 It revealed that the budget deficit was in the first half of 2867
 million euros, which represents a decrease of EUR 971 million
 on the first half of 2015.


 In this sense, UTAO estimates that the implementation of the second half, “entails risks.” This is because “is to provide for the acceleration of the implementation of certain expenses, including personnel expenses, purchase of goods and services and investment.” At the same time, “economic activity should grow at a slower pace than expected” in the state budget for 2016.

The Loupe UTAO focuses on the implementation of the first half “in adjusted terms of the relevant factors limiting the annual comparability “- are examples of the extraordinary transfers to the social security budget refunds of the European Union to Portugal and transfers of the European Social Fund

In public accounts, calculate the technical, the deficit. adjusted general government was, from January to June, to 2,537 million euros. It is a “first approximation to the perspective of the national accounts,” one that is taken into consideration by Brussels.

UTAO esteem, so that the budget deficit of the first half has added 2,280 million euros, “represents an improvement of 852 million euros compared to the same period”.
and must be

 Regarding the actual revenue, the UTAO points to an increase of 1.3 percent in the first six months of 2016, “compared with growth of 4.5 percent expected for the full year.” However, the degree of implementation was 45.5 percent of the predicted value, down 1.4 percentage points over the same period last year.

“For the difference between the growth rate of the executed revenues in the first half and provided for in OE2016 for the whole year contributed both current income as capital income, “write the experts.

as for the actual expense was given an increase of 1.4 percent, below the 5.9 percent registered in the budget for the whole year. In this case, the degree of implementation was 45.3 percent of the total, “below that of the same period by 2.1 percentage points.”
Sales management and pad

 Another data that protrude from the note UTAO concerns the expenditure arising from the integration of previous years management balances. In the first half, the government has used more than one third of this budget. The implementation of the expenditure in the first half
 It comprises a period twelfths regime, which remained in force
 until the adoption of the budget for 2016.

The Technical Unit explains that it is up to Parliament to do throughout the year, budget changes, by means of amending budgets. However, also the Executive can do for provisional allocation, increase own or earmarked revenue and integration management balances and prior year appropriations.

Such changes, writes UTAO, “aim ensure a balance between the budget of amounts of expenditure approved by Parliament as a whole to the central administration and ensure a budget margin to the Government to ensure the flexibility to accommodate the actual needs of each service, while respecting the principle the expense of the specification. “

Warns, however, UTAO that the integration of management balances and their implementation in spending” could result the deterioration of the fiscal balance of the year, should it be carried out the actual expense. “

Now January and June 2016, the degree of implementation of the expenditure resulting from the integration of management balances” was higher than in the same period 2015 “. . Stood at 36.1 percent in the first half, “and 13.6 percentage points higher than in the same period 2015″

UTAO also refers to the use of the reserve fund – 501, 2 million – and the budget reserve – 428.6 million euros. That is, the call financial cushion budget for 2016 amounting to 929.8 million euros.

“By June, the reafetada reserve fund stood at 15, 4 million and the budgetary reserve was used residually, “note the experts. Much of the pad remains to be redeployed.

c / Lusa

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