Manama, Aug. 5 (BNA): Bahrain’s Ministry of Finance and National Economy today announced a major reduction in the budget deficit as of mid-year 2019, putting the Kingdom well ahead of its projected deficit reduction schedule.
Bahrain’s annual account close for the 2018 fiscal year places the budget deficit at BHD 894.9 million, 33.8 per cent lower than the Kingdom’s previously forecasted deficit of BHD 1,352.6 million.
The actual deficit recorded during the first half of this year amounted to BHD 404 million, BHD 245.9 million lower than the BHD 650 million half-year deficit recorded during 2018.
The announcement follows the completion of the Kingdom’s consolidated annual accounts closing report and the performance report of the implementation of the state budget for the fiscal year 2018.
Actual revenue recorded in the 2018 fiscal year was BHD 2,775.4 million, an increase of 17 per cent over the approved budget, while total actual expenditure amounted to BHD 3,670.3 million, a decrease of 1.4 per cent compared with the approved budget of BHD 3,724.2 million.
Total actual revenue for the period ending 30 June 2019 rose by 18.8 per cent to BHD 1,274.4 million, an increase of BHD 202.1 million from BHD 1,072.3 million the year before. Total actual expenditure for the period was BHD 1,678.4 million compared with BHD 1,722.4 million the year before, a reduction of BHD 43.9 million or 2.5 per cent.
The Minister of Finance and National Economy, HE Shaikh Salman bin Khalifa Al Khalifa stated: ‘The results demonstrate Bahrain’s commitment to balancing fiscal responsibility with economic growth and are a direct consequence of initiatives launched under the Fiscal Balance Program, which is ensuring the Kingdom continues to see diversified and sustainable economic development.’