ເງີນ ຂາຍໄມ້ຂາຍທອງຄຳ ເອົາໄປໃສໝົດ ຜູ້ນຳພັກລັດເອີຍ.....?

ພີ່ນ້ອງລາວ ຄິດຜິດແລ້ວ ເອົາພວກໂຈນມາເປັນ ຜູ້ນຳ

Govt borrows US$191 million to address budget deficit

The Lao government has borrowed 1.531 trillion kip (US$191.3 million) to secure funds for its expenditure

plans over the first six months of this fiscal year, according to a report from the Ministry of Finance.

The report, which was distributed at a meeting of government leaders and capital and provincial governors this week, shows the government borrowed around 825 billion kip (US$103.1 million) from foreign sources and 706 billion kip (US$88.2 billion) from domestic sources to address the budget deficit from October to June.

The government expects to borrow 4.528 trillion kip (US$566 million) this fiscal year to address the budget deficit as it plans to spend around 29.745 trillion kip (US$3.7 billion) while aiming to collect some 25.216 trillion kip (US$3.1 billion) in revenue.

Over the first six months of this year, the government was able to borrow only 33.8 percent of the amount that was planned.

The report also shows over the first six months of the 2013-14 fiscal year, the government collected 9.221 trillion kip (US$1.1 billion), achieving 36.5 percent of the annual plan, meaning revenue collection was significantly below what was forecast.

Income collection over the first six months of this fiscal year was supposed to reach at least 40-50 percent of the annual plan. By comparison, over the first six months of the last fiscal year, the government was able to achieve 43 percent of the revenue collection plan.

One of the main reasons the government was unable to achieve the revenue collection target is that many enterprises did not make profits after the government delayed its debt payments to them so they did not pay taxes as in previous years.

The unexpectedly low revenue collection is posing big challenges for the government to secure funds for its expenditure and investment plan.

Over the first six months of the fiscal year, the government spent 7.771 trillion kip (US$971 million), accounting for 26.1 percent of the annual plan, lower than earlier expected. Currently, the government is facing challenges making salary payments for state employees.

A number of government officials, in particular those in the countryside, have received only February's salary so far this year.

Over the first six months of this fiscal year, the government spent 3.131 trillion kip (US$391.3 million) on salaries for state employees, which is only 35.5 percent of the annual plan.

Meanwhile the government spent 2.492 trillion kip (US$311 million) on its investment projects, achieving only 25.6 percent of the annual plan.

Economists said as the government was unable to achieve its revenue targets it is facing difficulties in relation to macroeconomic management. One of the big challenges is that the government will face a higher inflation rate as large amounts of money are circulating in the economy.