The Government announced today (August 31) its financial results for the four months ended July 31, 2020.
Expenditure for the period April to July 2020 amounted to HK$289.8 billion and revenue HK$106.1 billion, resulting in a cumulative year-to-date deficit of HK$183.7 billion.
A government spokesperson said that the cumulative year-to-date deficit for the period was mainly due to the fact that some major types of revenue including salaries and profits taxes are mostly received towards the end of a financial year, and the payments in respect of the Cash Payout Scheme and various measures under the Anti-epidemic Fund.
The fiscal reserves stood at HK$976.6 billion as at July 31, 2020.
Detailed figures are shown in Tables 1 and 2.
TABLE 1. CONSOLIDATED ACCOUNT (Note 1)
| Month ended July 31, 2020 HK$ million |
Four months ended July 31, 2020 HK$ million |
|
| Revenue | 38,239.1 | 106,076.6 |
| Expenditure | (112,928.8) | (289,766.1) |
| Deficit | (74,689.7) | (183,689.5) |
| Financing | ||
| Domestic | ||
| Banking Sector (Note 2) | 94,522.0 | 201,382.4 |
| Non-Banking Sector | (19,832.3) | (17,692.9) |
| External | – | – |
| Total | 74,689.7 | 183,689.5 |
Government Debts as at July 31, 2020 (Note 3)
HK$7,750 million
Debts Guaranteed by Government as at July 31, 2020 (Note 4)
HK$53,093.8 million
TABLE 2. FISCAL RESERVES
| Month ended July 31, 2020 HK$ million |
Four months ended July 31, 2020 HK$ million |
|
| Fiscal Reserves at start of period | 1,051,308.0 | 1,160,307.8 |
| Consolidated Deficit | (74,689.7) | (183,689.5) |
| Fiscal Reserves at end of period (Note 5) | 976,618.3 | 976,618.3 |
Notes:
1. This Account consolidates the General Revenue Account and the following eight Funds: Capital Works Reserve Fund, Capital Investment Fund, Civil Service Pension Reserve Fund, Disaster Relief Fund, Innovation and Technology Fund, Land Fund, Loan Fund and Lotteries Fund. It excludes the Bond Fund, the balance of which is not part of the fiscal reserves. The Bond Fund balance as at July 31, 2020, was HK$118,573 million.
2. Includes transactions with the Exchange Fund and resident banks.
3. These were the green bonds of US$1,000 million (equivalent to HK$7,750 million as at July 31, 2020) which were denominated in US dollars with maturity in May 2024. They do not include the outstanding bonds with nominal value of HK$88,534 million and alternative bonds with nominal value of US$1,000 million (equivalent to HK$7,750 million as at July 31, 2020) issued under the Government Bond Programme (with proceeds credited to the Bond Fund). Of these bonds under the Government Bond Programme (including Silver Bonds with nominal value of HK$5,934 million, which may be redeemed before maturity upon request from bond holders), bonds with nominal value of HK$9,500 million will mature within the period from August 2020 to July 2021 and the rest within the period from August 2021 to March 2034.
4. Includes guarantees provided under the SME Loan Guarantee Scheme launched in 2001, the Special Loan Guarantee Scheme launched in 2008, the SME Financing Guarantee Scheme launched in 2012 and a commercial loan of the Hong Kong Science and Technology Parks Corporation.
5. Includes HK$219,730 million being the balance of the Land Fund held in the name of "Future Fund" as from January 1, 2016, for long-term investments initially up to December 31, 2025. As from July 1, 2016, the Future Fund also includes HK$4,800 million, being one-third of the actual surplus in 2015-16 as top-up.
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