AG’s Report: Govt recorded RM264.415b revenue in 2019

KUALA LUMPUR (Nov 5): The federal government recorded a revenue of RM264.415 billion in 2019, a 13.5% (RM31.532 billion) increase compared to 2018.

Meanwhile, operating expenditure approved last year amounted to RM260.547 billion while actual expenditure amounted to RM263.343 billion said the Auditor-General’s (AG) 2019 Report on the federal government’s financial statement released today.

“Expenses due to national debt (interest, dividends, and other charges) amounted to RM32.933 billion or 12.5% of the operating expenses.

“This expenditure increased by a total of RM2.386 billion or 7.8% compared to 2018 which amounted to RM83.050 billion because it was not budgeted for under the management allocation but was paid directly from the Consolidated Loan Account, ” it said.

Additionally on the ministries and federal departments’ development expenditure the AG said RM54.173 billion or 104.6%, was spent from the allocation approved in 2019.

According to the report the federal government had a RM51.370 billion deficit with a deficit-gross domestic product (GDP) ratio of 3.4%.

“The deficit was offset by new loans amounting to RM138.559 billion and of the total loans, RM83.05 billion or 59.9% was used to repay matured debts.

“The federal debt stood at RM792.998 billion, a 7% increase compared to RM741.094 billion in 2018, the debt-GDP ratio is 52.5%,” it said.

Of the total debt amount, 96.4% was domestic debt with the balance of 3.6% being off-shore loans, the total federal government debt and liabilities in 2019 is RM1.080 billion.

Meanwhile, audit on state government’s financial statements for the year ending December 2019 found that all 13 state governments’ financial statements were given opinions without reprimand.

The audit analysis showed that all financial statements had presented a true and fair view of the financial position of the state government and the accounting records were complete and updated.

The National Audit Department had conducted 28 compliance audits at the state government level involving one ministry in Sarawak, 23 departments and 14 state agencies in 2019/2020.

“Among the main findings were occurrence of irregular payments, revenues not collected in an orderly manner and weaknesses in government procurement, it said.

The AG’s report on the federal government’s financial statement for 2019 will be uploaded on the National Audit Department’s website after its presentation in the Dewan Rakyat.

The public may view this statement at http://www.audit.gov.my from tomorrow after 10am.

Source: TheEdgeMarkets