The General Treasury of the Kingdom has just published its monthly bulletin of public finance statistics (BMSFP) for the month of May 2023, recording several developments, particularly in terms of revenue, expenditure, but also balances. Here are the details.
At the end of May 2023 and compared to the same period of 2022, the execution of the finance law, on the basis of revenue collected and expenditure issued, shows the main changes below:
Customs revenue on the rise
Last month’s BMSFP recorded an increase in gross revenue of 8.5%, resulting mainly from the increase in net customs revenue reaching 33.65 billion dirhams at the end of May 2023 against 33.05 billion dirhams a year earlier, i.e. 1.8 % or +600 MDH compared to their level at the end of May 2022, taking into account reimbursement, tax relief and refunds of 30 MDH for the first five months of 2023 against 153 MDH for the same period of 2022.
Revenues net of customs duties stopped in May 2023 having reached 5.80 billion dirhams, up 10.4% compared to the end of May 2022 (5.25 billion dirhams). Net revenue from value added tax (VAT) on imports stood at 21.52 billion dirhams at the end of May 2023, up 1.4% or +299 million dirhams. VAT on energy products fell by 4% or -187 MDH and that on other products increased by 2.9% or +486 MDH.
Net receipts from ICT on energy products, for their part, fell by 3.8% to 6.32 billion dirhams, taking into account refunds, tax relief and refunds of 17 million dirhams at the end of May 2023 against 125 million dirhams a year earlier. .
In addition, gross customs revenue was 33,685 MDH at the end of May 2023 against 33,208 MDH a year earlier, up 1.4% or +477 MDH compared to May 2022.
Expenditure based on emissions
The TGR noted that at the end of May 2023, expenditure commitments, including those not subject to prior commitment visa, amounted to 330.9 billion dirhams, representing an overall expenditure commitment rate of 45% and an issue rate on commitments of 79%, ie the same levels respectively a year earlier.
As for expenditure issued under the general budget, this was 210 billion dirhams at the end of May 2023, up 12.4% compared to their level at the end of May 2022, due to the increase of 3.2 % operating expenditure, 15.9% of investment expenditure and 35.9% of budgeted debt charges.
According to the TGR, the increase in budgeted debt charges of 35.9% is explained by the 42.5% increase in principal repayments (40.9 billion dirhams against 28.7 billion dirhams) and 18.7% debt interest (13 billion dirhams against 10.9 billion dirhams).
For their part, operating expenses issued were 118.4 billion dirhams, of which 63.5 billion dirhams concerned salaries and wages which recorded an increase of 2.3%. Material expenses increased by 13.8% (32.4 billion dirhams against 28.5 billion dirhams) and expenses for common charges fell by 7.6% (17.9 billion dirhams against 19.4 billion dirhams) due to the 42.6% decrease in offset emissions (9 billion dirhams against 15.7 billion dirhams).
The share of the general budget in tax refunds, reliefs and refunds decreased by 3.6% due to the drop in domestic VAT refunds (3,302 MDH against 4,137 MDH).
The amount of tax refunds, reliefs and refunds charged to the general budget fell by 3.6% due in particular to the drop of 835 million dirhams in refunds of domestic VAT and the increase of 741 million dirhams in corporate tax refunds, being clarified that the VAT refund arrears and IS refund requests were respectively 33.8 billion dirhams and 4.2 billion dirhams at the end of December 2022.
Negative balance and Treasury deficit
Based on the revenue collected and expenditure issued, the execution of the finance law shows a negative ordinary balance of 5.27 billion dirhams against 9.39 billion dirhams a year earlier as well as a Treasury deficit of 20.3 billion dirhams , taking into account a positive balance of 22.7 billion dirhams generated by the special accounts of the Treasury (CST) and the State services managed autonomously (SEGMA), against 14.5 billion dirhams at the end of May 2022.
Regarding investment expenditure issued under the general budget, it amounted to 37.7 billion dirhams at the end of May 2023 against 32.5 billion dirhams a year earlier, up 15.9% or +5.2 billion dirhams , following the increase in ministry expenditure by 1.5% and expenditure on common charges by 30.9%. Investment expenditure takes into account payments to special Treasury accounts for an amount of 15.5 billion dirhams against 14.3 billion dirhams at the end of May 2022.
The change in the structure of general budget expenditure between the end of May 2022 and the end of May 2023 shows a drop in the share of personnel expenditure, issuance of compensation and reimbursements, tax relief and refunds, combined with an increase in the share of material expenditure, interest on debt and capital expenditure.