March 2012 Quarterly Financial Report

Main key points from the report;

The Net Operating Balance of the General Government as at the end of March 2012 was a deficit of $3,983,000 made up of:
- operating revenue of $78,122,000; and
- operating expenditure of $82,105,000.

The overall decrease in revenue compared to budget is mainly attributable to:
- lower then anticipated VAT collections on the basis of the supplementary budget; and
- motor vehicle registrations – Collection of these revenues by BCI which was due by 31 March on behalf of the Ministry of Police were not fully remitted at end of March quarter.

The decrease in operating expenses to budget is largely attributed to decreases in:
- payments on behalf of the Crown, particularly the timing of the Air New Zealand subsidy payments; and
- in ministry expenditure outputs as a result of phasing issues and personnel savings from public service vacancies.

Total fiscal balance shows a requirement of $2,035,000 which will be financed from cash reserves.