The Gambia - Public finance



The fiscal year extends from 1 July to 30 June. In the 1980s, expansionary fiscal policies exacerbated a weakening economy; by 1985, the budget deficit reached 30% of GDP. An economic recovery program was initiated to reduce public expenditures, diversify the agricultural sector, and privatize the parastatal sector. This step preceded the 1988 agreement with the IMF for a structural adjustment program which helped the economy grow at an annual rate of 4% between 1990 and 1993.

The US Central Intelligence Agency (CIA) estimates that in 2001 The Gambia's central government took in revenues of approximately $90.5 million and had expenditures of $80.9 million including capital expenditures of $4.1 million. Overall, the government registered a surplus of approximately $9.6 million. External debt totaled $440 million.

The following table shows an itemized breakdown of government revenues and expenditures. The percentages were calculated from data reported by the International Monetary Fund. The dollar amounts (millions) are based on the CIA estimates provided above.

The Gambia

REVENUE AND GRANTS 100.0% 91
Tax revenue 92.3% 84
Non-tax revenue 5.5% 5
Capital revenue 1.1% 1
Grants 1.1% 1
EXPENDITURES 100.0% 81
General public services 18.1% 15
Defense 4.3% 3
Public order and safety 4.5% 4
Education 12.3% 10
Health 7.0% 6
Social security 3.0% 2
Housing and community amenities 4.6% 4
Recreation, cultural, and religious affairs 1.5% 1
Economic affairs and services 24.3% 20
Other expenditures 3.8% 3
Interest payments 16.7% 14
Also read article about The Gambia from Wikipedia

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