Uruguay - Public finance

Under the inflationary pressures of the 1990s, budgetary expenditures generally exceeded revenues, although greater fiscal austerity caused a decrease in the budget deficit. In 1998, the number of government offices was reduced by one-third. The 1998 budget deficit was 0.9% of GDP, mostly financed by external loans ($685 million). Because of falling tax revenues and increased spending, the deficit rose in 1999.

The US Central Intelligence Agency (CIA) estimates that in 2000 Uruguay's central government took in revenues of approximately $3.7 billion and had expenditures of $4.6 billion including capital expenditures of $500 million. Overall, the government registered a deficit of approximately $900 million. External debt totaled $7.7 billion.

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.


Tax revenue 87.7% 3,245
Non-tax revenue 6.9% 255
Capital revenue 0.5% 19
Grants 4.9% 181
EXPENDITURES 100.0% 4,709
General public services 4.6% 211
Defense 4.2% 194
Public order and safety 4.7% 216
Education 7.6% 348
Health 6.6% 302
Social security 56.5% 2,600
Housing and community amenities 1.6% 73
Recreation, cultural, and religious affairs 0.6% 28
Economic affairs and services 5.8% 265
Other expenditures 2.5% 113
Interest payments 7.8% 360
Also read article about Uruguay from Wikipedia

User Contributions:

Comment about this article, ask questions, or add new information about this topic: