Australian Government General Government Sector Monthly Financial Statements March 2017

Senator the Hon Mathias Cormann
Minister for Finance

MC 15/17
Friday, 5 May 2017

Australian Government General Government Sector Monthly Financial Statements March 2017

Print Version PDF icon

KEY POINTS

  • The underlying cash balance for the 2016-17 financial year to 31 March 2017 was a deficit of $38,907 million.
  • The fiscal balance for the 2016-17 financial year to 31 March 2017 was a deficit of $37,365 million.

AGGREGATES

ACTUAL
2016-2017
March
$m
ACTUAL
2016-2017
YTD March
$m
MYEFO Profile
2016-2017
YTD March
$m
MYEFO ESTIMATE*
2016-2017
Full Year
$m
Revenue 36,128 297,457 294,077 411,112
Expenses 37,250 333,845 336,305 448,642
Net operating balance -1,122 -36,388 -42,227 -37,530
Net capital investment -224 977 1,518 3,953
Fiscal balance -898 -37,365 -43,746 -41,482
Receipts(a) 33,946 289,380 289,046 407,350
less Payments(b) 35,773 325,473 326,990 441,063
less Net Future Fund earnings 438 2,814 2,324 2,801
Underlying cash balance(c) -2,265 -38,907 -40,267 -36,514
Headline cash balance -2,558 -46,258 -50,758 -52,505
Total assets   511,664   522,675
Total liabilities   938,507   803,396
Net worth(d)   -426,842   -280,721
Net debt(e)   320,025   317,193

*As published in the 2016-17 MYEFO.
(a) Cash receipts for operating activities and sales of non-financial assets.
(b) Cash payments for operating activities, purchases of non-financial assets and net acquisition of assets under finance leases.
(c) Excludes net Future Fund earnings. Consistent with Budget documents, the net adjustment for the Future Fund is shown separately.
(d) Net worth is calculated as total assets minus total liabilities.
(e) Net debt equals the sum of deposits held, government securities, loans and other borrowing, minus the sum of cash and deposits, advances paid, and investments, loans and placements.

Care needs to be taken when comparing monthly or cumulative data across years and to full-year estimates, as revenues and expenses vary from month to month.

 

FISCAL OUTCOMES

Underlying Cash Balance

The underlying cash balance for the financial year to 31 March 2017 was a deficit of $38,907 million, which is $1,361 million lower than the 2016-17 Mid-Year Economic and Fiscal Outlook (MYEFO) profile deficit of $40,267 million.

  • Receipts
    Total receipts were $334 million higher than the 2016-17 MYEFO profile.
  • Payments
    Total payments were $1,516 million lower than the 2016-17 MYEFO profile.

Fiscal Balance

The fiscal balance for the year to 31 March 2017 was a deficit of $37,365 million, which is $6,381 million lower than the 2016-17 MYEFO profile deficit of $43,746 million. The difference results from higher than expected revenue and lower than expected expenses.

Assets and Liabilities

As at 31 March 2017:

  • Net worth is negative $426,842 million;
  • Net debt is $320,025 million; and
  • Net financial liabilities are $614,994 million. 
Senator the Hon Mathias Cormann
Minister for Finance
Rosemary Huxtable PSM
Secretary
Department of Finance
Media Contact  
Karen Wu      0428 350 139

 

Australian Government general government sector operating statement

 NoteACTUAL
2016-2017
March
$m
ACTUAL
2016-2017
YTD March
$m
MYEFO Profile
2016-2017
YTD March
$m
MYEFO ESTIMATE*
2016-2017
Full Year
$m
Revenue          
Taxation revenue 1, 2 33,899 278,113 276,268 386,345
Sales of goods and services   726 6,347 6,292 8,905
Interest income   305 2,689 2,714 3,771
Dividend income   403 2,528 1,986 2,687
Other   795 7,780 6,817 9,404
Total revenue   36,128 297,457 294,077 411,112
Expenses          
Gross operating expenses          
Wages and salaries(a)   1,722 14,323 14,670 20,060
Superannuation   858 7,444 7,390 9,720
Depreciation and amortisation   749 6,108 5,935 7,855
Supply of goods and services   7,855 65,119 65,197 87,762
Other operating expenses(a)   513 4,253 4,258 5,572
Total gross operating expenses   11,696 97,247 97,451 130,969
Superannuation interest expense   746 6,718 6,448 8,446
Interest expenses   1,513 12,714 12,716 17,637
Current transfers          
Current grants   10,431 103,400 102,599 135,615
Subsidy expenses   1,110 9,824 9,917 13,509
Personal benefits   10,865 98,366 99,214 129,749
Total current transfers   22,407 211,590 211,730 278,873
Capital transfers          
Mutually agreed write-downs   115 944 1,111 1,479
Other capital grants   772 4,633 6,849 11,239
Total capital transfers   888 5,576 7,960 12,718
Total expenses 3 37,250 333,845 336,305 448,642
Net operating balance   -1,122 -36,388 -42,227 -37,530
Other economic flows          
- included in operating result          
Net write-downs of assets (including bad and doubtful debts)   -1,197 -7,642 -6,395 -8,178
Assets recognised for the first time   25 232 260 328
Liabilities recognised for the first time   0 0 0 0
Actuarial revaluations   0 0 0 -8
Net foreign exchange gains   -9 1,912 1 -187
Net swap interest received   71 96 45 45
Market valuation of debt   -1,181 20,542 23,810 24,243
Other gains/(losses)   178 1,821 3,027 4,558
Total other economic flows          
- included in operating result   -2,113 16,960 20,747 20,801
Operating result (b)   -3,235 -19,428 -21,480 -16,728
Non-owner movements in equity          
Revaluation of equity investments(c)   3 5 0 -4,846
Actuarial revaluations   0 0 1 1,665
Other economic revaluations(d)   255 11,144 12,159 175
Total other economic flows - included in equity   259 11,150 12,159 -3,006
Comprehensive result - Total change in net worth   -2,976 -8,278 -9,321 -19,734
Net operating balance   -1,122 -36,388 -42,227 -37,530
Net acquisition of non-financial assets          
Purchases of non-financial assets   1,198 7,527 7,491 12,284
less Sales of non-financial assets   384 500 109 897
less Depreciation   749 6,108 5,935 7,855
plus Change in inventories   -290 -19 44 421
plus Other movements in non-financial assets   2 76 27 0
Total net acquisition of non-financial assets   -224 977 1,518 3,953
Fiscal balance (Net lending/borrowing)(e)   -898 -37,365 -43,746 -41,482

*As published in the 2016-17 MYEFO.
(a) Consistent with Australian Bureau of Statistics' (ABS) Government Finance Statistics (GFS) classification, other employee related expenses are reported under other operating expenses.  Total employee expenses equal wages and salaries plus other operating expenses.
(b) Operating result under Australian Accounting Standards.
(c) Reflects changes in the market valuation of investments and any revaluations at the point of disposal or sale.
(d) Largely reflects other revaluation of assets and liabilities.
(e) The term fiscal balance is not used by the ABS.

 

Australian Government general government sector balance sheet

 ACTUAL
as at
31 March 2017
$m
MYEFO ESTIMATE*
as at
30 June 2017
$m
Assets    
Financial assets    
Cash and deposits 4,482 2,942
Advances paid 55,464 59,987
Investments, loans and placements 168,837 177,400
Other receivables 52,602 47,959
Equity investments    
Investments in other public sector entities 52,375 51,944
Equity accounted investments 287 299
Investments - shares 41,839 43,343
Total financial assets 375,887 383,874
Non-financial assets    
Land 10,550 10,613
Buildings 25,567 25,982
Plant, equipment and infrastructure 71,901 73,645
Inventories 8,486 8,499
Intangibles 7,182 8,097
Investment property 139 164
Biological assets 42 49
Heritage and cultural assets 11,505 11,413
Assets held for sale 227 227
Other non-financial assets 179 112
Total non-financial assets 135,777 138,801
Total assets 511,664 522,675
Liabilities    
Interest bearing liabilities    
Deposits held 227 217
Government securities 530,813 540,184
Loans 16,091 15,455
Other borrowing 1,678 1,666
Total interest bearing liabilities 548,809 557,522
Provisions and payables    
Superannuation liability(a) 322,309 175,047
Other employee liabilities 18,617 18,638
Suppliers payable 3,111 6,358
Personal benefits provisions and payable 13,353 12,677
Subsidies provisions and payable 454 931
Grants provisions and payable 11,005 11,710
Other provisions and payables 20,849 20,513
Total provisions and payables 389,698 245,874
Total liabilities 938,507 803,396
Net worth(b) -426,842 -280,721
Net financial worth(c) -562,619 -419,522
Net financial liabilities(d) 614,994 471,466
Net debt(e) 320,025 317,193

*As published in the 2016-17 MYEFO.
(a) For budget reporting purposes, a discount rate applied by actuaries in preparing Long Term Cost Reports is used to value the superannuation liability. This reduces the volatility in reported liabilities that would occur from year to year if the long-term government bond rate were used. Consistent with Australian Accounting Standards, the long-term government bond rate as at 30 June is used to calculate the superannuation liability for the purpose of actuals reporting.
(b) Net worth is calculated as total assets minus total liabilities.
(c) Net financial worth equals total financial assets minus total liabilities.
(d) Net financial liabilities equals total liabilities less financial assets other than investments in other public sector entities.
(e) Net debt equals the sum of deposits held, government securities, loans and other borrowing, minus the sum of cash and deposits, advances paid, and investments, loans and placements.

 

Australian Government general government sector cash flow statement (a)

 ACTUAL
2016-2017
March
$m
ACTUAL
2016-2017
YTD March
$m
MYEFO Profile
2016-2017
YTD March
$m
MYEFO ESTIMATE*
2016-2017
Full Year
$m
Cash receipts from operating activities        
Taxes received 32,000 268,221 268,030 378,756
Receipts from sales of goods and services 707 6,227 5,947 8,766
Interest receipts 195 2,253 2,199 2,990
Dividends and income tax equivalents 388 5,767 5,269 5,828
Other receipts 628 6,769 6,995 8,673
Total operating receipts 33,918 289,236 288,440 405,013
Cash payments for operating activities        
Payments for employees -2,416 -20,015 -19,898 -28,259
Payments for goods and services -8,303 -66,632 -65,993 -87,328
Grants and subsidies paid -11,813 -117,499 -118,888 -159,698
Interest paid -638 -9,533 -9,568 -15,377
Personal benefit payments -10,748 -99,935 -101,068 -132,884
Other payments -571 -4,648 -3,955 -5,235
Total operating payments -34,489 -318,262 -319,369 -428,781
Net cash flows from operating activities -571 -29,025 -30,929 -23,768
Cash flows from investments in
   non-financial assets
       
Sales of non-financial assets 28 144 606 2,337
Purchases of non-financial assets -1,284 -7,202 -7,618 -12,282
Net cash flows from investments in
   non-financial assets
-1,256 -7,059 -7,012 -9,945
Net cash flows from investments in
   financial assets for policy purposes
-731 -10,165 -12,815 -18,792
Cash flows from investments in
   financial assets for liquidity purposes
       
Increase in investments -16,926 -17,942 -4,516 -27,724
Net cash flows from investments in
   financial assets for liquidity purposes
-16,926 -17,942 -4,516 -27,724
Cash flows from financing activities        
Borrowing (net) 17,827 67,025 61,088 82,682
Other financing (net) -84 -1,990 -1,956 -3,149
Net cash flows from financing activities 17,743 65,035 59,132 79,533
Net increase/(decrease) in cash held -1,740 844 3,861 -696
Net cash flows from operating activities
   and investments in non-financial assets
     (Surplus(+)/deficit(-))
-1,827 -36,084 -37,941 -33,713
Finance leases and similar arrangements(b) 0 -9 -3 0
GFS cash surplus(+)/deficit(-) -1,827 -36,093 -37,944 -33,713
less Net Future Fund earnings 438 2,814 2,324 2,801
Equals underlying cash balance(c) -2,265 -38,907 -40,267 -36,514
plus Net cash flows from investments in
   financial assets for policy purposes
-731 -10,165 -12,815 -18,792
plus Net Future Fund earnings 438 2,814 2,324 2,801
Equals headline cash balance -2,558 -46,258 -50,758 -52,505

*As published in the 2016-17 MYEFO.
(a) A positive number denotes a cash inflow; a negative sign denotes a cash outflow.
(b) The acquisition of assets under finance leases decreases the underlying cash balance.The disposal of assets previously held under finance leases increases the underlying cash.
(c) The term underlying cash balance is not used by the Australian Bureau of Statistics.

 

Note 1: Income Tax

 ACTUAL
2016-2017
March
$m
ACTUAL
2016-2017
YTD March
$m
MYEFO Profile
2016-2017
YTD March
$m
MYEFO ESTIMATE*
2016-2017
Full Year
$m
Individuals and other withholding taxes        
Gross income tax withholding 16,578 135,423 135,520 180,680
Gross other individuals 5,133 29,540 29,012 46,700
less Refunds 1,225 24,657 25,185 28,900
Total individuals and other withholding taxation 20,486 140,306 139,346 198,480
Fringe benefits tax 49 3,069 3,133 4,540
Company tax 6,145 49,345 48,706 68,700
Superannuation funds 321 6,282 6,434 8,080
Resource rent taxes 5 744 694 920
Total income taxation revenue 27,006 199,746 198,313 280,720

*As published in the 2016-17 MYEFO.

 

Note 2: Indirect Tax

 ACTUAL
2016-2017
March
$m
ACTUAL
2016-2017
YTD March
$m
MYEFO Profile
2016-2017
YTD March
$m
MYEFO ESTIMATE*
2016-2017
Full Year
$m
Goods and services tax 3,536 46,331 46,349 62,410
Wine equalisation tax 54 636 659 910
Luxury car tax 57 493 469 640
Excise duty 1,752 16,343 16,174 21,410
Customs duty 968 9,949 9,977 14,260
Other indirect tax 527 4,617 4,327 5,995
Total indirect taxation revenue 6,893 78,367 77,955 105,625

*As published in the 2016-17 MYEFO.

 

Note 3: Total expenses by function

 ACTUAL
2016-2017
March
$m
ACTUAL
2016-2017
YTD March
$m
MYEFO ESTIMATE*
2016-2017
Full Year
$m
Expenses by function      
General public services(a) 4,856 19,369 26,991
Defence(a) -405 19,795 26,816
Public order and safety 376 3,566 5,117
Education 1,842 26,931 33,339
Health 6,753 54,667 72,842
Social security and welfare 12,438 116,255 155,792
Housing and community amenities 406 3,148 5,131
Recreation and culture 303 2,461 3,532
Fuel and energy 552 5,008 6,874
Agriculture, Forestry and Fishing 193 1,743 2,914
Mining, manufacturing and construction 353 2,694 4,052
Transport and communication 1,621 5,614 10,296
Other economic affairs 809 6,806 9,866
Other purposes      
Public debt interest 1,446 11,863 15,984
Nominal superannuation interest 746 6,718 8,446
General purpose inter-government transactions 4,959 47,205 62,696
Natural disaster relief 0 0 32
Contingency reserve 0 0 -2,077
Total expenses 37,250 333,845 448,642

*As published in the 2016-17 MYEFO.
(a) Offsetting adjustments between these two functions have been made to YTD actuals.

 

NOTES: 

Australian Accounting Standard 1049

The Australian Government monthly financial statements have been prepared on a basis consistent with the Budget as required under section 47 of the Public Governance, Performance and Accountability Act 2013. The statements are prepared in accordance with the Australian Accounting Standards Board 1049 – Whole of Government and General Government Sector Financial Reporting (AASB 1049), which require treatment based on the Australian Bureau of Statistics’ (ABS) Government Finance Statistics (GFS) except where Australian Accounting Standards (AAS) provide a better conceptual treatment for specific items. Departures are limited to complying with either ABS GFS or AAS.

Taxation revenue

While total tax collections are known with certainty at the end of each month, the distribution across the relevant heads of revenue cannot be finalised until all business activity statements are received and processed. The outcomes for some revenue items provided in this statement are therefore estimates, in accordance with the best judgement of the Commissioner of Taxation, and subject to revision. The taxation revenue items not affected are: petroleum resource rent tax, excise duty, customs duty, other taxes and individuals refunds.

Style conventions

Figures in tables and generally in the text have been rounded. Discrepancies in tables between totals and sums of components are due to rounding.

International Monetary Fund Special Data Dissemination Standards

The Government is committed to releasing the monthly financial statements in a timely fashion and will endeavour to do so in accordance with International Monetary Fund (IMF) Special Data Dissemination Standards (SDDS). Under these standards the timeframe for releasing the monthly financial statements is by the end of the following month. Australia applies a special flexibility option which allows it to publish late the last and first month of a financial year.

In accordance with the IMF SDDS, the approximate date of release of the data on debt guaranteed by the Australian Government (central government), is given on the IMF’s Data Dissemination Advance Release Calendar http://dsbb.imf.org PDF icon. Monthly and quarterly data on debt guaranteed by the Australian Government (central government) that meet the coverage and timeliness requirements of the SDDS are published on the Australian Office of Financial Management website at http://aofm.gov.au/cgs-quarterly/quarterly-data-march-2017/ PDF icon.

Electronic access to monthly financial statements 

The Australian Government general government sector monthly financial statements and the historical series are available in electronic format at:

http://data.gov.au/dataset/australian-government-general-government-sector-monthly-financial-statements-tables-and-data PDF icon.

Last updated: 05 May 2017