Kelantan tables 2021 budget with RM66m estimated deficit

 

Kelantan Menteri Besar Ahmad Yakob today presented the state's budget for 2021 with an estimated deficit of RM66.02 million, a 43 percent increase from the previous year’s estimated budget deficit of RM46.07 million.

He said that although the state estimated a deficit each year, the state government actually recorded a budget surplus for three consecutive years.

"In 2017, there was a surplus of RM38.2 million, in 2018 (RM40.4 million) and in 2019 (RM45.69 million)," he said when tabling the budget during the Kelantan state assembly sitting at Kota Darulnaim here.

Ahmad said the financial performance in 2020 is also expected to reduce the current deficit as a result of the state government’s prudent spending.

He said the state is targeting a revenue of RM1.02 billion next year which includes tax revenue of RM214.91 million, non-tax revenue (RM454.44 million), and non-tax revenue receipts of RM354.32 million.

"The (2021 estimated revenue) amount shows an increase of RM274.96 million (38.73 percent) from the 2020 estimated revenue of RM748.71 million," he said.

Ahmad said fixed land revenue remains the largest contributor amounting to RM355.95 million (34.77 percent) of total revenue which is a RM46.56 million (15.05 percent) increase compared to the 2020 estimate of RM309.39 million.

He said receipts from government agencies are the second largest contributor with a contribution of RM289.65 million (28.30 percent) of total revenue while receipts from the federal government were estimated at RM284.15 million.

"The third-largest contributor, other receipts, amount to RM209.9 million (10.82 percent), followed by forest revenue with a contribution of RM129.5 million (12.65 percent) of total revenue," he said.

Meanwhile, estimated operating expenditure is expected to amount to RM1.09 billion as compared to RM794 million in 2020.

He said RM1.05 billion will be allocated to 31 state government departments and other services while statutory fund allocation has been increased by RM293.74 million to RM1.04 billion compared to RM752.13 million this year.

The estimated development expenditure for next year is RM479.29 million which is an increase of RM169.77 million compared to the previous year, where RM419.29 million will be from the state’s allocation and RM60 million from loan sources.

The assembly sitting continues this Sunday.

- Bernama