Talking Budget: Which ministry will spend the most and which will generate the most revenue in the new budget estimates

In our ‘Talking Budget’ series, we look at the expenditure and revenue estimates of each ministry, analysing the government’s new $4.7 million dollar deficit budget.

The ministry with the highest expenditure in the government’s $33.5 million dollar spending in the 2021/2022 budget is the Ministry of Social services expected to spend $12.3 million dollars. The bulk of the spending is for pensions and benefits under the Justice, Lands, Surveys and Community affairs with $5.4 million. The Health Department is estimated to spend $3.2 million in the new budget an increase of over $460 thousand from the previous vote.

Central Agencies which include Cabinet and parliamentary services, office of the SOG, Crown Law, Public Service Commission, Finance and Planning and Niue Police are expected to spend $8.2 million

The ministry of infrastructure will be spending a budget of $6.1 million and the Ministry with the lowest expenditure budget is the ministry of natural resources expected to spend $1.5 million.

Niue Tourism and Bulk fuel which makes up the commercial and trading arm of the recurrent budget will be spending $4.3 million dollars, most of this money will be spent by Bulk Fuel at $3.9 million dollars while Niue tourism expenditure budget is at $429,000.

The government will also spend $900,000 in its investment and development in the following areas;

$80 thousand – For vanilla workers

$80 thousand for the rubbish truck contract

$80 thousand – NIOFA

$200 thousand – Pensioner’s bathroom and toilet facilities

$230 thousand – Community (village and churches proposals)

$100 thousand – Capital expenditure

In terms of revenue generation where the government expects to generate $28.2 million dollars, Central agencies are expected to generate $19.3 million dollars in revenue. Ministry of Infrastructure will generate an estimated $4.2 million, half of this amount from Niue Power.

Bulk Fuel is expected to generate $3.9 million while the Ministry of Natural Resources and Social services are expected to generate revenue of $1.2 million dollars.

The government’s 2021/2022 recurrent budget has a $4.7 million deficit.