Luxembourg Minister of Finance, Pierre Gramegna, today presented the draft law on the regulation of the general account for the 2014 financial year.

At the Commission du Contrôle de l'Exécution Budgétaire and the Commission des Finances et du Budget, Minister Gramegna reported on the regulation of the general account used to compare the draft budget adopted by the Chamber of Deputies with the budget actually executed during the financial year.

For the year 2014, the general account reported a -€142 million deficit, against a -€172 million provided for in the draft budget. The gap between the government esitmates at the time of preparation of the draft budget and the general account stood at only 0.79% in revenue and 0.54% level expenditure.

The analysis according to the SEC2010 (European accounting system) principles, reflecting the economic reality, shows a more substantial improvement. This is due to a cost level lower than expected and not to an increase in revenue. Indeed, revenue levels remained -0.4% lower than estimates made when establishing the draft budget, whilst expenditures were 2.2% lower than these projections.

"The general account for the financial year 2014 shows that the government controls the state budget," commented Pierre Gramegna. "Estimates related to revenue were proved to be accurates, even though some had doubts at the time of presenting the draft budget. As for expenditurem figures show that the government is fulfilling its commitment to control state expenses. This result allows us to approach the draft budget for the year 2016 with calmness and confidence".

 

Graph by Ministry of Finance