Financial Statements of the Government to 31/03/08
5/5/08 - Financial Statements of the Government for the nine months ended 31 March 2008
Please find attached a media statement regarding the Financial Statements of the Government for the nine months ended 31 March 2008.
Results for the nine months ended 31 March 2008
• The OBEGAL at $4.6 billion was $0.2 billion lower than forecast.
• Core Crown tax revenue, receipts, expenditure and residual cash were also largely on track.
• The operating balance including gains and losses was $4.0 billion lower than forecast, primarily driven by losses from the Crown Financial Institutions’ (CFIs) investment portfolios and revaluation of long-term liabilities (ACC claims liabilities, pension commitments and provisions like Kyoto), offset by gains on other financial instruments.
• Losses on the CFIs investment portfolios were due to continuing declines in equity markets. Equity markets can be volatile in the short term.