TASHKENT, Uzbekistan, September 18. Uzbekistan’s state budget deficit has approached 40 trillion Uzbek soums ($3.2 billion), Trend reports.
As the data by Uzbekistan’s Ministry of Economy and Finance shows, the state budget revenues amounted to 38.1 trillion soums ($3.1 billion), two thirds of which came from tax payments, while the remaining part - from customs and other receipts. The expenditures, mainly aimed at the development of the social sphere, exceeded 50 trillion soums ($4.1 billion), leading to a budget deficit growing by 12 trillion soums ($986 million) from July through August 2023.
The increase in the expenditures was the result of increase in:
Volume of social benefits - by 1.7 trillion soums ($139.8 million)
VAT refund - by 1.4 trillion soums ($115.1 million)
Subsidies - by almost 600 billion soums ($49.3 million)
Conversely, decrease was recorded in:
Amount of income tax collection - by 622 billion soums ($51.1 million)
VAT — by 547 billion soums ($44.9 million)
Earlier this year, Uzbekistan increased gas imports by 7 times, raising the budget deficit rate to 5.7 percent, although the budget law stated that it should not exceed 3 percent. After an increase in natural gas imports, consolidated budget expenditures exceeded revenues by 27 trillion Uzbek soums ($2.3 billion) in the first half of 2023, creating a budget deficit, which was mainly covered by previous year's funds and borrowings.
This significant increase in import of natural gas was connected to abnormal cold observed throughout Uzbekistan in January 2023 and the government’s measures for mitigation of its consequences.
