Budget deficit widens
Güncelleme Tarihi:
ANKARA – Although State Economic Enterprises, or KİTs, will earn YTL 73.24 billion by the end of the year, they will have to post a budget deficit of YTL 884 million due to high expenditure. However, KİTs are expected to profit YTL 1.95 billion next year
State Economic Enterprises, or KÄ°Ts, are expected to post a budget deficit of YTL 884 million this year.
Turkey’s energy costs have grown in parallel to the rise in global crude oil prices, but have not been mirrored in costs to final users. This is listed among reasons for KİTs’ growing deficits, alongside increased hazelnut purchases and declining sales of the Turkish Grain Board, or TMO.
Meanwhile, based on calculations by the Anatolia News Agency, KÄ°Ts are foreseen to profit YTL 1.95 billion next year.
KÄ°Ts, which are expected to earn YTL 73.24 billion the end of this year, will obtain YTL.93 billion of their income from operating earnings, YTL4.28 billion from funds owned by the corporations, YTL 2.87 billion from budget and fund earnings.
Expenses
However, KÄ°Ts' earnings will not be enough to meet their expenses, which is expected to reach YTL 74.13 billion for this year.        Â
Based on these calculations, next year KÄ°Ts will be able to meet their expenses with their earnings. KÄ°TS are expected to earn YTL 84.34 billion next year with expenses of YTL 83.24 billion.
Some YTL 66.12 billion KİTs’ spending are in investment expenses, while YTL 3.56 billion are in stock increases. Some YTL 850 million are asset value raises, YTL 895 million are direct taxes, YTL 892 million are dividend payments, the remaining YTL 16 million are other expenses.
In domestic debt, KÄ°Ts will make net payments of YTL 73 million in 2008 and YTL 1.62 billion next year. KÄ°Ts will make net foreign debt payments worth YTL 199 million this year and YTL 464 million next year.