Oil revenue hits more than double budget forecast
Kuwait posted a preliminary budget surplus of KD8.2bn ($28.3 billion) in the 2009/2010 fiscal year ended 31 March as a result of oil revenue more than doubling the budget forecast.
Oil revenue stood at KD16.85bn compared with the KD6.9bn projected for the year, according to data published by the Finance Ministry on 24 May.
The government had forecast a budget deficit of KD4.86bn for the fiscal year, based on an oil price of $35 per barrel. Oil is currently trading at around $70 per barrel.
Revenues reached KD17.93bn or 122 per cent above the KD8.07bn planned. Spending for the year, however, has come in significantly under budget. Total spending reached KD9.75bn, compared with the KD12.1bn projected for the year.
Kuwait has announced a 34 per cent increase in expenditure in the current fiscal year, ending 31 March 2011, with a projected budget deficit of KD6.46bn, based on a break-even oil price of $43 per barrel. It posted a surplus of KD2.74bn in the 2008/2009 fiscal year.
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