ANNEX A: FY2003 PERFORMANCE REVIEW

For FY2003, the revised estimate for operating revenue is $25.61 billion, and that for total expenditure is $28.81 billion. After discounting special transfers totalling $0.60 billion and taking in the NII contribution of $2.05 billion, the expected budget deficit is $1.76 billion.

A summary of the revised FY2003 operating revenue, operating expenditure and development expenditure estimates is given in Table III below.

Table III: THE REVISED FY2003 BUDGET
	Actual FY2002	Revised FY2003	Change over FY2002
	$b	$b	$b	%
OPERATING REVENUE	25.47	25.61	0.14	0.5
Tax Revenue	21.50	21.59	0.09	0.4
Fees & Charges	3.81	3.76	-0.05	-1.2
Others	0.16	0.25	0.09	56.6
Less:
TOTAL EXPENDITURE	27.15	28.81	1.66	6.1
Operating Expenditure	19.36	19.99	0.63	3.2
Development Expenditure	7.79	8.83	1.03	13.3
SURPLUS/(DEFICIT)	(1.68)	(3.21)	-1.52	90.6
Less:
SPECIAL TRANSFERS	1.80	0.60	-1.20	-66.6
Economic Restructuring Shares	1.20	0.60	-0.60	-50.1
Lifelong Learning Endowment Fund	0.50	0.00	-0.50	-100.0
Medical Endowment Fund	0.10	0.00	-0.10	-100.0
Add:
NET INVESTMENT INCOME CONTRIBUTION	3.68	2.05	-1.63	-44.3
BUDGET SURPLUS/(DEFICIT)	0.19	(1.76)	-1.95	-1,025.2