June 2012/13 Quarterly Financial Update

Cook Islands Minister of Finance, the Honourable Mark Brown released the June 2012/13 Quarterly Financial Update providing a preliminary view on the financial outcomes for the Cook Islands General Government Sector for the 2012/13 financial year.

The net operating balance of the General Government Sector as at 30 June 2013 was a surplus of $7.9 million, with operating revenues of $115.1 million and operating expenditures of $107.2 million. Minister Brown commented that the budget came in well above expectations “overall, I am pleased, revenues were up $3.9 million and operating expenditures were lower by $6.5 million that the estimates we produced at the time of the 2012/13 supplementary budget.”

Minister Brown pointed out that the underlying final fiscal balance was well below expectations, our increased effort in capital works around the country through the use of the first tranche of the ADB Economic Recovery Support Programme (ERSP) was achieving outcomes for the country. This includes the reclamation around the Punanga Nui Coastal Area and the work we have seen being done in regard to the Panama and Tupapa water network.

As at 30 June 2013 overall gross borrowing by the Crown was NZD 78.9 million. The Net debt position of the Crown was NZD 59.8 million which includes the loan reserve fund. Of this debt NZD 26.6 million was with SOE’s and that was predominantly the Port Authority.

The Crown’s estimated unencumbered cash reserves was $16.9 million.

“I am pleased with the financial position, our debt position is stable, we have solid cash reserves and the Government is keen to continue on a sustainable fiscal path.”

The Quarterly financial report includes information on Agency spending as well as capital expenditure funded by the Cook Islands Budget.

You can access the full Quarterly Financial Report for June 2013 here.