Grenada Earned Less Revenue in First Quarter of 2023 Compared to 2022

ST.  GEORGE’S, Grenada – Grenada earned EC$297.6 million (One EC dollar=US$0.37 cents) in revenue and grants during the first three months of this year, a significant decline for the same period last year.

According to the figures released here, the revenue and grant for the period January to March last year, totaled EC$340.4 million.

The Ministry of Finance said however, for the month of March this year, which coincided with the introduction of several tax measures, the government earned EC$25 million more than what was targeted.

“Current Revenue for March 2023 was EC$121.4 million, which was EC$25 million more than the 2023 target and EC$40.5 million more than the collections for March 2022,” according to the Fiscal Report for March 2023.4.28

As the revenue increased, the total Current Expenditure, excluding principal repayments for the month of March was EC$58.5 million which was EC$5.7 million less than the EC$64.2 million targeted.

“Capital Expenditure in March 2023 was EC$29.3 million, EC$10.5 million less than the amount spent in March 2022 and above the EC$25.4 million targeted for the month this year,” said the report which explained that there was less grant funding received during March 2023.

“Total Grants in March 2023 amounted to EC$3.3 million which was EC$2.2 million less than the target and EC$97.3 million less than the actual in March 2022,” said that report which explained that total grants in March last year was EC$100.6 million and that included EC$81 million from the locally-based St George’s University.

With regards to government debt, the principal repayments on debt for March 2023 were EC$6.7 million, with interest payments totaled EC$4.7 million while a primary balance (including grants) of EC$41.6 million was recorded for the month of March 2023, which was EC$24.2 million more than the month’s target and EC$52.1 million less than the amount recorded in March 2022.

On revenue earned from taxes, the report shows that the most amount of revenue came from taxes on international transactions and the amount was EC$38.6 million while non-tax revenue was in second place with EC$32.8 million. Revenue from the Citizenship by Investment  (CBI) through which citizenship is provided to foreign investors in return for making a significant investment in the socio-economic development of the island, accounted for EC$23.6 million of the total earned from non-tax revenue.

The Inland Revenue Department (IRD) continues to earn the most under Revenue Collection by Major Divisions. For the month of March this year, the IRD earned EC$56 million as compared with EC$41.9 million last year.

Customs and Excise Division during the month of March 2023 earned revenue of EC$38.6 million as against EC$31.3 million last year.