‘About KD120mn will be saved in fuel price hike’ – ‘Oil revenues insufficient for salaries’

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KUWAIT CITY, Aug 9: Assistant Undersecretary for General Accounting at Ministry of Finance AbdulJaffar Al-Awadi disclosed that the total budget deficit was KD 2.4 million as of the first quarter of fiscal year 2016/2017, reports Al-Qabas daily. Al-Awadi pointed out that between KD 100 million and KD 120 million will be saved by raising fuel prices, considering the average price of oil stands at $40 a barrel currently.

He added the Ministry of Finance in coordination with Civil Service Commission cut down allowances by 20 percent to save KD 80 million. He also said Kuwait Central Bank recently issued one billion dinars in local bonds while oil revenue generated for two months will not be enough to pay employees’ salaries estimated at KD 800 million each month.

Regarding returns of the previous fiscal year, Al-Awadi said that it added up to KD 13.6 billion, with 45 percent decline compared to the previous year. He added the expenditure of the ministers and official directorates amounted to KD 18.2 billion registering 14.8 percent cutback compared to the preceding year. Al-Awadi noted oil income was worth KD 12.1 billion, with 46.3 percent reduction compared to fiscal year 2014/2015, whereas KD 22.5 billion was generated from oil due to the falling international oil prices.

The Public Authority for Manpower is currently facing problems in its automated system following its transfer from the Civil Service Commission, which has resulted in disruption of transactions especially those involving retrieval of data related to salary certificates, data entry and printing, reports Annahar daily quoting informed sources.

They said the problem was experienced in the systems of all departments in all governorates, adding that the automated system used in units affiliated to the Inspection Department is not showing the salary certificates program, and the authority is required to check the validity of salary certificates in order to complete transactions.

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