Sir,
THE TREASURY, HONG KONG.
20 September 1977.
THE ANNUAL REPORT OF THE DIRECTOR OF ACCOUNTING SERVICES FOR 1976/77
The accounts were completed in June 1977 and the statement of assets and liabilities was signed on 11 June 1977 and published in the Gazette on 30 June 1977. They were transmitted to the Director of Audit within the period prescribed in Section 11 of the Audit Ordinance (Cap. 122). I now have the honour to submit copies of the final accounts and supporting statements together with my covering report.
THE GENERAL REVENUE BALANCE
2. The Estimates for the year forecast a deficit of $355,363,000 and the Revised Estimates a surplus of $556,641,000. The following is a summary of these Estimates and of the actual results:
Revenue
Receipts Appropriated-in-Aid
Revenue and Receipts
Gross Expenditure
Surplus (S)/Deficit(D)
Original Estimate
Revised Estimate
Actual
$
$
$
6,197,049,000
659,498,000
6,775,368,000 624,355,000
6,898,462,881 595,061,169
6,856,547,000
7,399,723,000
7,493,524,050
7,211,910,000
$355,363,000(D)
6,843,082,000
6,590,911,658
$556,641,000(S)
$902,612,392(S)
3. At 31 March 1977 the General Revenue Balance stood at $3,712,868,422; the increase during the year being the sur- plus of $902,612,392 above.
4. This increase is reflected in the following changes in assets and liabilities:
($ million)
($ million)
31.3.76
31.3.77
($ million) Difference
Assets: Cash
233.316
140.977
Exchange Fund Debt Certificates
1,826.000
Short Notice and Time Deposits
2,412.301
2,113.240
92.339 +1,826.000 299.061
Investments
829.053
829.053
Special Funds
0.100
0.150
+
0,050
Suspense
1.354
+
1.354
Advances
66.450
50.394
16.056
Increase in Assets
$590.895m
Liabilities:
Deposits
Special Funds
Suspense
Mass Transit Fund
Decrease in Liabilities
Increase in Assets over Liabilities
256.504
0.319
24.140
377.671 0.294 41.281
+ 121.167
0.025
+
17.141
450.000
450.000
$311.717m
$902.612m
There was an increase in the total value of assets as compared with the previous year and some change in their make up mainly because the bulk of the overseas currency assets held at 1 April 1976 were transferred to the Exchange Fund on that date in exchange for an issue of interest bearing Debt Certificates. The decrease in liabilities arose mainly because of payments totalling $450 million which were made to the Mass Transit Railway Corporation from the Mass Transit Fund reducing the balance of that fund to nil as at 31 March 1977.
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