Central government revenue and expenditure, Q1 2006

The growth in government income is mainly due to increased operating surplus from extraction of petroleum. This surplus has grown from NOK 21.8 billion in the first quarter 2005 to NOK 35.9 billion in the first quarter 2006, an increase of 64.3 per cent. Simultaneously, the central government fiscal account shows an increase in tax revenue.

Modest increase in expenditure

Central government's fiscal account expenditure increased by 3.0 per cent compared with first quarter 2005. Total expenditure amounted to NOK 165.7 billion, whereas the same number in 2005 was NOK 160.9 billion. Fiscal account excluding National Insurance Scheme increased 2.8 per cent. The National Insurance Scheme shows a 3.5 per cent increase in expenditure from first quarter 2005 to first quarter 2006. This increase is mainly due to higher payments to old age pensions and invalidity pensions, but also payments to sickness allowance have increased slightly.

The central government deficit, before transfers to the Government Pension Fund - Global¹, amounted to NOK 1.3 billion first quarter 2006, compared to a deficit of NOK 22.1 billion first quarter 2005.