7 Jun 2007

Report says American Samoa faces four million dollar budget deficit

10:10 am on 7 June 2007

A preliminary and unaudited financial report showthat the American Samoa government will face a deficit at the close of the current fiscal year 2007, which ends on September 30th.

The Samoa News says that despite reports that the government is in the black, the truth is, during many months the government has been spending faster than it has been collecting revenue

According to Samoa News the reports forecast that the general fund will have a total deficit of $4.20 million by the end of fiscal year 2007.

After all other funds in the Treasure's Cash Pool are added in, the total deficit will be $4.12 million.

The newspaper says the deficit is due mainly to the $1.39 million in total revenue collections below budget and total expenditures of $2.8 million exceeding budget.