According to the government’s 2010 General Economic Goals and Investments Program, public expenditures covering the total money allocated for the budgets of the central administration, local administrations, institutions with working capital, the unemployment insurance fund, social security institutions and the extra budgetary fund will be TL 415.54 billion in 2010, accounting to 40.3 percent of the gross domestic product (GDP). Fully TL 353.55 billion of total estimated expenditure for the year ahead is predicted to be on non-interest expenses, accounting for 34.4 percent of the GDP. The remaining TL 61.51 billion expenditure will be on interest expenditures.
With an anticipated amount of TL 196.69 billion, transfer expenses are foreseen to make up the largest share in government expenditures in the year ahead. Looking into sub-categories of transfers, current transfer expenses will be TL 190.46 billion and capital transfer expenses will be TL 6.21 billion in 2010, according to the program.
The money spent for investment purposes is estimated to be TL 33.93 billion in 2010, of which TL 33.68 billion will be for expenses related to fixed capital and TL 244 million for inventory variation. The program foresees current expenditure to be TL 184.44 billion in 2010.
Public revenues, on the other hand, are estimated to be TL 366.9 billion in the coming year. Of the total revenue, TL200.51 billion is expected to come from tax revenues, accounting for 19.5 percent of the GDP. Direct tax and indirect revenues are predicted to be TL 59.84 billion and TL 133.33 billion while TL 7.34 billion of revenue will come from wealth tax collected in 2010.
According to the program, TL 21.63 of total public revenue will come from tax-free income, while TL 55.15 billion is expected to be from factor income. Revenues from social funds and privatization, on the other hand, are foreseen to be TL 79.21 billion and TL 10.4 billion in 2010, respectively.
The program envisions a need of public borrowing of TL48.15 million in 2010.
