Cyprus

There was no revenue in the Development Budget during the period 1976-87. If there had been public savings (i.e., excesses of current revenues over current expenditures) in the Ordinary Budget, they could have provided the means to finance all or a part of the investment and other development expenditures. However, for most of the years of the 1976-87 period, there were no public savings. Thus, the Development Budget had to rely on domestic and foreign borrowing to cover its expenditures. The major expenditure items of the Development Budget were investment, capital transfers, and land acquisition. Another sizeable item was expenditures for wages and salaries. Investment expenditures amounted to C£46 million in 1988. Investment expenditures in the period 1985-88 were mainly to finance the Southern Conveyor Project, the Khrysokhou Irrigation Project, the Nicosia-Limassol Highway, several other major roads, and Larnaca Airport. For this reason, construction activity absorbed most of the investment expenditures between 1985 and 1988. Investment's share of the total development expenditures was 60.22 percent in 1985, 76.19 percent in 1986, 75.1 percent in 1987, and 67.74 in 1988.

Data as of January 1991