The 2018 Budget Implementation Report of the state, which indicates budgetary revenue in the amount of 9.95 billion, expenditure in the amount of 9.80 billion, investments in the amount of 465.5 million and financing transactions in the amount of 49.0 million euros, gives reliable information about the revenues collected, expenses incurred and investments and financing transactions made by the state. The economic transactions of the state have also in all material respects been carried out in compliance with the State Budget Act, the 2018 State Budget Act and the Act Amending the 2018 State Budget Act. This means that the National Audit Office did not find any significant errors in the implementation of the State Budget Acts.
Expenditure and investments exceeded revenues by 318.6 million euros in 2018. NB! This is not a surplus or deficit of the government sector, which are found using different calculation methods (see the chapter “Financial Indicators of the Public and Financial Sector” of the Management Report of the 2018 Consolidated Financial Statements of the State). According to the Consolidated Financial Statements of the State, the monetary volume of the state’s assets as at 31 December 2018 comprised 16.1 billion euros and the majority of the assets are fixed assets (forest, roads, buildings, machinery). Compared to the previous period the monetary volume of assets has increased by 668.7 million euros.
The state’s liabilities totalled 8.8 billion euros as at 31 December 2018, which means that they have increased by 860.6 million euros compared to the previous period. Long-term liabilities in the amount of 5.57 billion euros comprise the majority of liabilities. The state’s has loan payables in the amount of 3.1 billion euros and they have increased by 175.6 million in comparison with the previous period. The state’s pension payables amount to ca 2.6 billion euros.
Background
The State Budget Act required the National Audit Office to audit the correctness of the Financial Statements of the State and the regularity of its transactions. The financial statements of all state accounting entities, public undertakings, foundations established by the state and profit-making state agencies are consolidated in the Financial Statements of the State. In order to give an opinion of the correctness of the Financial Statements of the State and the regularity of transactions, the National Audit Office checked the compliance of the economic transactions concluded in state agencies in 2018 with the State Budget Act and the correctness of their recognition in accounting.
The National Audit Office audited whether the Financial Statements of the State give correct information about the financial status and economic performance of the state in the year ended and whether state agencies have complied with the State Budget Act when concluding economic transactions. The report also includes an overview of the internal control systems established for prevention of corruption, about which the National Audit Office makes recommendations.
