text: the syli was GS.L = $US 0.044As at I JuIY 1985, the value ofA/ 40 / 44r English Page 54 2. Public finances 139. As mentioned earlier, economic activity is concentrated in the public sector,especially in the areas of trade, industry, transport and bankingl the state isalso the majority shareholder in semi-public corporations (mining industries). 140' There is no single budget in Guinear and it is very difficult to have reliabredata on Government revenues and expenditures. Table 24 below should therefore beconsidered as purely indicative. Tabte 24' Guinea: State budqet 19Z9-1984 (MilIions of sylis) 1979 r980 198r 198 2 I98 3 1984 fncome Operational budget Planning budget8 3I 36 3436.90 828.34067.98 544.89196.96 098.84723.54 758.7?810.2s l2 175.00962.38 s 4LI.279 66 3 Total income LO 265.24 lt 612.8? L2 772.63 I7 586.279 295.80 15 482.31 Expendi ture Operations Investment Debts Subsidies/State enterpr ises4 701.15 495.24 L 022.40 7 4t5.146 400.28 645.73I 179.81 I 215.149 816. 38 959 .47 L 999.2L 5 s40.005 762.63 952.I4 2 369.47 3 275.L96 I60.92I 074.08 I 132.85 not ava i Iable6 2036.7r 948.49 472.28 Total expenditure l3 634.949 441 .969 4s7.48 18 31s.05 12 809.43 Surplus (+) -3 369.70 +2 t70.91 +3 315. ls-728.79 -3 513.53 Source: Ministry of Finance. l4l' Both revenues and expenditures fluctuate widely from one year to another withrevenues varying, partly because of difficulties in tax collecting, while 65 to70 per cent of total expenditure are for diverse operational expenditures. A veryhigh proportion of expenditure is earmarked for payment of public debt. with theamounts owed exceeding those actually paid, arrears are mounting up. subsidies topublic enterprises absorb some 30 per cent of the State budget. overcoming theproblems of those enterprises therefore appears to be a major priority. Generalry,except in 1980-1981r the State budget shows a large deficit which has been financedprimarily through money creation and the constitution of arrears.A/40/44L EngIi sh Page 55
analysis: The text discusses the public finances of Guinea, including the state budget, revenue, and expenditure. It highlights the challenges in collecting taxes and the significant proportion of expenditure dedicated to paying public debt and subsidizing public enterprises. The text also touches on the difficulty in having reliable data on government revenues and expenditures.