Page 135 - Bahrain Gov Annual Reports (III)_Neat

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BUDGET-1363.

REVENUE.
The revenue for the budget year is estimated at 40 lacs of rupees, the actual revenue
during the previous year was 47 lacs. The expenditure for the budget year is estimated at
Rs. 35.30.000. the actual expenditure in the previous year being Rs. 33.29,000. I have anticipated
a surplus of revenue over expenditure amounting Rs. 4,70,000, for investment in the Reserve Fund.
The total anticipated revenue for the budget year represents a decrease of Rs. 7,00,000 on the actuals
for the previous year.

2. Out of the whole estimated revenue of the State, 40 lacs, the sum of 26* lacs is to be obtained
from oil royalty and 81 lacs from customs sources. The third largest source of revenue is now the
income from the Reserve Fund which amounts to 2\ lacs.

3. Oil royalty has been estimated at slightly less than the actual of 1362. Customs receipts
in 1362 were astonishingly high, they amounted to just under 14 lacs which is more than double the
sum which I anticipated in the Budget for 1362. No customs records arc available before 1344 but
during the last eighteen years the peak year, 1346, produced only 11J lacs from customs sources.
When I prepared the Budget for 1363 I entertained grave apprehension as to the effect of the war
upon customs revenue, it seemed likely that owing to shipping difficulties and various restrictions in
trade there would be a diminution in the quantity of imported goods resulting in less duty. The
increase in the customs revenue during 1362, which was over 5 lacs more than the previous year's
actuals, was due mainly to the rise in the prices of the imported goods and partly to the revenue from
food supplies in transit through Bahrain to other Gulf States. In spite of a successful year I have
anticipated only 8 A lacs from customs in the budget year.

4. Interest from the Reserve Fund represents 3% on the capital which now ameunts to
Rs. 91,41,000 face value. Medical Receipts consist mainly of the fees received from the Army,
Navy and Royal Air Force for service patients who arc admitted to the special wards in the State
Hospital. Land Revenue is obtained from registration fees on sales of properly and rents from
land which is leased out by the Government. There is no land tax in Bahrain of any kind. Education
receipts include an annual grant which is made by the British Council, school fees and the proceeds
from the sale of work carried out by the Technical School. The last item was not shown separately
last year but was credited to Technical School Expenditure. The revenue from motor taxes and
driving licenses has been estimated at less than last year owing to the probable decrease in the number
of vehicles on the road. Passport receipts have decreased during the war owing to fewer people
travelling abroad on book passports. Judicial receipts were unusually high in 1362 owing to the
fines which were imposed in cases of smuggling and offences against food control regulations. In
estimating considerably less revenue under this heading than in 1362 I have assumed that there will
be a decrease in smuggling activities. I have shown receipts from the Government garage as a separate
item, these receipts are, in fact, book transactions between the various Government departments and I
the garage. Oil gauging fees paid by the Bahrain Petroleum Company for gauging, which is done
by the State Engineer and the Government gaugers, of products exported by the Company in ships
which are not owned by the Company. Some reduction in bridge tolls is expected owing to the decreas­ :
ing number of vehicles. !•
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5. The summary of the Electric Supply Department's budget has been included with the !•
State Budget. This shows an estimated revenue of Rs. 2,18,000. The revenue includes the interest
from the Depreciation Reserve which is invested in the Government of India Securities paying 3%.
A surplus of revenue over expenditure amounting to Rs. 35,000 is expected which will be added to the
Operating Reserve which is a provision against future replacement of plant and machinery.
6. In the budget for 1362 a Suspense account of Rs. 7,73.0°° was shown which represented
the value of the food supplies held by the Government at the end of the year, I have not included
this in the budget for 1363 but have shown it in the Summary of Revenue and Expenditure. .

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