Total expenditure on social security benefits during the first quarter of 2006 increased by Lm3.7 million or 6.7 per cent over the first quarter of 2005, and amounted to Lm59.1 million, the National Statistics Office said yesterday.

This increase was made up of an increase of Lm3.4 million in the contributory benefits category and an increase of Lm0.3 million in the non-contributory benefits category.

The contributory benefits during the first three months of 2006 increased by 8.4 per cent over the same period in 2005 and amounted to Lm44.2 million. Pensions in respect of retirement, the main component of contributory benefits, increased by Lm2.8 million or 10.4 per cent, mainly due to an increase of Lm2.5 million (14.5 per cent) in the two-thirds pension.

Other increases within the contributory benefits category were reported in national minimum invalidity pension (+Lm0.1 million), and in the survivors’ pension which increased by Lm0.3 million. On the other hand, declines were observed in the unemployment benefits (–Lm0.03 million), in the special unemployment benefits (–Lm0.05 million), as well as in the sickness benefits (–Lm0.1million). The outlay on injury benefits increased by Lm0.3 million.

In the first quarter of 2006, non-contributory benefits increased by 1.8 per cent over the same period in 2005 and amounted to Lm14.9 million. The outlay on old age pension increased by Lm0.14 million. Increases were also recorded in benefits relating to social assistance (+Lm0.06 million), and to medical assistance (+Lm0.08 million).

During the period under review, expenditure on children’s allowances has decreased by Lm0.08 million.

The government’s expenditure on social security benefits for the first three months of this year was made up 26.0 per cent of the annual budget forecast of Lm227.6 million. During the same period in 2005, the government’s outlay amounted to Lm55.4 million, making up 25.1 per cent of the total expenditure on social security benefits in 2005 (Lm220.8 million).