Financial Crime World

Saint Helena Government Finances: A Year in Review

The Saint Helena Government (SHG) has published its annual financial report, providing an overview of the island’s finances for the 2021/22 financial year. The report highlights the significant movements in the Funds and Reserves of SHG, as well as the statement of cash flows and capital expenditure.

Consolidated Fund

The Consolidated Fund is analyzed into eight reserves, with the General Reserve being the only usable reserve. The balance on the Consolidated Fund stood at £246.76 million as of March 31, 2022. Notable transactions include:

  • Purchase of eighteen items of computer hardware
  • Twenty-four items of plant, machinery, and equipment

Capital Expenditure

SHG spent a total of £12.255 million on assets still under construction, with the majority being spent on the Equiano Cable Project. Other significant capital outlays included:

  • Purchase and installation of Bradley’s oxygen plant for £0.398 million
  • Fish Processing Plant refurbishment at Rupert’s Valley for £0.176 million

Bulk Fuel Installation Project

The Bulk Fuel Installation project remains outstanding, with a further study required to determine the optimal engineering solution and identify whether all components will be put into use. There is uncertainty regarding the current asset under construction value being a fair presentation of expected future performance and inflow of economic benefits.

Material Events

No key events took place over the year that would have a material impact on the understanding of these financial statements. However, note 11.8 provides details of material events that occurred since the end of the 2021/22 financial year, including:

  • Implementation of the 2022/23 annual budget
  • Agreement of the financial aid settlement for the 2023/24 financial year

Looking Forward

SHG has negotiated a settlement on a contractual dispute with Basil Read Limited and has progressed projects to deliver the vision for Saint Helena. The government is committed to implementing the 2022/23 annual budget and has agreed a financial aid settlement for the 2023/24 financial year.

In conclusion, the SHG finance team has worked hard to pull together this comprehensive report, providing stakeholders with an understanding of the island’s finances for the 2021/22 financial year. The government remains committed to delivering its vision for Saint Helena and is looking forward to a successful future.