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[Tottori Prefecture] Financial Situation of Tottori Prefecture

The financial strength index is an indicator that shows the strength or weakness of a local government's financial position. If this index exceeds 1, the local government is treated as a non-recipient of local allocation tax, and if it is below 1, it is treated as a recipient.
According to the 'Certification of FY2022 Settlement (Revenue and Expenditure Settlement Statement)' published by Tottori Prefecture, the ratio of dependent revenue sources, such as local allocation tax and national treasury disbursements, which are budget subsidies from the national government, is 73% (70%). The prefecture's own independent revenue sources account for 27% (30%). In particular, local allocation tax accounts for nearly half of the budget subsidies provided by the national government.

Financial Situation of Tottori Prefecture

https://www.pref.tottori.lg.jp/317256.htm?utm_source=chatgpt.com

Financial strength index: around 0.27
National average: approx. 0.49
National ranking: around 45th (lower tier among 47 prefectures)
The index value is lower than the national average, and there is a tendency for high dependence on allocation tax.

Financial strength index
This is an indicator that shows the strength or weakness of a local government's financial position, calculated by dividing the standard fiscal revenue by the standard fiscal demand. If this value exceeds 1, it becomes a non-recipient of local allocation tax, and if it is below 1, it becomes a recipient.

The breakdown of Tottori Prefecture's financial strength index by municipality is as follows.

Refer to 'Status of Ordinary Account Settlement: Data by Municipality R6'.
Financial Information of Municipalities
https://www.pref.tottori.lg.jp/12491.htm?utm_source=chatgpt.com

Financial strength index: 3-year average (3-5 years)
Classification/Municipality Name/Financial Strength Index
Eastern/Tottori City/0.51
Western/Yonago City/0.65
Central/Kurayoshi City/0.44
Western/Sakaiminato City/0.55
Eastern/Iwami Town/0.26
Central/Wakasa Town/0.14
Eastern/Yazu Town/0.23
Eastern/Misasa Town/0.22
Central/Yurihama Town/0.27
Central/Kotoura Town/0.30
Central/Hokuei Town/0.30
Western/Hiezu Village/0.49
Western/Daisen Town/0.27
Western/Nanbu Town/0.26
Western/Hoki Town/0.28
Western/Nichinan Town/0.16
Hino District/Hino Town/0.16
Hino District/Kofu Town/0.27

Less than 0.3/11 municipalities/majority
0.4 or more/5 municipalities
1.0 or more = non-recipient level/0

Classification/Financial Strength Index
City total/0.54
Town/Village total/0.25
Prefectural total/0.31

Highest value/0.65/Yonago City
Lowest value/0.14/Wakasa Town
Average value/0.31
Median value/0.27

Comparing the highest value (0.65, Yonago City) and the lowest value (0.14, Wakasa Town), there is about a 4-fold difference in the financial strength index.
Comparing the highest value (0.65, Yonago City) and the average value (0.31), there is about a 2-fold difference in the financial strength index.
Comparing the lowest value (0.14, Wakasa Town) and the average value (0.31), there is about a 2-fold difference in the financial strength index.
Comparing the highest value (0.65, Yonago City) and the median value (0.27), there is about a 2.5-fold difference in the financial strength index.
Comparing the lowest value (0.14, Wakasa Town) and the median value (0.27), there is about a 2-fold difference in the financial strength index.
Comparing the average value (0.31) and the median value (0.27), there is a difference of 0.04 in the financial strength index.

Refer to Major Financial Indicators of All Prefectures.
List of Major Financial Indicators of Local Governments for FY2024
Ministry of Internal Affairs and Communications
https://www.soumu.go.jp/menu_seisaku/toukei/02zaisei07_04000135.html

National average/0.51202=0.51
Tottori Prefecture average/0.28178=0.28

First, the discrepancy in the average value when comparing Tottori Prefecture's data with the Ministry of Internal Affairs and Communications' data is likely because Tottori Prefecture's data calculates the financial strength index as a 3-year average (3-5 years).

Comparing the highest value (0.65, Yonago City) and the national average (0.51), there is a difference of 0.14 in the financial strength index, which is higher.
Comparing the lowest value (0.14, Wakasa Town) and the national average (0.51), there is about a 3.5-fold difference in the financial strength index, which is lower.
Comparing the Tottori Prefecture average (0.28, Ministry of Internal Affairs and Communications) and the national average (0.51), there is about a 2-fold difference in the financial strength index, which is lower.
Comparing the Tottori Prefecture average value (0.31, Tottori Prefecture) and the national average (0.51), there is about a 1.5-fold difference in the financial strength index, which is lower.
Comparing the Tottori Prefecture median value (0.27) and the national average (0.51), there is about a 2-fold difference in the financial strength index, which is lower.

The settlement amount for FY2022 was 405.7 billion yen.
The breakdown shows that the ratio of dependent revenue sources, such as local allocation tax and national treasury disbursements, which are budget subsidies from the national government, is 73% (70%).
The prefecture's own independent revenue sources account for 27% (30%).
In other words, 70% of the budget in Tottori Prefecture is covered by subsidies from the national government.

Certification of FY2022 Settlement (Revenue and Expenditure Settlement Statement)
https://www.pref.tottori.lg.jp/312887.htm

Tottori Prefecture Total Revenue: 405.7 billion yen

[Independent Revenue Sources (27%)]
Prefectural Tax: 73.632 billion yen
Usage Fees and Commissions: 3.82 billion yen
Transfers: 5.46 billion yen
Others: 25.547 billion yen

[Dependent Revenue Sources (73%)]
Local Allocation Tax: 149.287 billion yen
Local Transfer Tax: 12.118 billion yen
National Treasury Disbursements: 100.934 billion yen
Local Bonds: 34.487 billion yen
Others: 443 million yen

Total Expenditure (Ordinary Account): 383.4 billion yen

Personnel Expenses: 89.6 billion yen
Assistance Expenses: 6.2 billion yen
Public Bond Expenses: 50.1 billion yen
Ordinary Construction Expenses: 73.8 billion yen
Disaster Recovery Expenses: 4.8 billion yen
Subsidies, etc.: 105.5 billion yen
Property Expenses: 36.4 billion yen
Other Expenditures: 16.6 billion yen

Osaka's independent revenue ratio is 70%, but it seems they are receiving local allocation tax.

September 2025 Regarding the Financial Situation of Osaka Prefecture
https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://www.pref.osaka.lg.jp/documents/13363/1.pdf&ved=2ahUKEwjls_vtqOCRAxXCZvUHHV2lB0UQFnoECDgQAQ&usg=AOvVaw0tRmNHge1-orDz6QvUkWS5

The prefectures that do not receive local allocation tax are Tokyo, and there are 82 municipalities.

FY2024 Ordinary Local Allocation Tax: 83 non-recipient entities including Tokyo https://nichizei-journal.com/zeimu/令和6年度の普通交付税 不交付団体は東京都な/


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