On the pie charts the section for government borrowing does not activate is this intentional?

I think it is intentional. If you're spending more than your income then the government borrowing is automatic. Same applies when your income is larger than spending, then the surplus is used to pay of your debt. If you have no loans, it adds up as a reserve.

I see your point but, that does not reflect how things really happen assuming, this game is trying to reflect political manouvering in the real world.
Governments can't always borrow as much as they want and if there is a surplus income often only the minimum proportion possible is used to pay off any debt.
Boom and bust, inflation and deflation employment levels plus the possible need for austerity measures at times and all the knock on effects these events cause are not being reflected in the scenario.
The management (juggling) of a countries economy is a critical element of politics but, maybe the developer felt this would be too deep for consideration or too difficult to impliment.
All in all I like this game but, would love to be able to play it as leader of a real country where you could take what you know of that country and try and change political decisions which is currently impossible.
I admit the results of changes made to real world political decisions would be hypothetical but, all the same it would be fun to try putting ones own countries screw ups right or seeing even worse screw ups result.

Maybe you or someone can make a mod that lets you control government borrowing more?

I like the game to. I have only played Great Britain (huge success) and U.S. (assassinated after two years)