Fiscal deficit reached 3.03% of GDP during the first half of 2012, compared to 3.59% during the same period in 2011, and 1.89% in the first semester of 2010, the central government’s accounts for the first semester of 2012 show.
According to data released on Wednesday by the Ministry of Finance, revenue between January–June 2012 recorded an increase of 1.78% compared to the corresponding period of 2011, while the expenditure decreased by 1.37%.
Specifically, fiscal deficit for the period January-June 2012 reached 551.2 million euro, compared to deficit of 636.79 million euro in the same period of 2011, decreased by 636.79 million euro.
Revenue increased during the first half of the year by 1.78% or by 51.19 million euro, and reached 2.93 billion euro, compared to 2.88 billion euro the same period of 2011. Public expenditure decreased by 1.37% or by 48.72 million euro, to 3.51 billion from 3.56 billion euro in the corresponding period of 2011.
Tax revenue increased during the first half of the year by 2.78%, reaching 2.6 billion euro, compared to 2.53 billion that were in the same period last year, while revenue from direct tax recorded an increase of 10.93%. Indirect tax revenue, during the first half of the year increased by 0.87%, reaching 1.22 billion euro, compared to the same period last year.
Income tax revenue recorded an increase of 4.14% and reached 500.71 million euro, compared to 480.82 million in the first half of 2011. Consumer tax revenue decreased by 3.99% compared to last year.
Current expenditure increased by 0.62% during the first semester of 2012, and reached 3.38 billion euro, compared to the corresponding period of 2011, while expenditure for wages and salaries decreased by 1.05%.
Social security payments increased by 12.04%, reaching 698.21 million euro, and interest payments increased by 18.14% (52.95 million), reaching 338.978 million euro.
The primary balance showed a deficit of 212.22 million euro during the period January-June 2012, compared to deficit of 349.86 million the corresponding period of 2011.
Fiscal deficit in 2011 was 6.11% of GDP, in 2010 was 5.3% and in 2009 was 6%.
Government’s commitment against the EU is that the fiscal deficit will decreased to 2.5% by the end of 2012.
