Greek Budget Shows Primary Surplus of 2.778bln

Greek budget recorded a primary surplus of 2.778 billion euros in the January-November period this year, surpassing an initial forecast for a surplus of 2.710 billion euros, including the return of profits from Greek bond holdings by European central banks. A dispatch from the state news agency quoted finance ministry officials as saying that the 11-month figures showed it was fully feasible to reach a primary surplus of 812 million euros this year.

A report by the General Accounting Office showed, however, that proceeds from a special consumption tax on energy products fell significantly (by 200 million euros compared with last year), while proceeds from VAT on oil products dropped by 350 million euros. The report showed that payment of overdue debt totaled 4.99 billion euros in the 11-month period.

The state budget showed a deficit of 3.155 billion euros on a revised cash basis, in the January-November period, down from a deficit of 12.853 billion euros in the corresponding period last year and down from a revised target for a deficit of 4.290 billion euros. The primary result showed a surplus of 2.778 billion euros, from a primary deficit of 1.420 billion euros last year.

State budget net revenues totaled 47.231 billion euros, up 0.3 pct from a revised target of 47.095 billion euros, while regular budget net revenues totaled 42,807 billion euros, up 0.3 pct. Tax proceeds totaled 39.549 billion euros, up 8.0 million euros from a budget target.

Property tax revenues surpassed targets by 4.2 pct, direct taxes for past uses grew 2.0 pct, VAT (other products) were up by 2.1 pct and other non-tax proceeds surpassed revised targets by 3.8 pct.

On the other hand, income tax proceeds fell short by 1.5 pct and other direct taxes were down 5.4 pct compared with budget targets.

Revenues of a Public Investment Programm totaled 4.424 billion euros, up 0.2 pct from budget targets.

State budget spending totaled 50.385 billion euros, down by 999 million euros compared with a revised budget target. Regular budget spending totaled 46.435 billion euros, down 744 million euros, from budget targets and down 15.7 pct from the 11-month period last year. (AMNA)