The General Government reported a fiscal surplus exceeding half a billion euros in the first two months of the year, marking a significant 34% increase from the previous year and reaching 1.7% of the GDP.

Preliminary data published by the Statistical Service on Monday revealed that the General Government's surplus reached €534.8 million, equivalent to 1.7% of GDP. This figure compares favorably to the surplus of €398.0 million, or 1.3% of GDP, recorded during the same period in 2023.

During January-February 2024, total revenues increased by 16.7%, or €333.9 million, amounting to €2.328 billion, in contrast to €1.994 billion in the corresponding period of 2023.

In particular, total taxes on production and imports rose by €54.1 million (+8.0%), reaching €727.2 million compared to €673.1 million in 2023. Net VAT revenue (after refunds) saw an increase of €51.7 million (+11.0%), totaling €523.2 million compared to €471.5 million in 2023.

Income and wealth taxation revenues increased by €120.8 million (+20.1%), reaching €721.7 million, in comparison to €600.9 million in 2023.

Social contributions rose by €98.6 million (+17.1%), reaching €673.9 million compared to €575.3 million in 2023. Interest and dividend receipts increased by €1.2 million (+7.7%), amounting to €16.8 million compared to €15.6 million in 2023.

Current transfers went up by €4.0 million (+14.3%), totaling €31.9 million, against €27.9 million in 2023. Revenues from service provision surged by €53.0 million (+54.4%), totaling €150.4 million, compared to €97.4 million in 2023. Capital transfers rose by €2.2 million (+56.4%), reaching €6.1 million, compared to €3.9 million in 2023.

Total expenses for January-February 2024 increased by €197.1 million or 12.3%, totaling €1.793 billion, in comparison to €1.596 billion during the same period in 2023.

Specifically, intermediate consumption grew by €16.7 million (+10.6%), totaling €174.1 million compared to €157.4 million in 2023. Staff compensation (including assumed social contributions and public sector pensions) rose by €82.0 million (+15.8%), totaling €601.2 million, against €519.2 million in 2023. Social benefits increased by €83.5 million (+12.9%), reaching €730.8 million, compared to €647.3 million in 2023. Current transfers rose by €3.9 million (+3.2%), totaling €125.0 million, against €121.1 million in 2023.

Capital account spending increased by €39.8 million (+73.4%), totaling €94.0 million, compared to €54.2 million in 2023, of which capital investments rose by €21.8 million (+43.4%), totaling €72.0 million, compared to €50.2 million in 2023. Other capital transfers rose by €18.0 million, totaling €22.0 million, compared to €4.0 million in 2023.

Contrastingly, interest payments decreased by €13.9 million (-18.9%), reducing to €59.9 million, compared to €73.8 million in 2023. Subsidies decreased by €14.9 million (-64.5%), reducing to €8.2 million, compared to €23.1 million in 2023.