The State Budget Primary Balance on a modified cash basis amounted to a surplus of 4,493 million euros, against the primary surplus target of 616 million euros and the primary surplus of 2,987 million euros performed at the same period of the previous year, according to the preliminary data available for the execution of the State Budget on a modified cash basis in January-March 2025 released by the ministry of economy and finance on Tuesday.
It is noted that an amount of 1,423 million euros which refers to the time differentiation of payments from ordinary budget and an amount of 696 million euros which refers to the time differentiation of investment expenditure, do not affect the General Government outcome in fiscal terms.
In addition, from the tax revenues an amount of 890 million euros of the first installment of ENFIA (property tax) collected in March had been forecasted to be collected in April, while an amount of 342 million euros in tax revenues from January-February is fiscally accounted for in the year 2024. Excluding the aforementioned amounts, the surplus in the primary result on a modified cash basis, compared to the budget targets, is estimated at 526 million euros. This amount also includes a possible collection of part of the income tax that had been expected to be collected in the coming months, due to the fact that the tax return submission platform was made available as early as mid-March.
It is noted that the Primary Balance in fiscal terms differs in comparison to the result in cash terms. Additionally, the aforementioned concerns the Primary Balance of the Central Administration and not of the whole of the General Government, which also includes the fiscal results of legal entities and the sub-sectors of Local Governments (LGs) and Social Security Funds (SSFs).
According to the ministry report, the State Budget balance for the period of January – March of 2025 presented a surplus of 1,605 million euros, against the target of a deficit of 2,364 million euros that has been incorporated for the same period of 2025 in the 2025 Budget introductory report and a deficit of 44 million euros for the same period of 2024.
For January – March 2025, State Budget net revenues amounted to 17,691 million euros, showing an increase of 1,816 million euros or 11.44% against the target of the corresponding period, which is included in the 2025 Budget introductory report. It is noted that this amount includes: a) the first installment of ENFIA which was initially estimated to be collected in April of an estimated amount of 890 million euros, b) the amount of 784.8 million euros, both in revenues (under the category of “ Sales of goods and services”) and in Tax Refunds (VAT), from transactions required to be made in January 2025, for the completion of the new Concession Agreement for Attica Motorway, which concern the year 2024 and are fiscally neutral.
Tax revenues amounted to 16,896 million euros, 1,830 million euros or 12.1% higher against the target, mainly due : a) to the collection in March of the first installment of ENFIA which was estimated to be received in April as mentioned above and b) to the better performance in collecting the current year’s taxes (VAT, excise taxes etc.), and the better performance of the previous year’s income taxes collected in installments until the end of February 2025. It is noted that most of the tax revenues of the two-month period January – February affects the year 2024 in fiscal terms. Therefore, excluding the amount of 342 million euros from the tax revenues of January-February that is fiscally accounted for in the year 2024, as well as the amount of 890 million euros from the first ENFIA installment that had been projected to be collected in April, the overperformance of tax revenues for the period January-March 2025, which is fiscally accounted for in the year 2025, compared to the Budget targets, is estimated at 598 million euros. This amount also includes a possible collection of part of the income tax that had been expected to be collected in the coming months, due to the fact that the tax return submission platform was made available as early as mid-March.
A more precise allocation among the revenue categories of the State Budget will take place when the final Bulletin is issued.
Tax refunds amounted to 2,414 million euros and include the amount of 784.8 million Euros from the new Concession Agreement for Attica Motorway, as mentioned above, which fiscally affects the year 2024. Excluding this amount, tax refunds amounted to 1,629 million Euros, 103 million euros lower against the target (1,732 million euros), which is included in the 2025 Budget introductory report.
PIB revenues amounted to 1,320 million euros, 315 million euros lower than the target (1,635 million euros), which is included in the 2025 Budget introductory report.
State Budget expenditures for the period of January – March of 2025 amounted to 16,086 million euros, 2,152 million euros lower than the target (18,238 million euros ), which is included in the 2025 Budget introductory report. Τhey were also decreased in comparison to the respective period of 2024 by 781 million euros.
In the Ordinary Budget the payments are shown decreased, compared to the target, by 1,456 million euros, a fact which is mainly justified by the time differentiation of the transfers to the SSFs and the military procurement cash payments by 978 and 445 million euros respectively. The aforementioned amounts do not affect the General Government outcome in fiscal terms.
Noteworthy payments are the transfers to hospitals and YPE-PEDY of 455 million euros, as well as, the transfer of 400 million euros to cover the cost of Public Service Obligation (PSO) in the electricity sector, in accordance with the provisions of article 55 of Law 4508/2017 (Government Gazette A’ 200).
Investment expenditure amounted to 1,791 million euros and it is 696 million euros lower than the target, which has been included in the introductory report of the 2025 Budget. At the same time, it is decreased compared to the corresponding payments of 2024 by 1,021 million euros.
PS “Money” we hear and money we don’t see in our pockets *sigh*