18.07.2011

Deficit on a cash basis has been improving by BGN 862.5 million in nominal terms compared to the same period of 2010

Based on preliminary data, the budget balance under the Consolidated Fiscal Programme (CFP) as of end-June 2011 is negative, amounting to BGN 652.1million (0.9 % of projected GDP). It is formed by a deficit under the national budget of 455.9 million and a deficit under EU funds of BGN 196.2 million. Just for comparison, the deficit in the period from January to June 2010 amounts to BGN 1,514.5 million (2.2 % of GDP), or the CFP deficit on a cash basis has improved by BGN 862.5 million (1.3 pp of GDP) in nominal terms for the first six months of 2011.

At end-June CFP revenues and grants stand at BGN 12,041.0 million or 45.9 % of those planned. Compared to the same period of 2010, proceeds report a growth by BGN 851.8 million or 7.6%. This is mostly due to higher indirect tax revenue, having increased by BGN 638.1 million (15.8 %). Revenues from direct taxes and from other taxes under the Corporate Income Tax Law also report some growth compared to the data reported in the same period of 2010.

The expenditures under the consolidated budget, including the contribution of the Republic of Bulgaria to the EU budget, as of 30 June amount to BGN 12,693.1 million, or 45.1 % of the planned for the year. In structural terms, compared to the June 2010, wage bill, social security expenditures and capital expenditures are lower, while health insurance payments are higher.

Fiscal reserve as of 30 June 2011 amounts to BGN 5.2 billion.

Data on the basis of consolidated monthly reports on cash budget implementation of first-level spending units as of 30 June 2011 will be published by end-July.