01.04.2019

Based on the preliminary data and estimates, the Consolidated Fiscal Programme (CFP) balance on a cash basis as of March 2019 is expected to be positive, amounting to BGN 1,789.0 million (1.5% of the projected GDP).

Key CFP parameters based on preliminary data and estimates:

As of March 2019, CFP revenues and grants are expected to be BGN 10,849.2 million, which accounts for 24.7% of the annual estimate. Compared to March 2018, CFP revenues grow by BGN 1,629.3 million, with growth being registered both for tax and non-tax revenues and for proceeds from grants and donations where EU programme and fund grants are mainly received. Based on the estimates, tax revenues report a growth by BGN 713.9 million, non-tax revenues – by BGN 510.2 million, and proceeds from grant and donations – by BGN 405.2 million. It should be noted that due to the tax calendar specifics the majority of the corporate taxes are received in March, which results in the higher average monthly tax proceeds for the year. A baseline effect appears in the non-tax revenue part relating to the revenues under the Electricity System Security Fund due to the amendments to the Energy Law in force as from 1 July 2018 which have changed the mechanism for collection of revenues under the Fund’s budget. The revenues under the Fund’s budget for Q1 of 2019 are therefore higher than the proceeds for the same period of 2018.

As of March 2019, the Consolidated Fiscal Programme expenditures, including the contribution of the Republic of Bulgaria to the EU budget, amount to BGN 9,060.2 million, which accounts for 20.4% of the annual estimates. For comparison, the CFP expenditures as of March 2018 amount to BGN 8,628.2 million. Compared to the same period of the previous year, the nominal increase is mainly due to the higher amount of staff costs (an increase in the civil servants’ individual salaries), social payments (a baseline effect from the pension increase in July 2018) and the contribution to the EU budget. 

The part of Bulgaria’s contribution to the EU budget, as paid from the central budget as of 31.03.2019, amounts to BGN 466.1 million, which complies with the existing legislation in the area of EU own resources, i.e. Council Decision 2014/335/EU on the system of own resources of the European Union, Council Regulation (EU, Euratom) No 608/2014 of 26 May 2014 laying down implementing measures for the system of own resources of the European Union and Council Regulation (EU, Euratom) No 609/2014 of 26 May 2014 on the methods and procedure for making available the traditional, VAT and GNI-based own resources and on the measures to meet cash requirements, as amended by Council Regulation (EU, Euratom) 2016/804 of 17 May 2016.

The statistical data and the Information Bulletin on the Execution of the State Budget and the key Consolidate Fiscal Programme indicators based on the monthly data on cash execution of first-level spending units as of March 2019 will be published on the website of the Ministry of Finance at the end of April 2019.