KSH: Government deficit is 1.1% of GDP in H1
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The deficit of the general government sector in Hungary was HUF 184.0 bln, 1.1% of GDP in the first half of the year, which figure is HUF 324.4 bln, or 2.1 percentage points less as a proportion of GDP compared to the same period of the preceding year, preliminary data published by Hungary’s Central Statistical Office (KSH) today reveals.
The lower-than-base-period deficit stemmed from revenues increasing at a higher rate than expenditures, while the deficit of the general government sector was HUF 23.1 bln in the second quarter of this year, 0.3% of GDP, KSH added.
Data by KSH suggest that revenues of the general government sector were HUF 7,708.9 bln, while its expenditures HUF 7,893.0 bln in the first half.
In year-on-year terms revenues were up by 8.5%. Growth was recorded in actual social contributions (5.3%), taxes on production and imports (4.0%) – within which VAT payments went up by 7.5% – and revenues from taxes on income (3.5%). Other revenues – mainly due to the increase of transfers from EU funds – rose by 29.0%, KSH said.
Expenditures grew by a y.o.y. 3.6%, within which the highest increase (26.8%) was measured for gross fixed capital formation due to investments realized from EU funds, KSH reported. Compensation of employees was up by 8.5%, while interests decreased by 7.2% and intermediate consumption by 3.7%, while social benefits other than social transfers in kind remained practically unchanged (0.1%), KSH added.
The deficit of the general government sector was HUF 23.1 billion, 0.3% of GDP, which was HUF 280.3 bln, or 3.5 percentage point less in year-on-year terms.
Revenues increased by a y.o.y. 9.2%, with growth being registered in actual social contributions (4.4%), taxes on production and imports (4.1%) – within which VAT payments rose by 8.2% – and taxes on income (2.9%).
Expenditures were up by 1.4% in year-on-year terms, while gross fixed capital formation rose by 34.5% and compensation of employees by 8.1%. Interests fell by 8.8%, intermediate consumption by 3.2% and social benefits other than social transfers in kind by 1.2%, KSH data reveals.
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