General government sector has a deficit of 0.5% as a proportion of GDP in first three quarters of 2017
The deficit of the general government sector in the 1st–3rd quarters of 2017 was HUF 139.6 billion, 0.5% of GDP according to preliminary data. The balance deteriorated by HUF 301.0 billion or by 1.1 percentage points as a proportion of GDP compared to the same period of 2016. The change in the balance was due to a larger increase in expenditures than in revenues.
In the 1st–3rd quarters of 2017 compared to the same period of 2016:
The revenues of the general government sector were HUF 12,318.3 billion and its expenditures HUF 12,457.9 billion.
Revenues grew by HUF 814.2 billion or by 7.1%. Social contributions were up by HUF 77.9 billion (by 2.2%). Revenues from taxes on income were HUF 150.5 billion (8.2%) higher than a year earlier. Taxes on production increased by HUF 293.8 billion (by 6.3%), within which VAT revenues rose by HUF 207.2 billion (by 8.7%). Other revenues were up by HUF 289.0 billion or by 19.4%, mainly as a result of a significant growth in EU transfers.
Expenditures increased by HUF 1,115.2 billion or by 9.8%. The paid compensation of employees grew by HUF 215.7 billion (by 7.7%) and social benefits other than social transfers in kind by HUF 60.9 billion (by 1.8%). Other expenditures became HUF 410.2 billion (21.0%) higher – mainly due to an increase in investment grants. Gross fixed capital formation was up by HUF 394.8 billion (by 61.6%) and intermediate consumption by HUF 69.0 billion (by 4.0%). On the other hand, interest expenditures of the general government sector were lowered by HUF 35.4 billion (by –4.2%).
In the 3rd quarter of 2017 compared to the same period of 2016:
The deficit of the general government sector was HUF 367.6 billion, 3.9% of GDP, HUF 442.4 billion or 4.7 percentage points less favourable than one year earlier.
Revenues grew by HUF 150.3 billion or by 3.8%.
Expenditures were HUF 592.8 billion (15.4%) higher than a year earlier.