Surplus as a proportion of GDP is 0.1%
The balance of the general government sector – according to preliminary data – was in surplus by HUF 11.0 billion in the 1st quarter of 2016, which was 0.1% of GDP. The balance improvement of HUF 301.6 billion or 3.6 percentage points as a proportion of GDP was due to a decrease in expenditures and a growth in revenues.
In the 1st quarter of 2016 compared to the same period of 2015:
The revenues of the general government sector were HUF 3,701.7 billion and its expenditures HUF 3,690.6 billion.
Revenues grew by 3.1% or by HUF 112.1 billion. The HUF 92.0 billion (18.0%) rise in revenues from taxes on income was due to a growth in payments from enterprises. Social contributions were HUF 57.9 billion (5.4%) higher, and revenues from taxes on production contributed a growth of HUF 21.3 billion (1.5%) to the rise of government sector revenues. Other revenues were HUF 59.1 billion lower (–10.0%), which was mainly due to a reduction in EU funds.
Expenditures were lowered by HUF 189.4 billion or by 4.9%. In line with a decrease in the payments of EU transfers, the largest declines were recorded in other expenditures – including investment aids – and in gross fixed capital formation compared to a year earlier: the former item fell by HUF 100.7 billion (–12.5%) and the latter by HUF 92.3 billion (–39.9%). Interests were HUF 28.5 billion lower (–8.9%) and social benefits other than social transfers in kind HUF 23.6 billion less (–2.0%). At the same time, the compensation of employees grew by HUF 58.3 billion or by 7.0%.