The State Budget balance presented a deficit of 103 million euros, on a modified cash basis, for the period of January-August of 2023, according to the preliminary data available for the execution of the State Budget compared to a target of a deficit of 2,426 million euros that has been incorporated for the same period of 2023 in the 2023 budget introductory report and a deficit of 4,105 million euros for the same period of 2022. The State Budget Primary Balance amounted to a surplus of 5,585 million euros, against the primary surplus target of 2,314 million euros and the primary surplus of 19 million euros performed at the same period of the previous year.
State Budget net revenues amounted to 43,105 million euros, showing overperformance of 47 million euros or 0.1% against the target of the corresponding period, which is included in the 2023 budget introductory report.
Tax revenues amounted to 39,911 million euros, 3,416 million euros or 9.4% higher against the target which is included in the 2023 budget introductory report. Part of this increase, amounting to approximately 470 million euros, concerns the extension of the deadline of the payment of road duties until the end of February 2023, while it was estimated that this amount would be collected in December 2022. The remaining amount of over-execution is due to the better performance of income taxes of natural and legal persons of the previous year, collected in installments until the end of February 2023, as well as the best performance of the collection of taxes of the current year.
Tax refunds amounted to 571 million euros, 136 million euros higher than the target (434 million euros).
However, there are concerns that the budget may be negatively affected by the economic consequences of the storm ‘Daniel’. The government has already stated that it would table a supplementary budget of nearly 600 million euros over the massive cost to the economy of the storm.
