Greece’s state budget primary surplus in January-August 2024 stood at 7.547 billion euros, against a target of 3.316 billion euros, according to preliminary figures on the execution of the state budget released by the national economy and finance ministry on Wednesday.
During the same period, tax revenues amounted to 43 billion euros, which was 1.9 billion euros or 4.6% higher than the targeted amount, the ministry said. The overperformance in revenues was due to higher amounts collected from income tax and VAT, it said.
The ministry’s full announcement follows:

According to the preliminary data available for the execution of the State Budget on a modified cash basis, the State Budget balance for the period of January – August of 2024 presented a surplus of 1,048 million Euros, against a target of a deficit of 2,774 million Euros that has been incorporated for the same period of 2024 in the 2024 Budget introductory report and a deficit of 92 million Euros for the same period of 2023. The State Budget Primary Balance on a modified cash basis amounted to a surplus of 7,571 million Euros, against the primary surplus target of 3,316 million Euros and the primary surplus of 5,596 million Euros performed at the same period of the previous year.

It is noted that part of the difference in tax revenues of 647 million Euros is accounted in the fiscal result of 2023, while 2,488 million Euros concerning the time differentiation of the transfers to SSFs by 1,854 million Euros and the military procurement cash expenditure by 634 million Euros, do not affect the outcome in fiscal terms.

With the exception of the above amounts, the overperformance in the State Budget Primary Balance for the period of January – August is 1,120 million Euros.

Therefore, the Primary Balance in fiscal terms differs in comparison to the result in cash terms. It is pointed out that the aforementioned concerns the Primary Balance of the Central Administration and not of the whole of the General Government, which also includes the fiscal results of legal entities and the sub-sectors of LGs and SSFs.

In addition, the above amounts concern the comparison against the State Budget 2024 introductory report targets. During the preparation of the Stability Programme in April 2024, it had already been taken into account an amount of 1,238 million Euros on a fiscal basis, that originates from an updated estimation of tax revenues of 2024, which is directed to increased expenses of the Ordinary Budget of the General Government entities, as well as, of the national part of the PIB.

For the period of January – August 2024, State Budget net revenues amounted to 45,137 million Euros, showing an increase of 232 million Euros or 0.52% against the target of the corresponding period, which is included in the 2024 Budget introductory report, despite the fact that the target of the Budget introductory report includes: a) the amount of 1,797 million Euros from Recovery and Resilience Facility (RRF), the biggest part of it, namely 1,687 million Euros, has been collected in December of 2023 and an additional amount of 159 million Euros has been collected in January 2024 and b) the collection in June of the agreement’s value amounting to 1,350 million Euros, for the service concession contract for the financing, operation, maintenance and exploitation of Egnatia Motorway and three (3) vertical road axes, which was signed on 29th of March 2024. The subsequent steps of the process until the payment of the fee are expected to be completed within the next months.

Tax revenues amounted to 43,092 million Euros, 1,989 million Euros or 4.8% higher against the target which is included in the 2024 Budget introductory report. This overperformance is due to the better performance of the previous year income taxes of natural and legal persons collected in installments until the end of February 2024 (it is noted that an estimated amount of 647 million Euros is counted in the fiscal result of 2023), as well as, the better performance in the collection of the current year taxes. Therefore, the tax revenues overperformance which is accounted in the 2024 fiscal result, is 1,342 million Euros.

It is noted that the above amounts concern the comparison against the State Budget targets. During the preparation of the Stability Programme in April 2024, an estimated tax revenues increase of 1,238 million Euros had already been taken into account, which is directed to increased estimated expenses of 2024 of the Ordinary Budget of the General Government entities, as well as of the national part of the PIB, as reflected in the Stability Programme.

Tax refunds amounted to 4,499 million Euros, 41 million Euros higher than the target (4,457 million Euros).

PIB revenues amounted to 3,147 million Euros, 569 million Euros higher than the target (2,578 million Euros).

A more precise allocation among the revenue categories of the State Budget will take place when the final Bulletin is issued.

Particularly, in August 2024 the State Budget net revenues amounted to 5,950 million Euros, 631 million Euros lower than the monthly target.

Tax revenues amounted to 6,226 million Euros, 201 million Euros or 3.1% lower against the State Budget target, which is estimated that it is linked to the increased income tax collections, mainly of CIT of the previous month, linked to the tax declarations deadline.

Tax refunds amounted to 600 million Euros, 37 million Euros higher than the target (563 million Euros).

PIB total revenues amounted to 143 million Euros, 376 million Euros lower than the target (519 million Euros).

State Budget expenditures for the period of January – August of 2024 amounted to 44,089 million Euros, 3,590 million Euros lower than the target (47,679 million Euros), which is included in the 2024 Budget introductory report. Τhey were also increased in comparison to the respective period of 2023 by 878 million Euros, mainly due to the increased interest payments.

In the Ordinary Budget the payments are shown decreased, compared to the target, by 3,291 million Euros. This evolution is mainly attributed to the time differentiation of the transfers to SSFs by 1,854 million Euros, as well as, to the military procurement cash expenditure of 634 million Euros, which do not affect the outcome in fiscal terms. On the contrary, increased payments in relation to the target were presented in interest payments to service government debt by 465 million Euros.

Noteworthy transfers are the 130 million Euros which were paid by the Ministry of Rural Development and Food to ELGA, for the compensation of agricultural holdings affected by flooding, due to the DANIEL-ELIAS storms in September 2023 and for relevant land improvement programs, the 225 million Euros which were paid by the Ministry of Infrastructure and Transportation as a grant to transportation entities (OASA, OASTH and OSE), the 276 million Euros which were paid by the Ministry of Health as a grant to the National Centralized Health Procurement Authority (EKAPY) to cover the cost of supplying medicines for the needs of ESY hospitals and Papageorgiou hospital and the 98 million Euros which were paid as a grant to Universities for covering their operational costs.

Investment expenditure amounted to 6,549 million Euros presenting decreased payments by 299 million Euros compared to the target.