The percentage of implementation of the state budget’s developmental expenses in the first month of 2024 amounted to 1% (€17.86 million), according to an announcement by the General Accounting Office, remaining at the average level of the last decade.
Implementation in relation to revenues stands at the same levels as January of the previous year, at 8%, but shows a decrease compared to expenditures, at 4%, down from 6% in January 2023.
In a statement titled “Implementation of the State Budget January 2024,” the General Accounting Office states that by the end of January 2024, total revenues amounted to €0.88 billion, corresponding to 8% of the state budget (2023: €0.8 billion, 8%), and actual expenditures amounted to €0.55 billion, corresponding to a 4% implementation rate (2023: €0.78 billion, 6%).
The implementation of the state budget in relation to revenues remains at the same levels as the corresponding period of the previous year (2024: 8%, 2023: 8%), while it shows a decrease in relation to expenditures (2024: 4%, 2023: 6%).
The General Accounting Office notes that the decreased implementation in relation to expenditures is due to reduced outflows for loan repayments and interest (2024: €0.05 billion, 2023: €0.28 billion).
More specifically, regarding implementation in relation to revenues, indirect taxes decreased in January 2024 by €0.01 billion (5%) compared to 2023, mainly due to a decrease in VAT revenue by €0.02 billion (2024: €0.24 billion, 2023: €0.26 billion).
Direct taxes increased by €0.12 billion (28%) compared to 2023, mainly due to Income Tax for Legal and Natural Persons (2024: €0.51 billion, 2023: €0.40 billion), while there were no loan withdrawals by the end of January, both in 2024 and 2023.
Regarding the implementation of the state budget in relation to expenditures, there is an increase of 9% (€0.02 billion) in terms of salaries, pensions, and gratuities from €0.23 billion in 2023 to €0.25 billion in 2024.
Loan repayments and interest amounted to €0.05 billion (2023: €0.28 billion), of which €0.04 billion (2023: €0.05 billion) pertains to loan interest and charges and €0.01 billion (2023: €0.23 billion) to internal loan repayment.
Moreover, expenses on social benefits for January 2024 amounted to €0.08 billion (2023: €0.08 billion), remaining at the same levels as the corresponding period of the previous year.
More specifically, concerning the implementation of the state budget regarding developmental expenses, capital expenditure implementation for January 2024 amounted to €5.9 million and is mainly attributed to expenses for the road network, amounting to €3.4 million, and expenses for the construction, expansion, and improvement of school buildings, amounting to €1.9 million.
Implementation for co-financed and other financial expenses for January 2024 amounted to €3.2 million and is mainly attributed to the Tuition and Child Feeding Assistance Scheme for children up to 4 years old, amounting to €1.6 million, the Grants Scheme for Enhancing the Competitiveness of SMEs amounting to €0.3 million, the Save – Upgrade Homes Scheme amounting to €0.2 million, and the Employment Incentive Scheme for the Unemployed amounting to €0.2 million.
Furthermore, according to the General Accounting Office, implementation for sponsorships, contributions, and grants amounted to €7 million by the end of January 2024, mainly attributed to sponsorships for semi-governmental organizations amounting to €4.6 million and the state’s contribution to the European Peace Facility amounting to €1.1 million, the European Investment Bank amounting to €0.6 million, and the European Development Fund amounting to €0.1 million.
Implementation of social benefits by the end of January 2024 amounted to €1.1 billion and is mainly attributed to grants to Volunteer Organizations amounting to €0.7 billion and expenses for Cultural provisions amounting to €0.4 billion.