The Ministry of Finance announced that fiscal indicators show positive trends. Budget revenues in the first four months of the year amounted to 897.5 million euros, or 11.3 percent of the estimated GDP, which is 4.2 million euros more compared to the same period last year.
The Ministry highlighted a budget surplus in April of 54.9 million euros, which is 9.8 million euros or 21.6 percent more than planned. However, it remains unclear whether the overall balance for the first four months was a surplus or deficit. It was previously reported that the first quarter ended with a deficit of 63.9 million euros, or 0.8 percent of GDP. As of yesterday, the official report on the four-month budget execution was not available on the websites of the Government or the Ministry.
Almost all major revenue categories have increased compared to both the previous year and the plan. Corporate income tax reached 191 million euros, which is 11.8 million euros or 6.6 percent more than last year, and two million euros above the planned amount.
Personal income tax amounted to 30.9 million euros, marking a 6.8 million euros or 28.4 percent increase compared to the same period last year, and 0.7 million euros or 2.5 percent above the plan. The Ministry attributes the revenue growth to stronger economic activity and efforts to reduce the informal economy. With rising average and minimum wages, indirect tax revenues have grown significantly. VAT and excise revenues alone increased by almost 48 million euros compared to the same period last year.
VAT revenues amounted to 383.9 million euros, which is 37 million euros or 10.7 percent more than last year and 5.8 million euros above the plan. VAT refunds were also higher by 5.8 million euros compared to the previous year.
The legal cigarette market continues to grow. Excise revenues totaled 104.7 million euros, which is 10.9 million euros or 11.6 percent more than last year and 6.1 million euros or 6.2 percent above the plan. Within excise taxes, tobacco-related revenues increased by 8.3 million euros or 29.7 percent, with a 52.9 percent rise recorded in April alone.
Other revenues exceeded expectations, reaching 16.6 million euros, or 7.7 million euros more than planned, an increase of 87 percent.
In April alone, total budget revenues amounted to 317.1 million euros, matching the planned level. Overall, budget performance in the first four months was nine million euros better than expected.
The Ministry concluded that effective budget management is producing positive results, citing increased revenues and fiscal stability. They reaffirmed their commitment to maintaining fiscal discipline and pursuing measures that support sustainable growth and macroeconomic stability.
