Fiscal surplus at €587,0 mn

The preliminary General Government fiscal results, which are prepared by the Statistical Service of Cyprus (CYSTAT) indicate a surplus of €587,0 mn (2,2% of GDP) for the period of January-September 2022, as compared to a deficit of €453,3 mn (1,9% of GDP) that was recorded during the period of January-September 2021.

Expenditure

During the period of January-September 2022, total expenditure increased by €115,1 mn (+1,6%) and amounted to €7.396,8 mn, compared to €7.281,7 mn in the corresponding period of 2021.

In detail, social benefits increased by €263,8 mn (+9,7%) and amounted to €2.997,0 mn, compared to €2.733,2 mn in 2021. Compensation of employees (including imputed social contributions and pensions of civil servants) increased by €98,1 mn (+4,7%) and amounted to €2.185,9 mn, compared to €2.087,8 mn in 2021. Intermediate consumption increased by €139,2 mn (+21,0%) and amounted to €802,6 mn, compared to €663,4 mn in 2021. Current transfers increased by €8,6 mn (+2,0%) and amounted to €449,2 mn, compared to €440,6 mn in 2021.

The capital account increased by €121,1 mn (+26,6%) and amounted to €577,1 mn, compared to     €456,0 mn in 2021. In detail, gross capital formation increased by €64,2 mn (+17,7%) and amounted to €426,3 mn, compared to €362,1 mn in 2021 and other capital expenditure increased by €56,8 mn (+60,5%) and amounted to €150,8 mn, compared to €94,0 mn in 2021.

On the contrary, subsidies decreased by €482,5 mn to €60,8 mn, from €543,3 mn in 2021. Interest payable decreased by €33,2 mn (-9,3%) to €324,2 mn, from €357,4 mn in 2021.

Revenue

During the period of January-September 2022, total revenue increased by €1.155,3 mn (+16,9%) and amounted to €7.983,8 mn, compared to €6.828,4 mn in the corresponding period 2021.

In detail, taxes on production and imports increased by €416,2 mn (+16,9%) and amounted to     €2.885,9 mn, compared to €2.469,7 mn in 2021, of which net VAT revenue increased by €332,9 mn (+20,8%) and amounted to €1.930,6 mn, compared to €1.597,7 mn in 2021. Revenue from taxes on income and wealth increased by €378,8 mn (+23,3%) and amounted to €2.005,3 mn, compared to   €1.626,5 mn in 2021. Social contributions increased by €279,7 mn (+14,4%) and amounted to        €2.218,1 mn, compared to €1.938,4 mn in 2021. Revenue from the sale of goods and services increased by €50,6 mn (+11,3%) and amounted to €497,2 mn, compared to €446,6 mn in 2021. Property income increased by €1,5 mn (+1,5%) and amounted to €97,7 mn, compared to €96,2 mn in 2021. Capital transfers increased by €28,9 mn (+29,6%) and amounted to €126,4 mn, compared to €97,5 mn in 2021.

On the contrary, current transfers decreased by €0,3 mn (-0,2%) to €153,2 mn, from €153,5 mn in 2021.