Cyprus Mail
BusinessCyprus

Government produces €327m surplus in H1

Inland Revenue Department

The government generated a fiscal surplus of €3269m on a cash basis in the first half of the year compared to a surplus of €64.5m the year before, the finance ministry said.

The increased surplus was mainly on a €208m increase in revenue in January to June and a €9m reduction in spending to over €3.4bn and below €3.2bn compared to the respective period last year, the ministry said in a statement.

Revenue rose in the first half of the year mainly on a €167m increase in indirect tax revenue to €981.7m, accompanied by a €70m and a €54m rise in direct tax revenue to €892.5m and social security contributions to €617.4m compared to the respective period of 2017, the ministry said. This increase more than offset a €120m slump in non-tax revenue to €345.9m.

The reduction in spending in January to June resulted from a €69m drop in interest payments to government debt to €200.7m accompanied by a €7m drop in capital expenditure to €86.2m compared to a year before, the ministry said. This more than offset a €31m increase in public wages to €842.4m and a €19m rise in social security outlays and a €7m increase in pensions to €278.5m.

The primary surplus in the first six months of the year rose to €528.5m from €287.5m a year before, the ministry said. The figure is the difference of total revenue and spending excluding interest payments.

Related Posts

Breast cancer screening age window extended to 74

Antigoni Pitta

Pilides satisfied with EU Energy Council decisions

Antigoni Pitta

Kypria International Festival performances continue

Eleni Philippou

A hike in state funding for schools needed to overcome current situation

Sarah Ktisti

Resolving airport spat being done in consultation with president, Petrides says

Antigoni Pitta

Bronze age workshop settlement excavated in Erimi

Sarah Ktisti