Cyprus government posts half a billion in surplus

Cyprus’ general government posted a surplus of €556.4 million for the period between January and October 2022, according to the preliminary financial results published this week by the Cyprus Statistical Service (Cystat).

The amount amounts to 2.1 per cent of GDP. In the same period of 2021, the general government recorded a deficit of €329.5 million, which corresponded to 1.4 per cent of GDP.

In more detail, the total expenses during the period between January and October 2022 increased by €169.8 million, a rise of 2.1 per cent, and reached €8.2 billion, compared to €8.06 billion in the corresponding period of 2021.

Social benefits increased by €261.9 million, marking an increase of 8.6 per cent, and amounted to €3.3 billion, compared to €3.03 billion in 2021.

Employee benefits increased by €120 million, a rise of 5 .2 per cent, and amounted to €2.43 billion, compared to €2.31 billion in 2021.

Interim consumption increased by €166.4 million, a rise of 22.3 per cent, and amounted to €913.6 million, compared to €747.2 million in 2021.

Current transfers increased by €10.2 million, a rise of 2.1 per cent, and amounted to €497.4 million, compared to €487.2 million in 2021.

What is more, the capital account increased by €163.3 million, a rise of 32.4 per cent, reaching €667.3 million, compared to €504 million in 2021.

Fixed capital investments increased by €122.1 million, a rise of 30.4 per cent, and amounted to €523.3 million, compared to €401.2 million in 2021.

Other capital transfers increased by €41.1 million, a rise of 40 per cent, reaching €144 million, compared to €102.9 million in 2021.

Conversely, subsidies recorded a decrease of 85.2 per cent, falling by €474.5 million to €82.5 million, compared to €557 million in 2021.

Interest paid fell by €77.5 million, a decrease of 18.7 per cent, dropping to €337.4 million, compared to €414.9 million in 2021.

Meanwhile, total revenues increased by €1.05 billion between January and October 2022, marking a rise of 13.6 per cent, and amounted to €8.79 billion, compared to €7.73 billion during the corresponding period of 2021.

Specifically, total taxes on production and imports increased by €441.1 million, a rise of 15.8 per cent, and amounted to €3.23 billion, compared to €2,79 billion in 2021, of which net VAT revenue, after deducting refunds, increased by €351.6 million, growing by 19.3 per cent, to €2.17 billion, compared to €1.82 billion in 2021.
Revenue from income and wealth taxation increased by €379.9 million, a rise of 21.8 per cent, to €2.12 billion, compared to €1.74 billion in 2021.

In addition, social contributions increased by €298.2 million, a rise of 13.8 per cent, and reached €2.46 billion, compared to €2.16 billion in 2021.

Revenue from services increased by €29.6 million, a rise of 5.6 per cent, and amounted to €562.2 million, compared to €532.6 million in 2021.

Interest and dividends received increased by €1.1 million, a rise of 1.1 per cent, and amounted to €104.9 million, compared to €103.8 million in 2021.

Current transfers increased by €1.7 million, a rise of 1 per cent, reaching €169.9 million, compared to €168.2 million in 2021.

Finally, capital transfers decreased by €95.8 million, a drop of 40.7 per cent, falling to €139.7 million, compared to €235.5 million in 2021.