Cyprus government generates €1 billion surplus in first eleven months of 2023

The Cypriot government recorded a surplus of €1 billion, equivalent to 3.4 per cent of the Gross Domestic Product (GDP), between January and November 2023, according to a report released on Friday by the state’s statistical service, based on preliminary data.

This marks a substantial increase from the €636.8 million surplus (2.3 per cent of GDP) recorded in the corresponding period of 2022.

Total revenues from January to November 2023 soared by €1.22 billion (12.5 per cent), reaching €11.06 billion, compared to €9.83 billion in 2022.

Specifically, overall taxes on production and imports rose by €457.3 million (12.5 per cent), totalling €4.12 billion, compared to €3.67 billion in 2022.

Net Value-Added Tax (VAT) revenues surged by €295 million (11.8 per cent), amounting to €2.79 billion, compared to €2.49 billion in 2022.

Income and wealth taxes surged by €387.7 million (17.2 per cent), reaching €2.63 billion compared to €2.24 billion in 2022.

Social contributions increased by €356.3 million (12.9 per cent), totalling €3.12 billion, compared to €2.76 billion in 2022.

Current transfers rose by €49 million (25.4 per cent), standing at €242.2 million, compared to €193.2 million in 2022.

Service revenue rose by €61.6 million (9 per cent), reaching €748.1 million, compared to €686.5 million in 2022.

Conversely, interest received and dividends decreased by €17.8 million (-15.8 per cent), settling at €94.6 million, compared to €112.4 million in 2022.

Capital transfers decreased by €66.2 million (-42.5 per cent), reaching €89.6 million compared to €155.8 million in 2022.

Total expenses for January to November 2023 rose by €864 million (9.4 per cent), reaching €10.06 billion, compared to €9.19 billion in the corresponding period of 2022.

Specifically, social benefits increased by €259.2 million (7.1 per cent), totalling €3.93 billion compared to €3.67 billion in 2022.

Personnel expenses (including social security contributions and pensions of public employees) surged by €346.7 million (12.9 per cent), reaching €3.04 billion, compared to €2.69 billion in 2022.

Subsidies increased by €37.3 million (35.3 per cent), reaching €143.1 million, compared to €105.8 million in 2022.

Current transfers surged by €136.9 million (27.7 per cent), amounting to €632.2 million, compared to €495.3 million in 2022.

Capital account increased by €113.9 million (14.5 per cent), rising to €897 million, compared to €783.1 million in 2022.

Moreover, capital investments increased by €110.7 million (17.9 per cent), reaching €729.4 million compared to €618.7 million in 2022, while other capital transfers increased by €3.2 million (2 per cent), reaching €167.6 million, compared to €164.4 million in 2022.

Conversely, intermediate consumption decreased by €29.1 million (-2.7 per cent), settling at €1.03 billion, compared to €1.06 billion in 2022.

Finally, interest paid decreased by €0.9 million (-0.2 per cent), amounting to €381.7 million, compared to €382.6 million in 2022.