Wednesday November 26, 2014 Search
Weather | Athens
12o C
9o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Budget revenues still off target

 Dramatic reduction in public spending sees primary deficit contained in the Jan-to-May period

By Prokopis Hatzinikolaou

State revenue data for the first five months of the year are substantially worrying, owing to the delay in the submission of tax statements, although the reduction in expenditure has kept the budget on target, according to official figures released yesterday by the Finance Ministry.

The state is only disbursing money to pay for salaries and pensions and not for procurements or the payment of ministries obligations. The figures would have been much worse had the Public Investment Program not been sacrificed once more on the altar of the deficit, accentuating the deep recession the country is going through.

Net budget revenues lagged the governments target by 666 million euros in the year to May while shrinking by 1.1 billion euros from the same period last year. The collection of 19.4 billion euros, before tax returns, compared with 20.5 billion euros in 2011. In May alone revenues amounted to 3.5 billion euros against 3.8 billion in May 2011, posting a 9.57 percent decline.

State spending, however, was 2.9 billion euros below target, at 30.54 billion euros, with budget spending dropping by 1.5 billion euros and the Public Investment Program shrinking by 1.4 billion. There was also a decline of spending by 300 million euros in salary costs. The Finance Ministry is looking into the reasons for that but assumes it is due to the early retirements.

The primary deficit, which excludes interest payments, came to 2.4 billion euros, against a target for 4.2 billion euros.

The ministry now calculates that its cash reserves will last until July 20 for the state, against a previous forecast for end-June, as the government continues to issue treasury bills. Sources suggest that the state currently has no more than 2 billion euros in its coffers.

An emergency scenario suggests that cash reserves could last until the end of the year, but only by paying for salaries and pensions and nothing else. The ministry is not contemplating such an option at this stage, though, as that would signify a killer blow to the already stagnant market.

ekathimerini.com , Tuesday June 12, 2012 (23:27)  
Debtors snap up offer for easier settlements
Belgium gas firm said to be eyeing DESFA
OLP approval paves way for investment in Piraeus
Airport tender exceeds expectations
Hundreds of migrants on crippled ship off Crete
Ships from Greece rushed to help after a crippled freighter crammed with hundreds of migrants floundered for hours Tuesday in gale-force winds and high waves in the Mediterranean Sea, offici...
Policemen suspected of working at Piraeus bar where shooting took place
At least three serving policemen are thought to have been working at the bar in Mikrolimano, Piraeus, where a 31-year-old man opened fire with an AK-47 early on Saturday, resulting in 15 peo...
Inside News
SOCCER
Atletico eyes last 16 berth against Olympiakos
Greek champion Olympiakos faces a tough task if it is to prevent last season's beaten finalist Atletico Madrid sealing its passage into the last 16 of the Champions League at the Vicente Cal...
SOCCER
EPO ends soccer suspension, Super League resumes
Soccer action will resume this weekend after the Super League convened on Monday, elected a new president and alternate president and sent a letter to the soccer federation that assures it t...
Inside Sports
COMMENTARY
Beware of the fallen idols
Akis Tsochatzopoulos, a legendary figure of the Greek socialist movement, a man who came very close to taking over the party that governed the country for half of the time following the fall...
EDITORIAL
The hard truth
The coalition government must tell the truth to the Greek people, even if this entails admitting to mistakes made over the last few months. The countrys citizens are fully aware of how cruc...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
RECENT NEWS
1. Hundreds of migrants on crippled ship off Crete
2. Atletico eyes last 16 berth against Olympiakos
3. Debtors snap up offer for easier settlements
4. Belgium gas firm said to be eyeing DESFA
5. OLP approval paves way for investment in Piraeus
6. Airport tender exceeds expectations
more news
Today
This Week
1. Anastasiades to undergo heart surgery in the US on Dec 4
2. Cargo vessel carrying hundreds of migrants adrift southeast of Crete
3. Trade deficit widens by 8.7 percent during Jan-Sept period, says ELSTAT report
4. Two police officers among 9 arrested for drug trafficking
5. Fraport, Copelouzos offer highest bid for Greek regional airports
6. Stop Mediterranean becoming vast migrant cemetery, Pope tells Europe
Today
This Week
1. Double quake on Atalanti fault line rattles Greek capital [Update]
2. Biden heads to Istanbul amid tension over Cyprus EEZ violation
3. Give Greece a chance
4. Every age has its collaborators
5. Carlsberg takes control of Greek brewer Olympic Brewery [Update]
6. Scientists expand excavation of ancient Amphipolis
Find us ...
... on
Twitter
... on Facebook
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright 2014, H KAΘHMEPINH All Rights Reserved.