site.btaConsolidated Fiscal Programme for 2017 with Surplus of 0.8 Per Cent of Projected GDP

Sofia, February 1 (BTA) - Based on the monthly data of first-level spending units, the 2017 Consolidated Fiscal Programme (CFP) balance on a cash basis was positive, amounting to 845.2 million leva or 0.8 per cent of the projected GDP, and was formed by a national budget surplus of 309.1 million leva and by a surplus of EU funds of 536.1 million leva, the Finance Ministry reported Wednesday. In comparison, the 2017 National Budget Act estimates a CFP deficit of 1,330 million leva for the year, which means that a nominal improvement in the budget balance by almost 2.2 billion leva is reported for the year as compared to what is set in the Programme.

The CFP revenues and grants in 2017 stood at 35,315.2 million leva, or 99.6 per cent of the annual estimates. In structural terms, tax and social security revenues exceeded the estimates for the year by 5.5 per cent, while the performance of non-tax and grant revenues was lower than the annual estimates. Compared to the previous year, tax and non-tax revenues rose by 2,741.7 million leva or 8.8 per cent, with grant proceeds being lower.

Tax proceeds, including revenues from social security contributions, totalled 29,581.3 million leva, which accounts for 105.5 per cent of the revenues planned for the year. An over-performance of the annual estimates is reported for most of the main taxes and social security contributions. Compared to the 2016 data, tax proceeds increased in nominal terms by 2,678.6 million leva or 10 per cent.

Direct tax revenues amounted to 5,644.3 million leva or 110.8 per cent of the estimates planned for the year, growing by 607 million leva or 12.1 per cent compared to the same period of 2016.

Indirect tax revenues amounted to 14,532.5 million leva, which accounts for 103.7 per cent of the annual estimates. Compared to the 2016 data, proceeds in this group grew by 970.8 million leva or 7.2 per cent. VAT proceeds amounted to 9,320.2 million leva or 106.1 per cent of those planned. Compared to the previous year, VAT revenues increased by 767.3 million leva or 9 per cent. The amount of non-refunded VAT as of December 31 was 50.5 million leva. The excise duty revenues amounted to 4,984.5 million leva or 98.9 per cent of the annual estimates. Customs duty proceeds totalled 194.3 million leva or 117 per cent of the estimates for the year.

Proceeds from other taxes, including property taxes and taxes under the Corporate Income Tax Act, amounted to 1,039.4 million leva or 104.9 per cent of the annual estimates.

Revenues from social security and health insurance contributions totalled 8,365.1 million leva, which accounts for 105.4 per cent of the estimates for the year. Compared to the previous year, the revenues from social security contributions rose in nominal terms by 1,047.3 million leva or 14.3 per cent.

Non-tax revenues amounted to 4,213.2 million leva, which accounts for a performance of 88.5 per cent of the annual estimates.

Grant revenues amounted to 1,520.7 million leva or 57.5 per cent of those planned for the year.

CFP expenditures, including Bulgaria's contribution to the EU budget for 2017, amounted to 34,469.9 million leva, which accounts for 93.7 per cent of the annual estimates. In comparison, the 2016 CFP expenditures amounted to 32,491.4 million leva.

Non-interest expenditures amounted to 32,789.6 million leva, which accounts for 94.9 per cent of the annual estimates. Non-interest current expenditures for 2017 amounted to 29,033.7 million leva or 102.5 per cent of the estimates for the year, capital expenditures (including net increment of state reserve) amounted to 3,755.9 million leva or 60.5 per cent of the 2017 National Budget Act estimates. Interest payments amounted to 792.1 million leva or 95.8 per cent of those planned for 2017.

The part of Bulgaria's contribution to the EU budget, as paid from the central government budget in 2017, amounted to 888.2 million leva,

The fiscal reserve as of end-December 2017 was 10.3 billion leva, including 9.8 billion leva of fiscal reserve deposits in the Bulgarian National Bank and in banks and 0.5 billion leva of receivables under the EU funds for certified expenditure, advance payments, etc.

Based on preliminary data and estimates, the CFP balance on a cash basis for January 2018 is expected to be positive and amount to 1,211.4 million leva or 1.1 per cent of the projected GDP, the Finance Ministry said. In comparison, a surplus of 884.2 million leva or 0.9 per cent of GDP was registered in January 2017.