site.bta2023 Q2 General Government Deficit to GDP Ratio Up in Both EU, Bulgaria from Q1

In the second quarter of 2023, the seasonally adjusted general government deficit to GDP ratio stood at 3.2% in the EU, a slight increase of 0.1 percentage points from the first quarter, according to data released by the Statistical Office of the European Union (Eurostat) on Monday.

Measures to alleviate the impact of high energy prices continued to have a strong impact on the government balances in the second half of 2022 and first and second quarters of 2023 and the majority of Member States continued to record a government deficit.

In the EU, total government revenue was 45.6% of GDP in the second quarter of 2023, the ratio remaining stable as compared with the first quarter of 2023. Seasonally adjusted total revenue in the EU increased by around EUR 30 billion compared with the first quarter of 2023. Total government expenditure in the EU was 48.9% of GDP, an increase compared with 48.7% of GDP in the previous quarter. Seasonally adjusted total expenditure increased by around EUR 38 billion compared with the previous quarter.

In Bulgaria, the seasonally adjusted government deficit grew from 3.5% of GDP in the first quarter of 2023 to 3.8% in the second quarter. This translates as an increase in the excess of total government expenditure over revenue to EUR 889.4 million in January-March to EUR 889.4 million in June-September 2023.

Seven Member States reported larger deficits to GDP ratios than Bulgaria for the second quarter of 2023: Romania (-6.3%), Hungary (-6.6%), Slovakia (-4.8%), France (-4/6%), Spain (-4.4%), Belgium (-4.1%) and Poland (-4.1%). At -3.8%, Finland's ratio was the same as Bulgaria's.