site.btaConsolidated Fiscal Programme Expected to Have BGN 100 Mln Surplus at End-May 2024

The Consolidated Fiscal Programme is expected to have a BGN 100 million surplus at the end of May 2024, the Ministry of Finance said on Monday. The fiscal balance of the CFP for May, on a month-on-month basis compared to April, decreased by about BGN 500 million.

The Ministry explains that the decrease is mainly due to expenditure incurred with a one-off effect for the year, as well as expenditure paid for staff salaries backdated to January 1, 2024, to address pay disparities in the civil service and higher education institutions. Also in May, some BGN 300 million was paid to farmers.

The Ministry of Finance reports that revenues, aids and donations under the CFP as of May are expected to amount to BGN 28.2 billion, which is 37.5% of the annual estimates and increased by BGN 3.3 billion, or 13.3% compared to the same period of the previous year. Compared to the same period of 2023, tax revenue increased in nominal terms by BGN 2.1 billion (10.7%), non-tax revenue increased by around BGN 400 million (8.6%) and receipts in the part of aid and donations (mainly grants under EU programmes and funds) almost doubled (by BGN 800 million).

The CFP expenditure (including Bulgaria's contribution to the EU budget) as of May amounted to BGN 28.1 billion, which is 34.5% of the annual estimates. On a comparable basis with the previous year, an increase is reported, mainly in social expenditure, due to the higher pensions paid following the increase effective from July 2023, as well as in personnel expenditure following the increase in salaries of teaching staff and in some other administrations by the state budget law for 2023 and 2024.

Bulgaria’s contribution to the EU budget paid from the central budget as of  May 31 amounts to BGN 600 million, which complies with the existing legislation in the area of EU's own resources.