01.09.2023

According to the preliminary data and estimates, as of August 2023, the Consolidated Fiscal Programme (CFP) balance is expected to be balanced (a minimum deficit of BGN 100 million, or 0.05% of the projected GDP). The main reasons for the expected deterioration of the budget stance in August are related to higher expenditures during the month, including due to payments approved by the 2023 State Budget of the Republic of Bulgaria Law that are due for periods already passed (in August, the NSSI paid the increased amount of cash childcare benefits (BGN 780) for July, as well as the supplementary payment up to the new amount for the January-June period), higher health insurance payments, maintenance costs, etc.

Key CFP parameters based on preliminary data and estimates:

As of August 2023, CFP revenues, grants and donations are expected to be BGN 42.4 billion (61.1% of the annual estimates) and increase by BGN 3.1 billion (8 per cent) compared to those reported in the same period of 2022. CFP tax revenues grow by BGN 3.0 billion in nominal terms compared to the same period of 2022 (9.8 per cent), non-tax revenues grow by BGN 0.6 billion (8.6 per cent), while grant and donation proceeds (mostly EU programme and fund grants) are less by BGN 0.4 billion.

As of August 2023, the Consolidated Fiscal Programme expenditures, including the contribution of the Republic of Bulgaria to the EU budget, amount to BGN 42.5 billion (57.4% of the annual estimates). For comparison, the CFP expenditure as of August 2022 amount to BGN 37.6 billion, which means that the expenditures increase by 13.1% in nominal terms. In the individual expenditure indicators, the most significant increase is registered with pension expenditures, as well as with the personnel, capital and other expenditure components.

The part of Bulgaria’s contribution to the EU budget paid from the central budget as of 31.08.2023 amounts to BGN 1.1 billion, which complies with the existing legislation in the area of EU own resources.

The statistics and the Information Bulletin on the Execution of the State Budget and the key Consolidated Fiscal Programme indicators based on the monthly data on cash execution of first-level spending units as of August 2023 will be published on the website of the Ministry of Finance at the end of September 2023.