01.09.2020

Based on preliminary data and estimates the budget balance under the Consolidated Fiscal Programme (CFP) for August 2020 is expected to be a deficit, amounting to BGN 190.4 million, which is mostly due to drop in revenues.

Key CFP parameters on the basis of preliminary data and estimates:

As of August 2020, CFP revenues, grants and donations are expected to be BGN 28,787.0 million (64.8 % of the updated annual estimates). Compared to the same period of 2019, as of August 2020, tax and non-tax revenues under the Consolidated Fiscal Programme contract by BGN 949.8 million, while proceeds from grants increase by BGN 430.9 million. The slowdown of revenues is due to the negative implications on proceeds from all key taxes as a result of the limitations in response to COVID-19 in Bulgaria and worldwide.

The Consolidated Fiscal Programme expenditures, including the contribution of the Republic of Bulgaria to the EU budget, as of August 2020 amount to BGN 27,253.5 million, which is 56.9 % of the updated annual estimates. For comparison, the expenditures under the CFP as of August 2019 amounted to BGN 28,193.3 million. As compared to the same period of the previous year, there is a nominal increase mainly in terms of social security and health insurance payments, staff costs, etc.

As of August 2020, the surplus of revenues over expenditures under the CFP is expected to be BGN 1,533.4 million (1.3 % of the forecast GDP).

The part of Bulgaria's contribution to the EU budget, paid from the central budget as of 31.08.2020, amounts to BGN 808.5 million, which complies with the current legislation in the area of EU own resources – Council Decision 2014/335/EU, Euratom on the system of own resources of the European Union, Council Regulation (EU, Euratom) No 608/2014 of 26 May 2014 laying down implementing measures for the system of own resources of the European Union, and Council Regulation (EU, Euratom) No 609/2014 of 26 May 2014 on the methods and procedure for making available the traditional, VAT and GNI-based own resources and on the measures to meet cash requirements as amended by Council Regulation (EU, Euratom) No 2016/804 of 17 May 2016.

The statistical data and the Information Bulletin on the execution of the state budget and the key indicators of the Consolidated Fiscal Programme based on data from the monthly reports on the cash performance of the budgets of the first-level spending units as of August 2020 will be published on the website of the Ministry of Finance at the end of September 2020.