Consolidated Fiscal Programme performance data as of 31.07.2022 are published
01.09.2022
Based on data from the monthly reports on the cash performance of the budgets of first-level spending units, the budget balance of the Consolidated Fiscal Programme (CFP) on a cash basis as of July 2022 is positive, amounting to BGN 1,518.9 million (1.0 % of forecast GDP) and is formed by an excess of revenues over expenditures under the national budget of BGN 840.6 million and under EU funds of BGN 678.3 million.
The CFP revenues, grants and donations as of July 2022 are to the amount of BGN 33,833.9 million, or 56.7 % of the revised annual estimates[1]. Proceeds have increased by BGN 4,580.4 million (15.7 %) compared to those reported as of July 2021. Tax and non-tax proceeds under CFP rise by BGN 4,222.5 million in nominal terms, while proceeds from grants and donations (mostly EU programme and fund grants) are by BGN 357.9 million more as compared to the amount reported for the same period of the previous year.
Tax proceeds under CFP, including revenues from social security and health insurance contributions, total BGN 26,115.0 million, which is 56.6 % of the annual plans. Proceeds from taxes and social security and health insurance contributions have grown by BGN 3,356.1 million (14.7 %) compared to those reported for the same period of the previous year, forming 77.2 % of the overall CFP proceeds for the period.
Revenues from direct taxes amount to BGN 5,203.2 million, or 57.5 % of the annual estimates. Indirect tax revenues amount to BGN 12,251.5 million (55.0 % of the annual estimates), with VAT revenues amounting to BGN 8,702.4 million (54,3 % of the plans), excise duty revenues – to BGN 3,253.6 million (55.9 % of the estimates), and customs duty revenues – to BGN 261.5 million (68.8 % compared to the annual estimates). Proceeds from other taxes, including property taxes and other taxes under the Corporate Income Tax Law, amount to BGN 1,033.8 million, or 73.7 % performance of the annual estimates. Revenues from social security and health insurance contributions are BGN 7,626.5 million, or 56.9 % of those planned for the year.
The most significant contributor for the growth of tax proceeds are the revenues from value added tax (VAT) which amount to BGN 8,702.4 million as of 31.07.2022 – by 21,3 % more than the revenues as of end-July 2021. The increase is mainly due to the higher revenues from VAT on imports (by 63,2 %) as compared to 2021 (BGN 1,544.6 million). The dynamics of the revenues from VAT on imports is influenced by the growth of the average exchange prices (in USD) of raw materials which form a major part of imports from third countries. The index of prices of imported goods has risen by 29.1 % and quantities have increased by 32.3 %.
Non-tax revenues amount to BGN 5,812.8 million and are mostly formed by revenues from state, municipal and legal fees, revenues from rents, concession revenues, greenhouse gas emission allowance revenues, etc.
Proceeds from grants and donations amount to BGN 1,906.2 million.
The expenditures under the CFP, including the contribution of the Republic of Bulgaria to the EU budget, amount to BGN 32,315.0 million as of July 2022, which is 49.0 % of the annual estimates. For comparison, the expenditures under the CFP as of end-July 2021 amounted to BGN 28,548.3 million.
Non-interest expenditures amount to BGN 30,934.0 million, which is 49.0% of the annual plan. Non-interest current expenditures amount to BGN 29,114.6 million. Capital expenditures (including net increment of state reserve) amount to BGN 1,798.9 million. The current and capital transfers to other countries amount to BGN 20.5 million. Interest payments amount to BGN 429.3 million, or 64.6 % of those planned for 2022.
The part of Republic of Bulgaria's contribution to the EU budget, paid from the central budget as of 31 July 2022, amounts to BGN 951.8 million, which complies with the current legislation in the area of EU own resources.
Fiscal reserve as of 31.07.2022 is BGN 9.8 billion, including BGN 9.4 billion fiscal reserve deposits in BNB and banks and BGN 0.4 billion receivables under the EU Funds for certified expenditure, advance payments, etc.
The Consolidated Fiscal Programme performance data as of 31 July 2022 are published on the website of the Ministry of Finance in Statistics section. The statistical data are accompanied by an Information Bulletin on the Execution of the State Budget and the main indicators of the consolidated fiscal programme, which presents a short analysis of the performance of the key budget parameters on a consolidated level and by constituent budgets.
[1] Estimates to the 2022 State Budget of the Republic of Bulgaria Law (prom., SG No 18 of 04.03.2022; amended and supplemented, SG No 52 of 05.07.2022).