The fiscal deficit was 3.8% of the Gross Domestic Product (GDP) in the 12 months ending in May, and worsened two tenths compared to the April measurement, according to data published this Friday by the Ministry of Economy and Finance (MEF).
The fiscal deficit has been falling since its peak in 2020 when it stood at 5.9% of GDP, and expectations point to it continuing to do so until 2024 (2.8%). However, It has been growing since last September when it was located in 2.6% The recent deterioration of public accounts is caused by a drop in revenue and an increase in spending (in real terms).
In May
The Central Government – Banco de Previsión Social (GC-BPS) fiscal result was -3.7% of GDP. Meanwhile, the impact of the income from the Social Security Trust –fifty law-, was 0.1% of GDP. In this way, the fiscal result after this effect was -3.8% of GDP.
The GC-BPS income they stood at 25.6% of GDP, decreasing 0.2% of GDP compared to the twelve months ending in April, mainly due to lower revenues from the Central Government.
The primary discharges of the GC-BPS they were located at 27.0% of GDP, remaining stable with respect to the twelve months ending in April. Net expenses allocated to the COVID-19 Solidarity Fund¹ were estimated at 0.3% of GDP²decreasing 0.1% of GDP compared to the previous month.
Lastly, the GC-BPS interest payment stood at 2.3% of GDP, remaining stable compared to the previous month.
The result of Public Companies (EEPP) was located at 0.3% of GDP.
In that way, the result of Non-monetary Public Sector (SPNM) stood at -3.1% of GDP in the 12 months ended May 2023. Excluding FSS revenues, the SPNM fiscal result was -3.2% of GDP.
For his part, he overall result of the BCUstood at -0.5% of GDP.
So, the result of the Global Public Sector (GPS) was -3.7% of GDP which, freed from the FSS effect, was placed at -3.8% of GDP.
MEF
