income tax enterprises, but VAT and property taxes outperformed 2022, significantly impacting bottom line state budgetwhich turned out to be better than forecasts, according to the final data published yesterday.

In particular, the primary deficit of the state budget amounted to 6.6 billion euros against the plan of 8.5 billion euros, i.e. less than 2 billion euros. At the government level, the result cannot yet be calculated, since there are still two months left to “close” the figures for the 2022 financial year, but the Ministry of Finance probably believes that yesterday’s result is a slightly lower budget deficit compared to target of 1.6% of GDP. It is noted that the Minister of Finance Christos Staikouras he said yesterday that the results for 2022 are better than forecast, which also supports the forecast for this year’s budget space and some additional benefits.

The improvement in the budget result is mainly due to spending that was 2 billion euros lower than planned. This is due to a EUR 283 million shortfall in consumer spending, as well as the non-disbursement of part of the loans provided from the reserve due to procedural delays. Corresponding obligations, specified in the message of the Ministry of Finance, are again taken on a priority basis in the next financial year in order to make the corresponding payments and avoid the accumulation of unpaid obligations. In addition, payments of investment costs, but not of the Recovery Fund, are also 591 million euros underfulfilled.

In terms of revenue, the result was close to forecasts, while tax revenue increased by 81 million euros to 55.2 billion euros. However, if the increase in traffic collection is taken into account, as indicated, the actual increase in tax revenue will be even greater. It is noted that additional tax revenues of 492 million euros are expected from the fees. Especially:

• VAT receipts amounted to 21,422 million and increased by 116 million compared to the plan.

• ESC revenues amounted to 6,984 million and are reduced compared to the plan by 89 million.

• Property tax revenue of $2,692 million, up $165 million from plan.

• Income tax revenues amounted to 17,012 million, up from plan by 331 million.

On the contrary, PDE’s revenues were reduced by 920 million euros compared to the plan, respectively, with underpayments on investment costs. The figures released yesterday by the Treasury also show the main expenditure payments aimed at supporting the fight against the consequences of the pandemic and the energy crisis. Specifically, for the pandemic last year, 2.648 billion euros were paid to the budget.

Due to the energy crisis, the budget was burdened with 3.433 billion euros.

The total amount, as can be seen from the above data, reaches 6 billion euros, or about 3% of GDP. Mr. Staikouras recently argued that Greece contributed 2.3% of GDP in 2022, while the European average is 1.3% of GDP.