Progressive policies delivering

Best ever public finances results in the first two months of the year.

Figures published by the National Statistics Office reveal that the first two months of this year marked the best result ever observed in public finances for this period of the year. The surplus of €151 million marked an improvement of one third, compared to the same period a year ago. 

It was only in 2015, 2017, 2018, and last year that Government managed to have more revenue than outlays in the first two months of the year. In the remaining years, these two months used to be characterised by high deficits. For example, in 2013 the government of the day made a deficit of €104 million during the election campaign. In the first two months of 2008, when the country was, again, in an election campaign, the administration had made a deficit of €143 million. In contrast, in the first two months of 2022, during an election campaign, the government reduced the deficit from €309 million to €81 million.

While the current administration is spending millions of euros in support of households to keep the price of fuel stable and keep electricity bills the lowest in Europe, in 2009, when the administration placed exaggerated burdens on families, a deficit of €200 million was observed.

The progressive economics employed by the current administration has led to economic growth and to the best financial results for Government. Economic growth has led to record revenues, with Government revenue reaching almost €1.2 billion in just two months. This is 15% better than the previous record. The biggest impact was in income tax, which rose to €541 million, or double that observed two years ago. Even social security income exploded upwards as the number of people in work, as well as their wages, increased. There have also been good increases in VAT and revenue from licences.

Thanks to this huge increase in revenue, the Government was able to finance the largest recurrent and capital expenditure in the history of our country. Government spending in the first two months of the year exceeded €1 billion for the first time in history. Capital investment rose to a record €62 million. This reflected more road projects and more investment in machinery, as well as in the maritime infrastructure.

Even the recurrent expenditure increased substantially, by more than 10%. Here, the biggest impact was on social benefits. This reflected the highest increase in pensions ever granted while substantial payments were made because of the additional mechanism against the cost of living.

The results for the first two months of the year promise well for the performance of public finances for the rest of this year.

Balance of the Consolidated Fund in the first two months of the year

2024€151 million
2023€114 million
2022-€81 million
2021-€309 million
2020-€98 million
2019-€63 million
2018€19 million
2017€31 million
2016-€27 million
2015€50 million
2014-€75 million
2013-€104 million
2012-€151 million
2011-€100 million
2010-€155 million
2009-€200 million
2008-€143 million
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