Hungary’s cash-based general government budget, excluding municipalities, posted a HUF 75.4bn (EUR 240.5mn) deficit in January 2014, accounting for 7.7% of the annual target, the economy ministry said in a statement on Feb 20, confirming the preliminary data. The deficit widened from HUF 2.5bn a year earlier as expenditures grew by 6.6% y/y, faster than the revenues’ annual rise of 1.2%.
The central government budget generated a deficit of HUF 166.6bn in January 2014, up by 83.7% y/y. Spending grew by 9.2% y/y, while revenues edged down by 0.5% y/y. Social security funds had a surplus of HUF 54.6bn in the period, up by 7.3% on the year. The surplus on the extrabudgetary accounts reached HUF 36.6bn, down by 1.9% y/y.
Hungary’s cash-based general government budget, excluding municipalities, posted a HUF 929.2bn deficit in 2013, accounting for 82.6% of the annual plan.
The economy ministry expects the accrual-based deficit, calculated under the ESA 95, not to exceed 2.7% of GDP, in line with the target, and at best scenario it might be as low as 2.3% of GDP. The final outcome would depend on Eurostat decision on the accounting of the budget transfer supporting the savings cooperative integration, which is expected in March.
| General Budget January, HUF bn | ||||
| 2013 | 2014 | % y/y | % 2013 plan | |
| General government balance | -2.5 | -75.4 | 2,916.0 | 7.7 |
| revenue | 1,165.8 | 1,179.5 | 1.2 | 7.4 |
| expenditure | 1,168.3 | 1,245.9 | 6.6 | 7.3 |
| Central government balance | -90.7 | -166.6 | 83.7 | 17.3 |
| revenue | 694.5 | 691.1 | -0.5 | 6.5 |
| expenditure | 785.2 | 857.7 | 9.2 | 7.4 |
| Extrabudgetary funds balance | 37.3 | 36.6 | -1.9 | - |
| revenue | 41.8 | 42.9 | 2.6 | 9.8 |
| expenditure | 4.5 | 6.3 | 40.0 | 1.4 |
| Social Security Funds balance | 50.9 | 54.6 | 7.3 | - |
| revenue | 429.5 | 445.5 | 3.7 | 9.2 |
| expenditure | 378.6 | 390.9 | 3.2 | 8.1 |
| Source: Ministry for National Economy | ||||
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