The central government budget surplus increased by 11.2% y/y to TRY1.64bn (€534mn) while the primary surplus fell by 35.9% y/y to TRY5.5bn in May, the ministry of finance said on June 15.
Overall budget revenues increased by 11.2% y/y with tax revenues rising by 11.8% y/y in the month, data of the ministry showed. VAT collection was up 14.5% y/y, special consumption tax revenues increased by 20.8% y/y and VAT collection on imports rose by 21.7% y/y in May.
On the expenditure side, the ministry reported that overall spending increased by 11.2% and interest expenditures fell by 45.7% y/y in May.
In the first five months of the year, the central government budget produced a deficit of TRY2.4bn, a 12.4% decline from the same period of 2014. Revenues increased by 12.4% y/y while expenditures rose by 12.1% in January-May, said the ministry.
The government targets TRY20.96bn of deficit (of 1.1% of GDP) and TRY33bn primary surplus this year.
The impact of additional wage hikes for pensioners and civil servants, and a string of micro incentives announced before the elections to support employment and SMEs also remains to be seen, said Deutsche Bank in a post-election commentary on June 12.
Despite his AKP party’s defeat in the weekend’s local elections, Turkish President ... more
Turkish footwear manufacturers are stepping up their investments in Uzbekistan’s leather and footwear industries, according to local reports. A $1mn investment in the manufacture of leather, ... more
Shipping companies are the latest to feel the effects of “the West’s very tight blockade against the Turkish banking system”, according to a report by Turkish publication Ekonomim. In ... more