Greek state budget shows signs of economic recovery, minister says

The state budget figures released for June confirmed the beginning of an economic recovery in the country, Deputy Finance Minister Theodoros Skylakakis said on Thursday.

He added that the key to preserving this momentum in the next crucial months was mass participation by the citizens in the national vaccination campaign.

More specifically, Skylakakis said that tax revenue totaled 3.332 billion euros in June, up 3.0% from budget targets.

Ministry sources said the goal set for tourism revenue this year (at 45% of 2019 figures) was feasible.

According to provisional budget execution data, on an amended cash basis, in the period January-June 2021, the state budget recorded a deficit of 12.215 billion euros from a budget target for a shortfall of 12.950 billion and a deficit of 9.232 billion in the same period last year.

The primary result showed a deficit of 9.088 billion euros in the six-month period, from a budget target for a shortfall of 9.919 billion and a primary deficit of 6.101 billion in the same period in 2020.

Net revenue was 21.977 billion euros, up 0.4% from budget targets, while tax revenue was 20.191 billion euros, up 0.7%.

Tax returns totaled 2.068 billion euros, reaching budget targets, while Public Investment Programme revenue was 2.071 billion euros, up 17 million from targets.

State budget spending totaled 34.192 billion euros in the January-June period, down 1.8 pct from targets but up by 5.965 billion euros compared with the corresponding period last year.

In June, budget revenue was 3.702 billion euros, up 58 million from monthly targets, while regular budget revenue was 4.126 billion, up 58 million from targets.

Tax revenue was 3.332 billion, up 3.0%, while tax returns totaled 424 million and Public Investment Programme revenue was 389 million euros, up 17 million from targets.

READ MORE: Foreign direct investments in Greece increased by 70% in 2020.