In 2021 general government budget deficit accounted for EUR 2.4 billion or 7.3 % of the Gross Domestic Product (GDP) and general government consolidated gross debt amounted to EUR 14.7 billion or 44.8 % of the GDP.
Under the impact of Covid-19 pandemic in 2021 general government expenditure, compared to 2020, rose by 16.0 % and reached EUR 14.8 billion, of which EUR 2.1 billion were expenditure on Covid-19 support measures for the national economy. Revenues increased by 8.2 % and reached EUR 12.4 billion, according to provisional results compiled by the Central Statistical Bureau (CSP). in accordance with European System of Accounts (ESA 2010) methodology.
As compared to operating cash flow data of the State Treasury, where consolidated budget deficit in 2021 was EUR 1 825.3 million, budget deficit calculated by the CSP in accordance with the methodological requirements of European System of Accounts 2010 is EUR 590.4 million or 1.8 percentage points of GDP more.
Most significant methodological adjustments with positive effect (reduces budget deficit) on the general government budget: adjustments to claims against debtors (data of the Treasury) – by EUR 122.9 million or 0.4 % of GDP; tax adjustments by using the time adjustment method (data of the Ministry of Finance) – by EUR 120.3 million or 0.4 % of GDP; adjustments between accrued and paid interest (data of the Treasury) – by EUR 40.6 million or 0.1 % of GDP; adjustments for exclusion of transactions of derived financial instruments (data of the Treasury) – by EUR 32.2 million or 0.1 % of GDP; balance of the Deposit Guarantee Fund (data of the Financial and Capital Market Commission) – by EUR – 19.3 million or 0.1 % of GDP; adjustments to state aid programmes issued to the Development Finance Institution Altum (data of the Treasury) – EUR 10.4 million or 0.03 % of GDP.
At the same time, there have also been adjustments with negative effect (increases budget deficit) on the general government budget: adjustments for undivided contribution into the single tax account (data of the Treasury) – by EUR 237.6 million or 0.7 % of GDP; adjustments of the Recovery and Resilience Facility (data of the Treasury) – by EUR 237.4 million or 0.7 % of GDP; adjustments to obligations against creditors (data of the Treasury) – by EUR 235.6 million or 0.7 % of GDP; adjustments for government investments in central and local government enterprises (data of the Treasury) – by EUR 87.9 million or 0.3 % of GDP; adjustments for balancing foreign financial aid flow (data of institutions involved in administration of foreign funds) – by EUR 73.5 million or 0.2 % of GDP; adjustment of securities premium in the issue year to ensure recognition of premiums in revenue in the following years until the redemption of securities (data of the Treasury) – by EUR 32.1 million or 0.1 % of GDP; adjustments for future payments of the 2nd pillar pension scheme funds (data of the State Social Insurance Agency) – by EUR 28.6 million or 0.1 % of GDP.
Taking into account the increasing volume of borrowings affected by financing needed to reduce the consequences of Covid-19, in 2021, compared to 2020, general government debt has risen by EUR 2.0 billion and reached EUR 14.7 billion or 44.8 % of GDP.