General government budget surplus amounts to 9.5 million euros

20.10.2017

Results of the October 2017 Notification on General Government Budget Deficit and Debt[1] compiled by the Central Statistical Bureau (CSB) in line with the methodology of the European System of Accounts (ESA 2010) show that, in 2016 general government budget surplus accounted for EUR 9.5 mln or 0.04 % of the Gross Domestic Product (GDP), whereas general government consolidated gross debt amounted to EUR 10 091.6 mln or 40.6 % of the GDP.

Main indicators of the October 2017 Notification on General Government Budget Deficit and Debt

 

2013

2014

2015

2016

 

Budget deficit (-)/ surplus (+), mln EUR

  General government

-219.2

-288.3

-298.0

9.5

   Central government

-40.6

-324.4

-414.0

-13.7

   Local governments

-100.2

-51.8

79.6

56.2

   Social security fund

-78.4

87.9

36.4

-33.0

 

General government consolidated gross debt at nominal value at the end of year, mln EUR

8 892.7

9 668.5

8 953.3

10 091.6

 

As % of GDP

General government budget deficit (-)

-1.0

-1.2

-1.2

0.04

General government consolidated gross debt at nominal value at the end of year

38.9

40.8

36.8

40.5

 

Unlike the cash flow data indicated in the Annual Report of the Ministry of Finance, where the consolidated budget deficit of 2016 was indicated as EUR 100.3 mln or 0.4 % of the GDP, the general government sector data calculated by the CSB in accordance with the methodological requirements of ESA 2010 showed budget surplus.

In accordance with the methodological requirements of ESA 2010, some revisions were made to the general government sector data: financial transactions were excluded from the government sector balance, the impact of EU funds was neutralised, the data on companies reclassified to the general government sector were included, requirements for debtors and obligations of creditors were adjusted, as well as other revisions were made.

The most notable revisions were made to the central government sub-sector data on previous years that were corrected based on the methodological changes introduced at the European Union level – Deposit Guarantee Fund was reclassified from the financial corporations sector to the general government sector, classification changes were made to the proceeds from standard UMTS licenses, and funds of other EU policy instruments were audited.

 

General government budget deficit by sub-sector; 20132015
(as % of GDP)

Calculations of the October 2017 Notification are based on the data of the Ministry of Finance, the Treasury, State Social Insurance Agency, CSB, Riga City Council, State Real Estate Agency and institutions involved in the administration of foreign funds.

Information on the results of the October 2017 notifications of all EU Member States will be published by Eurostat on 23 October.

More information regarding the Notification on General Government Budget Deficit and Debt is available in the CSB website section Government Finances.

 

The revisions made to the general government sector have affected also other macroeconomic indicators, the changes of which in figures are available in the CSB database.


[1]In accordance with the requirements of Regulation (EC) No. 479/2009, the Notification on General Government Budget Deficit and Debt is submitted to the European Commission twice a year – by 1 April and 1 October. The results of the Notification are used for assessing how the EU Member States observe the compliance of the respective economic indicators with the criteria established by the Maastricht Treaty, that is, the ratio of the planned and actual general government budget deficit to the GDP at current prices must not exceed 3.0 % and the ratio of the government debt to the gross domestic product at current prices must be no more than 60.0 %.

 

 

 

Media requests:
Communication Section
E-mail: media [at] csb [dot] gov [dot] lv
Phone: +371 67366621+371 27880666
www.twitter.com/CSB_Latvia
www.facebook.com/csplatvija

 

More information on data:
Vija Veidemane
Government Finances Section
E-mail: Vija [dot] Veidemane [at] csb [dot] gov [dot] lv
Phone: +371 67366963