The Ministry of Finance has published on its website today the budget execution data of the State corresponding to the month of November, whose deficit has been reduced by 6.2% and stands at 0.88% of GDP in terms of national accounting .
The consolidated deficit of the Central Administration, Autonomous Communities and Social Security registered until October and which stands at 1.41% of GDP, excluding financial aid, has also been disseminated today.
In addition, the Ministry of Finance has published the budget execution data of the Local Corporations corresponding to the third quarter of 2019, which recorded a surplus of 2,541 million euros until September, equivalent to 0.20% of GDP.
State deficit (November)
Until the end of November 2019, the State deficit represents 0.88% of the Gross Domestic Product (GDP). In millions of euros, the deficit reaches 10,987 million, a figure 6.2% lower than that registered in the same period of 2018.
State revenues grow up to 2.6% until November, compared to expenses that increase 2%. If we deduct accrued interest, the positive primary balance amounts to 0.94% of GDP.
Non-financial resources of the State
Non-financial resources stood at 186,357 million in November, equivalent to 14.92% of GDP, representing an increase of 2.6% year-on-year.
This behavior is mainly due to the evolution of income from taxes, which grow by 1.7%, to reach 157,302 million euros. Until November, taxes on production and imports grow by 3.2%, with VAT standing out, which increases 3.7%.
On the other hand, current taxes on income and equity amount to 66,360 million, a figure similar to that recorded in 2018. It highlights the good performance of the IRPF, which grows 7.6%, due to the favorable evolution of the withholdings of the work and income growth of the Income Campaign.
Property income increased 4.9%, from 5,374 million in 2018 to 5,639 million in 2019.
Non-financial State Jobs
Until the end of November 2019, the non-financial jobs of the State have been 197,344 million, 2% higher than in 2018.
Transfers between Public Administrations increased by 2.4%, with the largest expenditure item of the State (58.4% of total non-financial jobs).
Expenditure on intermediate consumption grows by 9% and the salary of employees increases 4.5%. Regarding salary increases, the data is homogeneous as of August, registering a 2.5% increase in 2019 compared to 1.75% in 2018, as well as a higher salary equalization expense in 2019, compared to the one recorded in the same period of the previous year.
Social benefits increase by 10% as a result of a 6.5% increase in passive class pension expenses and 35% of income tax deductions for maternity and child custody, large family and disability of the person in charge.
Investment aid and other capital transfers are also increased by 9.5%, including 899 million without correspondence in 2018 for the return of the maternity and paternity benefit tax, and the contribution to the EU for VAT and RNB, which rises 5.4% to 9,773 million.
Among the expenses that decrease, the accrued interest, which decreases 4.7%, and the subsidies for lower expenses to cover the costs of the electrical system, which fall by 14.1% year-on-year, stand out.
Joint deficit of the Central Administration, Autonomous Communities and Social Security (October)
Until October the joint deficit of Public Administrations, excluding Local Corporations, stands at 1.41% of GDP.
Central administration
The deficit of the Central Administration amounts to 0.58% of GDP in October, compared to 0.73% in October 2018.
The State deficit stands at 0.49% of GDP, with a year-on-year reduction of 22.8%.
The Central Administration Organisms register until October a deficit of 1,121 million, 0.09% of GDP.
Autonomous communities
The Regional Administration registers a deficit of 4,428 million in the first ten months of the year. In terms of GDP, the regional deficit stands at 0.35%.
Until October, revenues have increased 1.4%, although it is a comparison that is not yet homogeneous and will be softened as a result of Royal Decree-Law 13/2019, which regulates the extraordinary update of deliveries on account for 2019.
On the other hand, non-financial expenses increased 5.6%, highlighting the remuneration of employees, which grew 5.9%. Intermediate consumption also grew by 3.6% and social transfers in kind by 4%, mainly due to the increase in spending on health concerts and educational concerts among others.
At the end of October, four Autonomous Communities register a surplus: Canary Islands, Navarra, La Rioja and the Basque Country.
Social Security Funds
The Social Security Funds reach a deficit of 0.47% of GDP, 0.3% lower than that registered in the same period of the previous year. Highlights in this result the surplus of 794 million obtained in October by the increase in social contributions and transfers received from other administrations, by 9.6% and 37.4% respectively.
The Social Security System registers a deficit of 7,346 million (0.59% of GDP), which represents an interannual reduction of 2.2%. Revenue from social contributions increases by 8.2%, while social benefits have increased by 5.9%.
The State Public Employment Service has a surplus of 1,332 million (0.11% of GDP). Revenues have increased due to the improvement of social contributions, which grow by 7.8% due to the improvement in employment and salary increases, while expenses increase by 8.7%.
FOGASA records until October a surplus of 118 million euros.
Joint deficit of public administrations (third quarter)
Until the third quarter of the year, the Local Administration has a surplus of 2,541 million, equivalent to 0.20% of GDP.
This evolution is due to an increase in revenues of 2.0%, with taxes, growing by 2.2%, compared to an increase in expenses of 4.3%. It should be borne in mind that these data have been affected by the non-approval of the PGE for 2019 and, in the mimes the impact of the final settlement of the participation of local entities in the corresponding State taxes, is not yet included. to 2017, elements that will be incorporated in the coming months, among other reasons, thanks to the publication of Royal Decree-Law 13/2019.
With these results from the Local Administration, the Public Administration Sector deficit stands at 1.47% of GDP in the third quarter of the year.
