General government surplus of €551.2m in first five months of 2025

The preliminary General Government fiscal results, which are prepared by the Statistical Service of Cyprus, indicate a surplus of €551.2m (1.6% of GDP) for the period of January-May 2025, compared to a surplus of €542.6m (1.6% of GDP) recorded during corresponding period of 2024.

Revenue up 5.6%

During January-May 2025, total revenue increased by €310.8m (+5.6%) and amounted to €5,901.8m, compared to €5,591.0m in the corresponding period of 2024.

In detail, revenue from taxes on income and wealth increased by €137.1m (+11.1%) and amounted to €1,373.0m, compared to €1,235.9m in 2024. Social contributions increased by €159.9m (+8.8%) and amounted to €1,968.5m, compared to €1,808.6m in 2024. Property income increased by €51.7m and amounted to €92.8m, compared to €41.1m in 2024.Revenue from the sale of goods and services increased by €29.0m (+7.8%) and amounted to €401.5m, compared to €372.5m in 2024.

Taxes on production and imports increased by €31.2m (+1.7%) and amounted to €1,911.7m, compared to €1,880.5m in 2024, of which net VAT revenue decreased by €12.4m (-1.0%) to €1,260.6m, from €1,273.0m in 2024.

Current transfers decreased by €82.2m (-36.4%) to €143.9m, from €226.1m in 2024. Capital transfers decreased by €15.9m (-60.5%) to €10.4m, from €26.3m in 2024.

Expenditure up 6.0%

During the period of January-May 2025, total expenditure increased by €302.1m (+6.0%) and amounted to €5,350.6m, compared to €5,048.5m in the corresponding period of 2024.

In detail, compensation of employees (including imputed social contributions and pensions of civil servants) increased by €87.0m (+5.8%) and amounted to €1,593.8m, compared to €1,506.8m in 2024. Social benefits increased by €129.6m (+6,2%) and amounted to €2,204.4m, compared to €2,074.8m in 2024. Intermediate consumption increased by €12.8m (+2.5%) and amounted to €528.0m, compared to €515.2m in 2024. Interest payable increased by €2.4m (+1.2%) and amounted to €206.0m, compared to €203.6m in 2024.

The capital account increased by €94.3m (+27.7%) and amounted to €435.4m, compared to €341.1m in 2024, of which gross capital formation increased by €53.7m (+18.0%) and amounted to €352.2m, compared to €298.5m in 2024 and other capital expenditure increased by €40.6m (+95.3%) and amounted to €83.2m, compared to €42.6m in 2024.

On the contrary, current transfers decreased by €16.9m (-4.9%) to €324.9m, from €341.8m in 2024. Subsidies decreased by €7.1m (-10.9%) to €58.1m, from €65.2m in 2024.

The Statistical Service said that for a number of entities of the General Government and specifically for the Local Government Subsector, estimates have been produced by the Statistical Service, due to non-submission of sufficient data by the competent authorities.