Greek Budget to Show Primary Surplus of 3.57 pct of GDP in 2018-Draft

Greek state budget will record a primary surplus of 3.57 pct of GDP, or 6.671 billion euros, according to the draft budget plan tabled to Parliament on Monday.

The draft budget also envisages a significant surpass of an 1.75 pct target for the primary surplus of 2017, which will be distributed as an one-off social dividend to support vulnerable households. The Finance ministry, in an announcement, said that economic growth rates in the coming years will be adequate to ensure that both fiscal targets and fiscal space will be achieved to proceed with a reduction in tax rates to both households and enterprises.

The primary surplus of the general government in 2018, according to the methodology of the Funding Facility Agreement, is expected to reach 3.57 pct of GDP (6.671 billion euros), compatible with the program's targets. For 2017, the draft budget plan envisages that primary surplus will significantly surpass a fiscal target of 1.75 pct. This development allows an one-off spending in the form of social dividend to support weak households. The exact sum and the support measures will be specified after the release of budget execution data in November 2017.

 

 

ANA-MPA