Budget posts 154 bln liras of deficit

ANKARA

The central government’s budget posted a deficit of 153.7 billion Turkish Liras ($4.8 billion) in February, the Finance Ministry has said.

The deficit, which widened from the previous month’s deficit of 151 billion liras, fell 10 percent compared to February 2023.

Overall revenues increased by 145 percent year-on-year last month to 536 billion liras, with tax revenues rising more than 126 percent to 406 billion liras.

The annual increase in expenditure was 77.2 percent to 690 billion liras.

Interest expenditure rose 60 percent from February last year to 54.8 billion liras, while non-interest expenditure amounted to 635 billion liras, exhibiting an annual increase of 79 percent.

Consequently, the central government budget produced a primary deficit of 99 billion liras, up from the primary deficit of 29.6 billion liras in January.

The budget deficit widened from 202.8 billion liras in January-February last year to 304.5 billion liras in the first two months of 2024.

Revenues amounted to 1.15 trillion liras, rising 127 percent annually, while tax revenues were up 114 percent to 923 billion liras.

Expenditure leaped more than 105 percent from a year ago to 1.46 trillion liras, with interest expenditure rising 217 percent to 176 billion liras.

Non-interest expenditure grew 96 percent year-on-year to 1.28 trillion liras.

The primary deficit, however, shrank 12.7 percent to 129 billion liras.

The government forecasts a budget deficit of 2.65 trillion liras or 6.4 percent of national income for 2024.

It expects the deficit to decline to 1.8 trillion liras (3.4 percent of GDP) in 2025.