Treasury budget posts cash surplus in May

The Treasury’s cash budget produced a surplus of 234.8 billion Turkish Liras ($7.3 billion) in May, according to data from the Treasury and Finance Minister.

This marked the first cash surplus since November last year.

Cash revenues amounted to 1 trillion liras last month, while expenditures stood at 787.5 billion liras.

Interest expenditures and non-interest expenditures were 102.8 billion liras and 685 billion liras, respectively.

Consequently, the Treasury’s cash budget produced a primary surplus of 337.5 billion liras, which also marked the first primary surplus in 6 months.

In the first five months of 2024, revenues amounted to 3.35 trillion liras, while expenditures amounted to 3.93 trillion liras.

The budget deficit came in at 572.8 billion liras in the January-May period.

Interest expenditures grew from 211 billion liras in January-May last year to 433 billion in the first five months of 2024. Non-interest expenditures also increased from 1.7 trillion liras to 3.5 trillion liras.

In the medium-term economic program, the government forecasts a central government budget deficit of 2.65 trillion liras in 2024, which corresponds to 6.4 percent of the estimated GDP.

The government expects the budget deficit to shrink to 3.4 percent of national income, or 1.8 trillion liras next year.