Turkey’s budget deficit so far within targets: Minister

There was a budget surplus of 1.4 billion liras ($540 million) in April, a deficit of 6.8 billion liras ($2.6 billion) in March, one of 2.4 billion liras ($915 million) in February and a 3.8 billion liras ($1.54 billion) surplus in January.

“The budget deficit in the first four months is lower than last year, which was 4.2 billion liras. The budget performance in 2015 is stronger than last year,” Finance Minister Mehmet Şimşek said in a statement.

According to the ministry, Turkey’s government budget revenues have reached 156.2 billion liras ($60.2 billion) in the first four months of 2015, a 12.9 percent increase compared with the same period of 2014.

Budget expenditures for the same period rose to 160.2 billion liras ($61.74 billion), marking a 12.3 percent increase year-on-year.

Turkey’s government revenue in April was 43 billion liras ($16.5 billion) with a 26.1 percent increase year-on-year, while budget expenditures were 41.6 billion liras ($16 billion), a 13 percent increase from a year earlier.

Turkey’s Finance Ministry has estimated budget expenses for the 2015 fiscal year will reach 473 billion liras ($192 billion), while budget income will reach 452 billion liras ($183.5 billion), resulting in a budget deficit of 21 billion liras ($8.6 billion).

Şimşek forecasts that Turkey will reach its budget deficit goal in 2015, as increases in political predictability and improvement in domestic demand after elections contribute to budget revenues.

“The deficit constituted 19.4 percent of the year-end target. The number is compatible with our estimate of a 21 billion lira ($8.6 billion) budget deficit for 2015,” he said.

The central government’s budget ran a deficit of 22.7 billion liras ($10 billion) in 2014.