Asuncion, IP Agency.- The solid performance of tax revenues at the end of the first half of the year allows maintaining favorable prospects for meeting the target deficit for 2024, as established in the fiscal convergence plan, reported the Ministry of Economy and Finance (MEF).
According to the MEF report, the first half of 2024 closed with an annualized fiscal deficit of 3.25% of the Gross Domestic Product (GDP), as a result of the solid performance of tax revenues, which had an accumulated increase by June 2024 of 20.6% of total income compared to the same period of the previous year.
With this level of deficit, the improvement is maintained compared to the fiscal year 2023, which ended with a fiscal deficit of -4.1% of GDP.
Regarding expenses, there is an accumulated increase at a rate of 11.8%, which is mainly explained by the resources allocated to medicines and pending obligations of the Ministry of Health, the payment of interest and the increase in salaries (Ministry of Education and Science, Ministry of Health and Public Forces).
Furthermore, public investment has shown an upturn since March, remaining in line with the path of fiscal convergence and standing at around the levels observed in the pre-pandemic period.
In annualized terms, public investment in June represents 2.3% of GDP, and shows a year-on-year growth of 44.1% compared to the same month of the previous year.
Thus, as of June 2024, an accumulated fiscal deficit of G. 912 billion (USD 127 million) was recorded, which represents -0.3% of GDP.
The report also recorded a positive operating result of G. 1,378 billion (USD 181 million), representing 0.4% of GDP.
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2024-07-13 13:16:42
