Cyprus reports surplus of €676.3 million and fiscal debt 85.6% of GDP in 2022

According to the latest data within the Excessive Deficit Procedure framework of the European Commission, Cyprus reported a fiscal surplus of €676.3 million in 2022. 

According to CySTAT, this surplus, equivalent to 2.4% of the country's GDP, is a positive economic indicator. Additionally, the fiscal debt stood at €23,767.3 million, corresponding to 85.6% of Cyprus's GDP.

Revenue Soars

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Total revenue for 2022 witnessed a remarkable increase, rising by €1.472.9 million (14.8%) and totalling €11.456.4 million, compared to the €9.983.5 million recorded in 2021.

Taxes on production and imports grew by €645.4 million, a notable increase of 19.0%, amounting to €4.033.5 million. Of this, net VAT revenue experienced a robust growth of €523.9 million (24.0%), reaching €2.705.7 million, compared to €2.181.8 million in 2021.

Social contributions saw a surge of €376.8 million, marking a 13.7% increase and reaching a total of €3.122.0 million.

Revenue from taxes on income and wealth also exhibited a substantial growth, climbing by €434.6 million (17.5%) and amounting to €2.924.2 million.

Other current transfers increased by €36.4 million (16.7%) and reached €254.8 million.

Property income receivable grew by €5.7 million (5.3%), reaching €114.2 million.

Revenue from the sale of goods and services increased by €75.3 million (10.3%) and amounted to €806.1 million.

However, capital transfers experienced a decrease of €101.3 million (-33.4%) to €201.6 million, down from €302.9 million in 2021.

Expenditure rises

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Total expenditure for 2022 saw an increase, rising by €334.7 million (3.2%) to a total of €10.780.1 million, up from €10.445.4 million in 2021.

Intermediate consumption recorded a significant increase of €197.0 million (18.9%), reaching €1.240.6 million.

Compensation of employees, which includes imputed social contributions and pensions of civil servants, rose by €181.5 million (6.1%), totaling €3.179.2 million.

Social transfers grew by €263.8 million (6.7%) to reach €4.211.7 million.

Other current expenditure increased by €48.5 million (8.1%), reaching €649.1 million.

Total capital expenditure increased by €116.9 million (14.0%), reaching €950.5 million, comprising €728.7 million in gross capital formation and €221.8 million in other capital expenditure, compared to €833.6 million (€649.8 million in gross capital formation and €183.8 million in other capital expenditure) in 2021.

On the other hand, subsidies decreased significantly by €445.9 million (-76.2%) to €139.3 million, down from €585.2 million in 2021. Property income payable also decreased by €27.1 million (-6.2%), reaching €409.7 million.

(Source: CNA)