December 27 (SeeNews) - Romania's consolidated budget was in deficit equivalent to 4.7% of the projected 2021 gross domestic product (GDP) in the eleven months through November, compared to a gap of 7.94% of GDP in the like period of 2020, the finance ministry said on Monday.
The government spent approximately 13 billion lei ($2.97 billion/2.63 billion euro) on extraordinary payments related to the Covid-19 pandemic in the ten months through November 2021, the finance ministry said in a statement.
The consolidated budget deficit amounted to 55.98 billion lei as at the end of November, as revenues rose 17.5% year-on-year to 341.5 billion lei and spending increased by 6.1% to 351.5 billion lei.
Tax revenues increased by an annual 15.8% in the January-November period, social security contributions grew 13.5% and VAT proceeds jumped by 36.2%. Excise duty collection was up 14.6% on year, driven by an annual 12.8% increase in tobacco excises and a 14.8% hike in energy excises.
Investments rose to 44.2 billion lei in the eleven months through November, up 7.2% compared to the same period of 2020.
During the review period, Romania received 29.45 billion lei from the European Union, up 8.9% compared to the same period last year.
Romania plans a deficit equivalent to 7.16% of GDP and 7% economic growth in the 2021 state budget.
The country closed 2020 with a consolidated budget deficit equivalent to 9.79% of estimated GDP, compared to a 4.6% gap in 2019.
(1 euro= 4.9492 lei)