A surplus in the state budget balance of 2.160 billion euros is recorded, according to preliminary data on state budget execution on a modified cash basis, for the period January – August 2025, compared to the target deficit of 1.381 billion euros included for the corresponding period of 2025 in the Budget 2025 explanatory report and a surplus of 1.044 billion euros for the same period in 2024. The primary result on a modified cash basis reached a surplus of 8.696 billion euros, compared to a target primary surplus of 4.929 billion euros and a primary surplus of 7.567 billion euros for the same period in 2024. It should be noted that an amount of 1.895 billion euros relating to timing differences in regular budget transfer payments and 682 million euros relating to timing differences in defense program payments do not affect the General Government result in fiscal terms.
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Additionally, an amount of 342 million euros in tax revenue from the first two months is counted fiscally in 2024. Excluding the above amounts, the overperformance in the primary result on a modified cash basis, compared to budget targets, is estimated at 848 million euros. It should be emphasized that the primary result in fiscal terms differs from the result in cash terms. Furthermore, the above refers to the primary result of Central Administration and not to the entire General Government, which includes the fiscal results of Legal Entities and the sub-sectors of Local Government Organizations and Social Security Organizations.
Budget: Revenue growth, tax overperformance
During January – August 2025, net state budget revenues reached 48.459 billion euros, showing an increase of 185 million euros or 0.4% compared to the target included for the corresponding period in the Budget 2025 explanatory report. It should be noted that the net revenue amount includes, both in revenues (in the “Sales of goods and services” category) and in tax refunds (VAT), the amount of 784.8 million euros from transactions required in January 2025 to complete the new Attiki Odos Concession Contract, which relates to 2024 and is fiscally neutral.
The increase in net revenues compared to the target is observed, although the target setting in the explanatory report had included the collection in June of consideration amounting to 1.350 billion euros from the Service Concession Contract for financing, operation, maintenance and exploitation of the Egnatia Motorway and three (3) vertical road axes, which was signed on March 29, 2024, between the Greek State and TAIPED (now EESYP) on one hand and “NEA EGNATIA ODOS S.A.” as Concessionaire on the other. The next steps of the process until payment of the consideration are expected to be completed in the coming months. Excluding the above amount, net revenues show an increase of 1.535 billion euros or 3.3% compared to the target, mainly due to increased tax revenues.
- Tax revenues before refunds reached 46.596 billion euros, increased by 2.119 billion euros or 4.8% compared to the target. This overperformance stems from better collection performance of current year taxes, as well as better performance of previous year income taxes, which were collected in installments until February 2025.
- Revenue refunds reached 6.181 billion euros and incorporate the VAT refund amount of 784.8 million euros from the new Attiki Odos Concession Contract, as mentioned above, which fiscally affects 2024. Excluding this amount, tax refunds reached 5.396 billion euros and are increased by 685 million euros compared to the target (4.711 billion euros) included in the Budget 2025 explanatory report.
Taking into account the above, net tax revenues after refunds for January – August 2025 appear increased by 1.434 billion euros compared to Budget targets. As mentioned, an amount of 342 million euros in tax revenue from the first two months is counted fiscally in 2024.
- Public Investment Program revenues reached 2.692 billion euros, reduced by 393 million euros from the target (3.085 billion euros) included in the Budget 2025 explanatory report.
The precise distribution among state budget revenue categories will be made with the issuance of the final bulletin. Specifically, in August 2025 total net state budget revenues reached 5.605 billion euros, reduced by 633 million euros compared to the monthly target, mainly due to increased tax refunds – from tax return settlements – that had been budgeted for the following month.
- Tax revenues reached 6.163 billion euros, reduced by 32 million euros or 0.5% compared to the target. It should be noted that part of income tax was collected front-loaded in previous months, due to the tax return application being operational from mid-March.
- Revenue refunds reached 1.135 billion euros, increased by 433 million euros from the target (702 million euros).
- Public Investment Program revenues reached 340 million euros, reduced by 190 million euros from the target (530 million euros).
- State Budget expenditures for January – August 2025 reached 46.299 billion euros and are reduced by 3.356 billion euros compared to the target (49.655 billion euros) included in the Budget 2025 explanatory report. They are also increased compared to the corresponding period of 2024 by 2.210 billion euros.
In the Regular Budget section, payments are reduced compared to the target by 3.250 billion euros, mainly due to timing differences in transfer payments to Social Security Organizations and other general government entities by 1.895 billion euros and cash payments for defense programs by 682 million euros. It should be noted that the aforementioned amounts do not affect the General Government result in fiscal terms.
Reinforcements in health, energy and transport
Notable transfers include the following:
- transfers to hospitals and Regional Health Authorities-Primary Healthcare Units amounting to 897 million euros,
- transfer of 400 million euros to cover the cost of providing public service obligations in the electricity sector (PSO), according to Article 55 of Law 4508/2017 (A’ 200),
- subsidy of 377 million euros to the National Central Health Procurement Authority (E.K.A.P.Y.) for procurement of pharmaceutical preparations, products and health services on behalf of public hospitals,
- subsidies to transport operators (OASA, OASTH and OSE) amounting to 251 million euros and
- subsidy to Higher Education Institutions amounting to 145 million euros.
Investment expenditure payments reached 7.040 billion euros, reduced by 106 million euros compared to the target included in the Budget 2025 explanatory report. At the same time, they are increased compared to corresponding 2024 payments by 491 million euros.
