Spain Anti-crisis measures blamed for 50% of government deficit, to November, of 71.524 million euro

According to Ocaña, half of this deficit is the result of the crisis and the other half of the measures taken by the Government to combat it. Ocana said it is essential to fiscal consolidation process for next year

Spain Anti-crisis measures blamed for 50% of government deficit, to November, of 71.524 million euros

These figure are compared to 13.967 million recorded during the same period in 2008, said the Secretary of State for Finance, Carlos Ocaña.

Thus, expenditures through November amounted to 168.718 million euros (21.5% over the same period in 2008) and revenues were 97.194 million (22.2% less). In terms of the national accounts, the state registered a deficit until November of 68.508 million compared to negative balance of 11.038 million a year previously.

According to Ocaña, half of this deficit is the result of the crisis and the other half of the measures taken by the Government to combat it. Ocana said it is essential to fiscal consolidation process for next year, he also called for efforts of the autonomous communities and local bodies, to be "absolutely scrupulous" to fulfil the objective of the deficit.

For these governments, Ocana said it is very important to make an effort to contain spending on wages.

Regarding non-financial income, which provide data of all public administrations, before discounting the involvement of territorial governments, reached 150.754 million, 13.9% less than in 2008. Direct taxes amounted to 82.938 million, 13.7% less with a 10.9% decrease in income tax and 23.2% in corporation tax. Revenue from indirect taxes amounted to 52.579 million, 21.3% less, with a fall of collection of VAT from 29.7%, while revenue from excise duty will rise to 17.758 million, 15% less.

Also, financial payments amounted to 163,600 million, 24.7% more and current transfers increased by 28.5%, with 95.657 million euros. In addition, in late November the State had a borrowing requirement of 108.842 million, compared to the net borrowing requirement of 36.203 million in the same period last year.



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