With a real fall in revenues and a cut in expenditures, during the first quarter of the year the financial deficit of the National Government was 7.4% higher in real terms than that of the first three months of 2022.
Revenues fell 9.5% YoY, basically due to lower revenues from taxes related to foreign trade.
Export duties decreased 69.5% YoY, while the higher economic activity boosted VAT and check tax revenues.
Social Security contributions increased (3.2% YoY), boosted by the higher number of formal jobs.
Total expenditures contracted by 5.9% YoY, an adjustment that reached 8.7% YoY in primary expenditures, mainly driven by lower energy subsidies and capital transfers to housing trust funds.
In a context of lower expenditures, interest payments rose 22.0% YoY.
The primary result was negative by ARS758.991 billion, 3.3% lower than the deficit reached a year earlier. The economic deficit was ARS1,139.553 billion.
As of March 31, 20% of the budget appropriation was accrued, a proportion surpassed by debt interest, transportation subsidies and social programs.
The budget appropriation increased by ARS108.036 billion over the amount budgeted at the beginning of the fiscal year.