The implementation rate of development expenditures from the state budget reached 13% at the end of April 2024, marking a slight increase from the decade's average of 12%, according to the Treasury.

Income-wise, indirect taxes recorded a €150 million increase compared to last year, attributed to rising VAT revenue. Additionally, direct tax revenue increased by €170 million, primarily due to higher corporate and individual income tax collection.

In a report released on Thursday entitled "Implementation of the State Budget April 2024", the Treasury highlighted that total revenue amounted to €2.74 billion by the end of April, representing 24% of the state budget (2023: €3.46 billion, 35%). Real expenditure reached €2.90 billion, equivalent to a 22% implementation rate (2023: €2.69 billion, 22%).

The implementation of the state budget, concerning revenue, recorded a decline compared to the previous year (2024: 24%, 2023: 35%), mainly due to increased inflows from the issuance of European Medium-Term Notes (EMTN) amounting to €1 billion in April 2023.

Regarding expenditure, the implementation of the state budget remained stable (2024: 22%, 2023: 22%).

It is worth noting that the state budget, forecasts a 16% increase in revenue for 2024 (2024: €11.28 billion, 2023: €9.77 billion) and a 9% increase in expenditure (2024: €13.1 billion, 2023: €12 billion).

The projected revenue increase is mainly attributed to a rise in indirect and direct taxes by €0.68 billion and €0.61 billion, respectively.

The expected expenditure increase is mainly due to higher loan repayments and interests, as well as personnel expenses, pensions, and grants, totaling €0.76 billion and €0.35 billion, respectively.

The implementation of capital expenditure by April 2024 amounted to €76.4 million, mainly allocated to road network expenses, construction projects, school buildings, land and building acquisitions, machinery purchases, equipment, and infrastructure development.

Regarding co-funded and other financial expenditures, the implementation by April 2024 amounted to €56.2 million, primarily allocated to co-funded projects, subsidised programmes, European competitive programmes, and small-medium enterprises support initiatives.

As for grants, contributions and subsidies, the implementation by the end of April 2024 amounted to €45.5 million, primarily attributed to sponsorship of universities.

Regarding the implementation of social benefits, it amounted to €16.4 million by the end of April 2024, primarily attributed to state scholarships, donations to volunteer organisations, cultural provisions, and educational benefits.