In January-March 2015, Romania posted a budget surplus of RON4.9 billion, or 0.7% of GDP.
Revenues to the consolidated budget amounted to RON55.6 billion in the first quarter of 2016, or 7.3% of GDP, 1.1% higher in nominal terms compared with the same period last year, the data showed.
Profit tax collections increased 26.2%, collections from tax on use of goods increased 18%, excise duty collections increased 6.2% and social security contribution collections increased 5.2%.
Value-added tax collections fell 1.7% on the year in January-March 2016, as the tax was reduced from 24% to 9% on food items as of mid-2015 and the standard rate was cut from 24% to 20% as of January 1, 2016. VAT collections are 1.9% higher than the level envisaged for the first quarter of 2016, as the increase in consumption offset the VAT cut.
Budget expenditure stood at RON52.6 billion in January-March 2016, 5% higher in nominal terms than in the same period last year, but lower by 0.1 percentage points as share in the GDP. Staff spending increased 8.1% due to public sector wage raises and a rise in the minimum wage approved in the second half of 2015.
Goods and services spending was 2.5% higher in the first three months, compared with the same period in 2015, while investment spending amounted to RON4.4 billion, or 0.6% of GDP, nearly 29% higher than in the year-earlier interval.