FinMin: State Budget Deficit Deepened by 29% Y-o-Y to €1.9 billion in March

Bratislava, 2 April (TASR) - The state budget saw a deficit of €1.868 billion at the end of March 2026, which was a deterioration of €420.6 million, or 29.1 percent year-on-year (y-o-y), the Finance Ministry reported on Thursday. State-budget incomes fell by €51.2 million, or 0.9 percent y-o-y, to reach €5.673 billion in March, while expenditures rose by €369.4 million, or 5.2 percent, to €7.541 billion. Tax revenues dropped by €18.9 million (0.4 percent) y-o-y in March. "A negative development was posted in VAT, which went down by €164.4 million y-o-y, while withholding tax decreased by €26.4 million. Conversely, the Finance Ministry recorded positive developments in corporate tax, which saw y-o-y increase of €77.4 million y-o-y. Collection of excise tax rose by €12.9 million, insurance tax by €3 million and motor vehicle tax by €2.4 million," stated the Finance Ministry. The financial transaction tax increased by €124.3 million y-o-y. Meanwhile, the special levy from business activities in regulated sectors fell by €49.3 million y-o-y. Despite higher transfer to local governments, collection of income tax practically hasn't changed y-o-y, stressed the ministry. However, negative developments were posted in revenues from the EU budget, which shrank by €61.3 million, or 15.8 percent y-o-y. The cost of servicing the state debt grew by €272.5 million (37.4 percent) y-o-y in March. State budget expenditures related to drawing EU funds declined by €115.8 million (-25.5 percent), while expenditures related to drawing from the Recovery and Resilience Plan rose by €66 million (31.3 percent). The contribution to the EU budget posted a y-o-y increase of €74.8 million (32.1 percent). ko