Budget balance registers 2-billion-euro surplus in the first half of the year

The Budget Execution Summary for the 1st quarter of 2025 was disclosed today. Between January and June, the Public Administrations recorded a positive balance of 2.008 billion euros in public accounts. 

This performance is even more significant if we take into account that in the same period last year, the budget balance was negative with public accounts showing a deficit of 2.672 billion euros. 

The evolution achieved in the first half of this year is thereby an improvement on the overall balance of 4.68 billion euros and is essentially down to a positive variation in revenue (13.9%) greater than that for expenditure (4.8%). 

The budget execution disclosed today, even if for public accounts, reinforces the Executive’s trust that the country will have a budget surplus this year for national accounts, around 0.3% of GDP. This is yet more proof of the Government’s commitment towards having sound public accounts.

Note goes out also to the data disclosed by the Portuguese Statistics Office (INE) today on the economy’s growth. In the second quarter of the year, GDP recorded 1.9% growth compared to the same period last year, with a 0.6% variation compared to the previous quarter.

The economic performance achieved solidifies the strategy set by the Government, as well as the forecasted 2% growth in GDP for this year.

The results that were known today on the performance of public accounts and growth in GDP show that the economic and budgetary trajectory set by the Executive is correct, notably with regard to the targets for this year: the economy’s growth, maintaining a budget surplus, and the continued reduction of public debt.