Main Aggregates of the General Government (April EDP reporting), Slovenia, 2016–2019

Expenditure growth higher than revenue growth
Last year revenue increased by 4.8%, similarly to the nominal GDP growth (4.9% GDP). Even though economic trends were still favourable, moderate economic growth had an impact on Slovenian public finances.

Compared to 2018 (when revenue growth was 7.1%) budgetary revenue inflows had slightly slowed down. In 2019, non-tax revenues from profit-sharing by financial corporations in which the Republic of Slovenia holds equity capital decreased significantly. While the general government nominally still had revenue higher than expenditure, the revenue increased at a slower pace than expenditure, the growth was 5.2%.

Strong wage and social benefits growth in 2019
Under favourable economic conditions the government increased wage costs by 7.9% or EUR 399 million. Social benefits growth was 5.1%, which amounted to EUR 361 million increase. Compensation of employees has been more intensively increasing since 2016, and social benefits since 2017.

Primary expenditure, i.e. without interest expenditure, increased by EUR 1,082 million in 2019. Growth was 6.0% and similar to 2018.

Central government again generated the highest surplus
Last year general government was again the most successful at the central government level. The surplus amounted to EUR 291 million, which is EUR 105 million less than the year before. Local government (municipalities) generated a deficit in the amount of EUR 42 million. Social security funds ended with a minimal surplus of EUR 12 million.

Slovenia decreased government debt to 66.1% of GDP
Due to active debt management, the government debt decreased by EUR 479 million to EUR 31,744 million or 66.1% of GDP. The government refinanced the mature debt by new euro bonds at lower interest rates, which had a positive impact on further decline of interest expenditure (10.7%). In 2019 the government spent 1.7% of GDP or EUR 821 million for this expense. Due to interest rate swaps (interest rate derivatives), the short-term loans moderately increased, which was due to interest rate development on financial markets in 2019.  

Revision of data
According to the established revision policy, data for 2016–2018 were revised: 2018 surplus decreased by EUR 23.8 million, 2017 deficit increased by EUR 14.5 million and 2016 deficit decreased by EUR 4.8 million.

More detailed data
More detailed data including time series are available in the SiStat Database.