In the third quarter of 2023, the seasonally adjusted general government deficit to GDP ratio averaged 2.8% in both the euro area and the European Union, compared with 3.0% in the second quarter for both the euro area and the EU, according to data published by the EU’s statistical office (Eurostat).
Of the 24 countries for which data is available, seven recorded a budget surplus. The largest surpluses were seen in Denmark (+2.7% of GDP), Portugal (+2.5%) and Croatia (+2.2%). The most acute deficits were recorded in Slovakia (-7.0% of GDP), Bulgaria (-6.6%) and Hungary (-5.7%). They amounted to -4.8% of GDP in France, -4.3% in Spain and -0.9% in Germany.
According to Eurostat, measures to mitigate the impact of high energy prices continued to have an impact on budget balances.
Debt. As regards public debt, at the end of the third quarter of last year, the average debt to GDP ratio stood at 89.9% in the euro area, compared with 90.3% in the previous quarter. In the EU, the average ratio also fell, from 83.0% to 82.6%.
The highest public debt ratios were recorded in Greece (165.5% of GDP), Italy (140.6%), France (111.9%), Spain (109.8%), Belgium (108.0%) and Portugal (107.5%). By contrast, the lowest figures were recorded in Estonia (18.2%), Bulgaria (21.0%) and Luxembourg (25.7%).
Compared with the second quarter of 2023, nine Member States recorded an increase in their debt to GDP ratio, with the biggest rise in Belgium (+2.1%). The biggest decreases were recorded in Cyprus (-5.6%), Luxembourg (-2.6%) and Portugal (-2.5%). (Original version in French by Mathieu Bion)