The “primary” budget surplus is a the favourite measure of Greek politicians at the moment. Unfortunately for anyone living in Greece the “primary” part means it only tells half the story as it leaves out debt repayment and servicing costs.
When the true figures are used to paint an accurate picture of the Greek government finances the deficit is actually increasing and by a massive 33% year on year.
2013 year to date deficit runs at 8.7 billion Euros or around 1 billion Euros a month.
To put this into some sort of perspective, at the start of the Greek government’s crisis the monthly deficit was around 1.5 billion Euros a month.
And given the tax arrears are building at the rate of around 680 million Euros a month and given that these unpaid taxes are most certainly counted as revenues by the government, the government’s balance sheet is at best the same as it was at the start of the crisis and in reality much more given the course of the economy.
This is just another statistic of the Greek government’s crisis. Massive tax increases, huge cuts in pensions and benefits, huge pain for the Greek population for absolutely no reason.