Budget surplus hit 87 per cent of the annual target in the first quarter of this year, Bulgaria’s Finance Ministry said in a quarterly budget overview. As of end-March, budget surplus totalled 1.08 billion leva.

Tax revenues accounted for 4.1 billion leva, which equals 24.5 per cent of the planned 16.74 billion leva for the year 2008.

Corporate tax proceeds alone amounted to 844 million leva or 39.7 per cent of plans. Revenues from income tax totalled 419.8 million leva (19.5 per cent of plans). VAT proceeds came in at 1.85 billion leva or 22.6 per cent of annual target and excise duty income at 854.7 million leva (22.5 per cent of plans).

Non-tax revenues amounted to 480 million leva, which represents 31 per cent of all 1.55 billion leva.

Budget spending and transfers for the first three months of the year amounted to 3.3 billion leva. Cash transfers to municipalities totalled 647.4 million leva, which represents 34 per cent of annual target, whereas outlays to the state social security system to 643.6 million leva (21.8 per cent of target).

Spending on public officials’ salaries totalled 420.6 million leva as of end-March 2008, at 20.9 per cent of target.