The primary surplus in January, which excludes the cost of servicing public debt, was €93.3m compared to €176.1m in the respective month of 2014, the finance ministry said in a statement on its website.

The decrease surplus was mainly on an annual 7.9 drop in public revenue to €558.9m which more than offset the 4.7 increase in revenue to €484.4m, the statement said. Direct tax revenue fell 9.2% to €213.6m and contribution to the social insurance fund fell 1.3% to €88.5m, while indirect tax revenue rose 2.7% to €213.3m, mainly on a 3.8% increase in value added tax to €116.3m.

The increase in public spending in January was mainly on a 51% increase in other current transfers to almost €1399m, the finance ministry said.

Public payroll fell almost 6.2% to €123.2m while social insurance fund outlays rose 1.1% to €110.8m.

Source: Cyprus Mail