The government deficit in the last 12 months amounted to 3.7% of GDP

The Treasury announces that the government deficit in the last 12 months amounted to 3.7% of GDP in the past month, significantly higher than the annual target of 2.9% of GDP.
Government expenditures since the beginning of 2019 totaled NIS 353 billion, of which NIS 27.5 billion was interest payments and NIS 19 billion were social security provisions. In the same period last year, expenses amounted to NIS 337 billion - an annual increase of 6.1%.
The Treasury reports that a surplus of NIS 500 million was recorded in November, compared with a deficit of NIS 123 million in the corresponding period last year. The main reason for this figure is a NIS 2.2 billion tax deferral from October. If the tax had not been postponed, the government deficit would have amounted to NIS 1.7 billion.
The main problem is the revenue side. The original forecast of the Treasury was NIS 356.7 billion, with tax revenue expected to be NIS 323.1 billion. In fact, from the beginning of 2019, revenues totaled only NIS 315.9 billion, a nominal increase of only 2.6%. Total tax collection amounted to NIS 290 billion, although this is a nominal increase of 3% compared to the same period last year, but far from the original forecast.