Government deficit and debt - 4. quarter of 2024
General government sector balance ended up in a deficit
Publication Date: 02. 04. 2025
Product Code: 050061-24
In the Q4 2024, the general government sector deficit reached CZK 77.7 billion, which means that it improved by CZK 36.9 billion in the year-on-year comparison. The central government ended up with a deficit of CZK 41.7 billion that improved by CZK 44.4 billion, y-o-y. Performance of the local government sector ended up with a deficit in the amount of CZK 23.6 bn, which in the year-on-year comparison means worsening by CZK 4.7 billion. Performance of social security funds (of health insurance companies) ended up with a deficit of CZK 12.3 billion.
“The general government sector ended up with a deficit of CZK 77.7 billion in the fourth quarter of 2024, which is 3.7% of the GDP when expressed in relative terms. The government debt ratio increased to 43.6% of the GDP, y-o-y,” Helena Houžvičková, Director of the Government and Financial Accounts Department of the Czech Statistical Office (CZSO), stated.
The general government sector balance, Q4 2022 – Q4 2024
Period | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 | Q4 2024 |
|---|---|---|---|---|---|---|---|---|---|
CZK bn | -99.0 | -111.0 | -15.4 | -45.0 | -114.6 | -62.8 | -1.0 | -35.7 | -77.7 |
% of the GDP | -5.3 | -6.3 | -0.8 | -2.3 | -5.8 | -3.4 | -0.1 | -1.7 | -3.7 |
Note: Data in the table are not seasonally adjusted; they cannot be compared quarter-on-quarter.
The total revenue of the general government sector increased by 6.3%, y-o-y, and reached 40.9% of the GDP. Especially the following contributed to the y-o-y increase in the revenue: received social contributions, received taxes on production and imports. The total government expenditure increased by 1.5%, y-o-y, and reached 44.6% of the GDP. Expenditure on social benefits increased the most, the biggest decrease was recorded for subsidies paid.
The nominal debt of the general government increased, y-o-y, by CZK 258.1 bn to CZK 3 492.2 bn. The government debt ratio increased from 42.5% to 43.6% of the GDP, year-on-year; the influence of the nominal change of the debt was +3.2 p. p., while the increasing nominal GDP contributed to a decrease in indebtedness by –2.1 p. p. In the quarter-on-quarter comparison, the debt increased by CZK 42.7 billion, the nominal change of the debt was +0.5 p. p., whereas an increase in the nominal GDP contributed to a decrease in the indebtedness by –0.6 p. p., which resulted in a decrease in the debt ratio by 0.1 p. p., quarter-on-quarter.
Regarding the debt structure, mainly issued debt securities increased, year-on-year (CZK +215.9 bn).
Debt of the general government sector, Q4 2022 – Q4 2024
The general government sector balance after seasonal adjustment as well as adjustment for calendar effects ended up with a deficit of CZK 36.5 bn, which corresponded to 1.8% of the GDP. The general government sector balance improved by CZK 13.6 bn, q-o-q. The development of the general government sector balance adjusted by seasonal and calendar effects is shown in the chart below.
Seasonally adjusted general government sector balance, Q4 2022 – Q4 2024
