In the third quarter of 2021, the financial balance of the general government (i.e. the central government, the social security funds and the local governments) is estimated at 34.2 billion ISK in deficit, amounting to 4.0% of quarterly GDP.
Overall, general government revenues are estimated to have increased by 10.4%, compared with last year’s corresponding quarter. Revenues from taxes on income, profit and capital gains increased by 7.3% during the same time.
Total expenditure is estimated to have increased by 2.8% from last year’s corresponding quarter. Compensation of employees is the largest part of expenditure, estimated at 33.2% of total general government expenditure. General government investment is estimated to have increased by 12.7% compared with the third quarter of 2020 and social benefits to have increased by 3.2% during the same period.
| General government finances in 3rd quarter | |||
| 2020 | 2021 | ||
| Billion ISK, current prices | 3rd quart. | 3rd quart. | Change % |
| Total revenue | 312.9 | 345.3 | 10.4 |
| Total expenditure | 369.1 | 379.5 | 2.8 |
| Investment | 32.2 | 36.3 | 12.7 |
| Financial balance | -56.2 | -34.2 | • |
| Financial bal. % of total revenue | -18.0 | -9.9 | • |
| Financial bal. % of quarterly GDP | -7,5 | -4.0 | • |
| Preliminary figures for 2021 | |||
Preliminary figures for 2021