In the first ten months of the year, a primary surplus of 1.4% of GDP was achieved
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The Government of Javier Milei closed October with a new positive result in public accounts, according to data released by the Ministry of Economy.
Last month, the National Public Sector (SPN) recorded a financial surplus of $517,672 million, a figure obtained after debt interest payments of $306,253 million. This performance was possible thanks to a primary surplus of $823,925 million, thus defending the fiscal balance strategy that the libertarian administration upholds as a central pillar of its economic program.
With this result, the SPN accumulated during the first ten months of the year a financial surplus equivalent to approximately 0.5% of GDP, while the primary surplus reached 1.4% of GDP. These figures allow the fiscal anchor to remain firm and support the continuity of the economic course adopted since December 2023.
Javier Milei y ''Toto" Caputo.
Total SPN revenues reached $11,987,193 million in October, representing a year-on-year increase of 28.1%. Within tax resources, which grew by 24.4%, significant increases were seen in Import Duties (+65.7%), Income Tax (+41.8%), Debits and Credits (+41.2%), and Social Security Contributions (+35.9%). Net VAT, excluding refunds, also showed a year-on-year expansion of 31.5%.
The official report recalled that the year-on-year comparison is affected by the validity of the PAIS tax and by revenues derived both from the asset disclosure process and from the Special Entry Regime for the Personal Assets Tax (REIBP), measures implemented during 2024.
Meanwhile, SPN primary expenditures amounted to $11,163,268 million, with a year-on-year increase of 29.6%. Social benefits, the largest component, reached $6,891,369 million (+31.5%). Within these items, contributory pensions and retirements grew by 8.1% in real terms, while the Universal Social Protection Allowance advanced by 6.8%.
Public sector salaries totaled $1,416,199 million (+21.9%), influenced by wage changes and by the progressive reduction in the state workforce. Current transfers totaled $4,131,125 million (+15.1%), while economic subsidies amounted to $1,041,225 million (+27.1%), with similar increases in both energy (+28.2%) and transportation (+27.3%).
El ministro Luis Caputo.
Caputo highlighted the fiscal commitment
The Minister of Economy, Luis "Toto" Caputo, celebrated the results through his X account. "October: primary and financial surplus," he wrote, highlighting the contrast with October 2023, when, during Kirchnerism, a deficit equivalent, adjusted for inflation, to almost $1.75 trillion was recorded.
Caputo emphasized that the October result "confirms the absolute commitment to the fiscal anchor," especially in a month marked by the midterm legislative elections. He also stated that fiscal and monetary order made it possible to "limit the impact on the population" in the face of political volatility and "attempts by the opposition in Congress to break fiscal balance."
