Spain's public deficit reaches 5.07%

The deficit of the Spanish public administration stood at 5.07 percent of the country's gross domestic product (GDP) until August, the Spanish Secretary ofState for Finance Marta Fernandez-Curras announced on Tuesday. Fernandez-Curras reported that the deficit totaled 51.981 billion euros (71.543 billion U.S. dollars), including the deficit of the central administration, Autonomous Communities (Spain's regions) and Social Security. The deficit of the local governments was excluded. The 51.981 billion euros also includes the public financial aid injected into Spanish banks. However, without taking into account this financial aid Spain's public deficit stood at 49.207 billion euros representing 4.8 percent of Spain's GDP. The deficit of the Spanish central administration reached 39.188 billion euros until August, which represented 3.82 percent of the country's GDP; while the Autonomous Communities registered a deficit of 8.135 billion euros, 0.79 percent of Spain's GDP. The government emphasized that Spanish Autonomous Communities were making big efforts to reach 2013 deficit target, at 1.3 percent. Meanwhile, Spain's Social Security had a deficit of 1.884 billion euros, which represented 0.18 percent of the country's GDP, while its 2013 deficit target is 1.40 percent. Fernandez-Curras explained that the government expected local governments to register surplus which would help improve the public deficit figure, while pointing out that it also expected Autonomous Communities to fulfill their 2013 deficit target. According to the Secretary, Spain is on the right track to meet the 2013 deficit target required by Brussels: 6.5 percent excluding public financial aid to the banking system.