Por Pablo Arranz 
The region of Mercia closed in November of last year with a deficit in its accounts of 368 million euros, equivalent to 0.86% of the gross domestic product (GDP), according to data published on Friday by the Ministry of Finance.
The deficit recorded in the region in the eleventh month of 2024 is lower than that mentioned in the same period of the previous year, when expenses exceeded income by 679 million euros (1.68% of GDP).
Overall, the common deficit of the central administration, social security, and autonomous communities was 29,411 million euros up to November 2024, equivalent to 1.85% of GDP, representing an increase of 1.9% compared to the same period of the previous year, due in part to expenses related to Dana.
As a novelty this month, an extraordinary expense derived from the severe floods caused by the isolated depression (DANA) was recorded in the accounts of the public administrations as a whole, excluding local corporations. According to available information, this expense amounts to an estimated 4.105 million, equivalent to 0.26% of GDP.
Therefore, if this amount is excluded along with the aid for financial institutions, the deficit would stand at 25,771 million, lower by 9.6% compared to the negative result of 28,525 million obtained in the same period of 2023.
The government supports the 3% target for the public deficit for 2024, although several agencies warned that expenses related to Dana could add several tenths to last year’s deficit closure. The final data for 2024 will be known in February.
By eliminating the data, the deficit of the central administration was 37,853 million euros in November 2024, including financial assistance, corresponding to 2.38% of GDP. In this sense, the state recorded a deficit equivalent to 2.32% of GDP, up to 37,034 million.
This result, according to the Treasury, was largely affected by the final settlement of the financing system for autonomous communities and local corporations corresponding to the 2022 exercise, carried out in July 2024, resulting in an increase in the deficit for the state by 13,523 million compared to the previous year.
Additionally, the update of the 2024 accounts of autonomous communities and local entities meant an additional increase of 10,381 million compared to the same period in 2023.
In turn, central administration agencies recorded a deficit of 819 million, compared to a positive result in the same period of 2023 of 3,549 million, due to the mentioned impact of extraordinary expenses derived from the Dana catastrophe, collected in the Consortium Compensation accounts (CCS), for an estimated amount of 4,074 million.
Surplus
On the other hand, autonomous communities recorded a surplus at the end of November 2024 of 5,651 million, equivalent to 0.35% of GDP, compared to the deficit of 0.4% in the same period of the previous year.
This result is due to an increase in expenses of 6.7%, while revenues increased by 12.3% compared to November 2023. This evolution is mainly due to the increased resources received up to the eleventh month of 2024 for the financing system, with 19,121 million more, from 125,963 million in 2023 to 145,084 million in 2024.
Specifically, tax-derived revenues increased by 14.5%, reaching 91,236 million; while transfers between public administrations reached 126,920 million.
Among the expenses, employee remuneration increased by 6.2%, reaching 94,825 million; intermediate consumption increased by 6.7% to 37,858 million; subsidies also stood at 4,347 million, with a 2.3% increase compared to the end of November 2023.
All autonomous communities, except for the Valencian Community (-1.12%) and the region of Murcia (-0.86%) of surpluses recorded until November, highlighting the Canary Islands (+1.90%) and Asturias and Navarra (+1.71% in both cases), with the most significant surplus.
Social Security Funds
Regarding Social Security, the agency’s funds recorded a surplus of 2,791 million until November 2024, with an 8.2% increase in expenses compared to a 7.1% increase in revenues.
Additionally, the social security system recorded a surplus of 2,509 million in the eleventh month of 2024, 0.16% of GDP. Resources amounted to 194,820 million, 7.2% higher than in 2023, while expenses were 192,311 million, largely corresponding to pension expenses, which increased by 7.1%, up to 158,908 million.
Finally, the State Public Employment Service (SEPE) had a deficit of 40 million compared to a surplus of 970 million in 2023; while Fogasa had a surplus of 322 million, 2.9% higher than in 2023 at 313 million.