SAN MARINO – The deficit forecast for 2026 drops from 13.7 to 5.6 million euros, while state liquidity remains stable and interest on public debt decreases. This is what emerges from the budget adjustment examined by the Great and General Council, which updates the financial forecasts of the Republic on the basis of the trend of revenues and expenses.
Among the main elements are the eight million euros of increased revenue expected from the General Income Tax (IGR), attributed to the effects of the tax reform. The estimate, formulated prudently considering the two months still available before the end of the financial year, contributes to the improvement of the forecast balance.
The Secretary of State for Finance and Budget, Marco Gatti, declared: “The eight million expected higher IGR revenues represent a significant confirmation of the effects of the tax reform. We consider them a positive signal, without losing sight of the need for a rigorous evaluation of the accounts”.
Gatti also highlighted that the expected deficit falls to 5.6 million and that the state’s liquidity remains stable, conditions that allow us to face the next few months without resorting to new financing. The Secretary of State recalled the need to continue the process of rebalancing public finances.
During the debate, the topic of fuel-related revenues was also addressed. According to data reported by the Secretariat of State, the reduction in excise duties has not generated greater revenue for the State. The Republic instead distributed over 18 million euros through a support program aimed at containing the cost of fuel.
Also contributing to the improvement of the financial picture is the reduction of 6.5 million euros in the interest expenses initially foreseen, made possible by the conditions obtained with the recent international issue of public debt securities.
The adjustment also envisages not proceeding in 2026 with the additional issue of 50 million euros in securities, initially scheduled to begin the replacement of an equivalent portion of irredeemable debt. The operation may be re-evaluated in the 2027 budget, taking into account the trend in interest rates and market conditions.
The provision also updates the budget estimates of public bodies and autonomous companies, including the Autonomous State Company for Public Works, the Autonomous State Company for Services, the Institute for Social Security, the CONS and the University. Adjustments are planned for operational needs, including the purchase of a new fire engine for the Civil Police.
The allocation of 700 thousand euros for San Marino’s participation in Expo 2027 Belgrade was also confirmed. Finally, the adjustment updates the provisions on the use of state sports facilities, allowing the signing of agreements with sports federations for periods of up to twenty years.
The budget review therefore aims to adapt the forecasts to the actual trend of the accounts, keeping spending under control and monitoring revenues until the end of the year.
