In the euro-zone, the average government deficit shrunk from 2.8% of GDP in 2004 to 2.4% last year. Meanwhile, government debt, measured against GDP, increased from 69.8% in 2004 to 70.8% in 2005. In the whole Union, the respective figures were 2.6% and 2.3% for government deficit and 62.4% and 63.4% for government debt.
In 2005, the governments with the highest public deficit figures were those of Hungary (6.1% of GDP - 5.4% in 2004), Portugal (6.0% - 3.2% in 2004), Greece (4.5% - 6.9% in 2004), Italy (4.1% - 3.4% in 2004), Britain (3.6% - 3.3% in 2004), Germany (3.3% - 3.7% in 2004) and Malta (3.3% - 5.1% in 2004). Meanwhile, Belgium, Denmark, Estonia, Finland, Ireland, Latvia, Spain and Sweden registered a government surplus in 2005.
The Stability and Growth Pact limits public deficits to 3% of GDP. Currently 12 EU states face disciplinary action for breaching this limit.
The 2005 government debt list looked as follows: Greece (107.5% of GDP), Italy (106.4%), Belgium (93.3%), Malta (74.7%), Cyprus (70.3%), Germany 67.7%), France (66.8%), Portugal (63.9%) and Austria (62.9%).
In the euro-zone, the average figure for government expenditure was equivalent to 47.5% of GDP in 2005, while government revenue was registered at 45.1% of GDP.
