Page 71 - economic report 2021

of total non-financial expenditure fell seven tenths to 51.3%, but they are still by far the largest
chapter of budget expenditure in comparison with the second, which is personnel costs.

Operating costs also saw containment in 2021 (-0.8%). The most important fall was in the
chapter of personnel costs (-1%) to €116.8 million, while there was a slight reduction of 0.2% in
consumption of goods and services.

2. Comú governments

According to the data from the settled budgets of the Comú governments, including financial
assets and liabilities, the total volume of Comú revenue reached the figure of €165.9 million in
2021, higher than the €162 million of settled expenditure. As a result, the combined balance of
the Comú governments was positive (€3.9 million) for the second consecutive year, but much
lower than in 2020. This is the result of a combination of high growth in total expenditure and a
very small increase in revenue.

The Comú governments’ surplus fell to If the analysis is limited to non-financial revenue
0.5% of GDP, the lowest level in a decade. and expenditure, the total settled volume
obtained was €157.9 million and €142.6 million,
respectively, resulting in a non-financial cash
surplus of €15.3 million. This surplus represents 0.5% of GDP, 1 point less than in 2020 and the
lowest level in the last decade.

In detail, it can be seen that two Comú governments went from a surplus situation in 2020 to a 69
public deficit in 2021 (Canillo and Andorra la Vella). Canillo is the Comú that ended 2021 with
the most negative balance (-€3.6 million), while the imbalance recorded by Andorra la Vella was
much smaller (€0.4 million). The others settled their budgets with a surplus. Specifically, Encamp
became the Comú with the largest surplus (€3.4 million), noting that this was the one with the
highest deficit in 2020. Ordino also went from a deficit to a surplus (€0.4 million). In contrast, the
positive balances of Escaldes-Engordany (€1.9 million), La Massana (€1.1 million) and Sant Julià de
Lòria (€0.9 million) were smaller than in 2020, especially that of the Comú of Escaldes-Engordany.

As for the trend in debt, 2021 ended with a cumulative, consolidated Comú debt of €117 million,
according to provisional data published by the corporations. This figure represents an increase of

Chart 8.7 The Andorran economy: general developments | VIII. The public sector
SETTLED BUDGET BALANCE OF THE COMÚ GOVERNMENTS - Millions of euros

2020 2021

Source: Comú governments / Department of Stat st cs.