The measure -which will be in force until the end of 2023- specifies that “appointments or hiring of personnel of any nature” cannot be made in the national public sector.
The Government of Argentina decreed a few days ago a suspension in the hiring of personnel in the national public administration, a measure that is part of the needs of reduce the fiscal deficit from the country.
According to a decree published on Friday in the Official Gazette, “it is appropriate to adopt various measures with a view to guaranteeing an efficient and responsible exercise of the national budget, in terms of hiring personnel.”
The decree, which bears the signature of the Argentine president, Alberto Fernandezstates that The suspension of contracts will be valid until the end of 2023.
The measure covers hiring in the jurisdictions and entities of the national public sector, where No appointments or hiring of personnel of any nature may be made.
The resolution had already been advanced days ago by the Minister of Economy, Silvina Batakis, who, upon taking over this month as head of the portfolio to replace Martín Guzmán, reiterated the need to seek to reduce Argentina’s fiscal imbalance.
In the first half of the year, Argentina accumulated a primary fiscal deficit of 755,975.7 million pesos (5,558.6 million dollars), a figure equivalent to 0.99% of GDP and which represents a 263% increase compared to the red registered in the same period of 2021.
The debt refinancing agreement sealed last March between Argentina and the International Monetary Fund (IMF) includes among its goals that the country must achieve a primary fiscal deficit equivalent to 2.5% of GDP this year, from a red registered in 2021 equivalent to 3% of GDP.
Although this annual objective has not been modified, last June, when carrying out the first revision of the extended facilities agreement with Argentina, the IMF modified the primary fiscal deficit target accumulated at the end of the first semester, which rose from 566,800 million pesos ( 4,167.6 million dollars) to 874,400 million pesos (6,429.4 million dollars).
Argentina, which faces serious macroeconomic imbalances and recurring financial stressdepends on the fulfillment of the objectives committed to before the IMF to receive quarterly transfers from the organization that allow it to face the maturities with the Fund and thus avoid a cessation of payments with that multilateral entity.
