The Treasury settled before him Congress of the republic the draft budget for 2023. The last budget filed by the government of the president Ivan Duke and the first to be executed by the incoming government of Gustavo Petrowith the adjustments that you consider pertinent to make once you analyze and evaluate its content.
The budget is $391.4 billion. Of this figure, $250.6 billion (64%) corresponds to operating expenses, $78 billion (19.9%) to debt service payments and $62.8 billion (16%) to investment. As a percentage of GDP, the budget is equal to 27%.
“By discounting the service of the public debt, $78 billion, and the transfers for the Fuel Price Stabilization Fund (FEPC)$19.1 billion (1.3% of GDP), the value of the appropriations amounts to only $294.4 billion, 4.9% higher than the current budget, which shows the fiscal effort of this government to consolidate the accounts taxes and reduce inflationary pressures without affecting productive activity”, warned this portfolio.
Which sectors have more resources?
These are the sectors with the most money
In this regard, the Treasury portfolio indicated that 89.4% of the resources of the investment budget are concentrated in the sectors of social inclusion and reconciliation (25.36%); transportation (15.39%); finance (10.94%); education (8.31%); work (7.36%); mines and energy (6.86%); housing, city and territory (3.71%); defense and police (3.21%); planning (2.34%); agriculture and rural development (2.10%); information and communication technologies (2.02%) and health and social protection (1.83%).
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The Minister of Finance, Joseph Manuel Restrepo, maintained that this budget will guarantee that the country once once more reaches a primary fiscal surplus of 0.1% of GDP in 2023, a result not seen since 2019, the year in which this government began a process of adjusting public finances, reaching the first fiscal surplus in seven years. Additionally, This would reduce public debt financing needs to 6.7% of GDP in 2023, when they are normally 8.2%.
In addition, Restrepo emphasized that these figures will provide a close idea of the amount of resources that might be required in 2023 to cover the operating needs of the public sector and to meet the goals set forth in the investment plan, “that guarantee the attention of the commitments acquired through current contracts or agreements, the credits signed and the future validity whose quotas have been duly authorized, the fulfillment of the Law of Victims of the internal armed conflict, of the peace agreement and of the mandates of the high courtsespecially Judgment T-025 of 2004 and its follow-up orders, and, in general, of those other expenses of unavoidable compliance”.
And the social programs?
In this regard, the Ministry of Finance assured that this budget includes resources to finance programs such as Colombia Mayor, Jovenes en Acción and Familias en Acción and VAT compensationand meet the needs of households in situations of poverty and vulnerability throughout the national territory.
However, in the case of Solidarity Income, Its validity, in accordance with the provisions of article 20 of the Social Investment Law, only lasts until next December. It will be the incoming government that decides on its modification or permanence, for which it must process its legal viability before the legislature. While this legal viability is ensured, resources are programmed for this program in the Ministry of Finance.