2023-09-16 01:01:51
The project of National Budget Law by 2024 it is expected a fiscal deficit of 0.9% of GDPa inflation of 70%, y an official $600 dollar towards the end of the year, with a recovery of activity of 2.7%.
These are the main guidelines that contains the income and expenditure initiative that the Executive Branch sent to the National Congress tonight to comply with current legislation, but that It would not be dealt with until the new government took office.
For the design of next year’s budget, Economy adjusted the parameters of the corresponding to this period and estimated that inflation will decrease in recent months to end the year with an end-to-end variation of 135%.
At the same time, a 2.5% drop in GDP is projected mainly due to the drought. Regarding the exchange rate, they assure in the Treasury Palace that will remain unchanged at $350 until November 15 and from then on there will be a “moderate” administration of daily devaluations aligned with the inflation rate.
Likewise, they recognize that the latest measures launched for social assistance will put pressure on this year’s deficit that was confirmed at 1.9%.
According to reports, the idea is to compensate for the imbalance with a reduction in subsidies, lower operating expenses, current transfers and capital expenses.
“It’s not going to be spontaneous. We will have to take compensation measures,” the economic team insists.
The technicians of the Treasury Palace planned a 2024 budget knowing the difficulties and changes that the electoral process may impose, however this is an approximation to the future vision of the current economic management.
The 2024 Budget numbers: pressure to lower the deficit
He proposed fiscal deficit is 0.9% of GDPas established in the recent agreement signed with the IMF.
However, Economía insisted on sending it to Parliament with an “offprint” describing a series of exemptions and privileges enjoyed by certain sectors that They add up to 4.7 points of GDP.
On different occasions the Minister of Economy, Sergio Massaasked legislators to discuss a cut in these segments to accelerate the objective of fiscal balance.
In this case the focus is on the privileges of the Power of attorneyissues linked to inflation adjustment, deductible VAT for company directors and the Tierra del Fuego regime.
The economic team considers that in addition the growth of the planted area, plus a growing harvest following leaving the drought behind and what the energy sector will contribute will contribute effectively to achieving the proposed fiscal objectives. They also point out that the reduction in subsidies that is already beginning to be implemented will contribute. The 2024 budget maintains the PAIS tax, which means that the ruling party does not foresee a rapid unification of the exchange market.
In any case, given that Together for Change has already warned that they will not accompany the projects sent by the Executive Branch, such as the reduction of the Income Tax, the document that enters Congress will be archived until the next president defines its Order of priorities.
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