Nicolas Perez - Oficina de Presupuesto del Congreso

FISCAL IMPACT OF THE MAJORITY AND MINORITY COMMITTEE REPORTS ON BILL 5950-D-2022 – NATIONAL DANCE LAW

by Nicolas Perez | Nov 28, 2023 | Cost Estimates

The majority committee report implies the creation of the National Dance Institute (INDa) as an autarkic entity within the scope of the Ministry of Culture of the Nation, with an allocation of resources estimated at ARS 2.881 billion in 2024. This amount arises from the reallocation of already existing tax resources and from the increase of 3 percentage points of the tax rate on sweepstakes games and sports contests.

On the other hand, the minority report does not entail any fiscal cost, since it provides for the creation of the National Dance Council within the scope of the Ministry of Culture of the Nation, without granting it autarchy and without enabling the creation of new budget items or the appointment or hiring of personnel.

Both reports agree in recognizing the cultural value of dance and the need for the activity to be promoted by the State.

ANALYSIS OF NATIONAL GOVERNMENT BUDGET EXECUTION – OCTOBER 2023

by Nicolas Perez | Nov 14, 2023 | Budget Execution

During the first ten months of the year, the primary deficit was reduced by 11.7% and the financial deficit by 6.9%.
This situation resulted from a real contraction of 3.6% YoY in revenues and 4.3% YoY in expenditures.
Total revenues as of October 31 amounted to ARS21,755.924 billion, – 3.6% as compared to the same period of the previous year.
Export Duties fell 63.8% YoY, a drop linked to lower agricultural sales due to the drought.
The largest expenditure cuts were recorded in family allowances (28.5% YoY) and in energy subsidies (25.8% YoY).
The third item is Pensions, which fell 3.5%, mainly due to the differential between the benefit mobility formula and inflation.
The expenditure budget increased by 30.6% with respect to the original amount. However, transportation subsidies, transfers to provinces and social programs doubled the increase.

ANALYSIS OF NATIONAL GOVERNMENT BUDGET EXECUTION – OCTOBER 2023

EFFECTIVE RATE OF ASSISTANCE BY ECONOMIC ACTIVITY – 2022 ESTIMATE

by Nicolas Perez | Nov 3, 2023 | Tax Policy and Fiscal Federalism

This document is prepared at the request of the Budget and Finance Committee of the Honorable Chamber of Deputies of the Nation, within the framework of the parliamentary discussion of the 2024 Budget Bill.

The report develops and presents an indicator that quantifies the level of State assistance to the different economic sectors in relation to the value added generated by them over the course of a year.

EFFECTIVE RATE OF ASSISTANCE BY ECONOMIC ACTIVITY – 2022 ESTIMATE

FISCAL IMPACT OF BILL 4333-D-2022 – BENEFIT TO EXPORTS FROM PORTS AND CUSTOMS OFFICES SOUTH OF THE COLORADO RIVER

by Nicolas Perez | Oct 24, 2023 | Cost Estimates

The Bill proposes an additional reimbursement for exports from ports and customs located south of the 40th parallel, which will increase the further south the place of dispatch of goods is located.

The products may be exported in their natural state or manufactured in the benefited region with an additional reimbursement, which will range between 8% and 13%.

The estimated fiscal cost of this benefit would imply an additional refund of ARS3.396 billion for 2023 and ARS12.548 billion for 2024.

PUBLIC DEBT OPERATIONS – SEPTEMBER 2023

by Nicolas Perez | Oct 20, 2023 | Public Debt Operations

Debt in domestic currency was repaid in September for ARS979.475 billion in principal and ARS63.996 billion in interest. The Treasury obtained financing in pesos for ARS2,232.028 billion.
Net borrowing in foreign currency amounted to USD2.114 billion.
Repayments of USD2.597 billion on the IMF Stand-by loan are due in October.
Between October and December, amortization and interest payments are estimated at ARS3,882.39 billion and USD5.456 billion, of which USD4.298 billion are for IMF loans.

PUBLIC DEBT OPERATIONS – SEPTEMBER 2023

ANALYSIS OF NATIONAL GOVERNMENT BUDGET EXECUTION – SEPTEMBER 2023

by Nicolas Perez | Oct 12, 2023 | Budget Execution

Even with the real fall in National Government revenues, in the first nine months of the year, the financial deficit decreased 2.9% YoY (year-on-year) in real terms and the primary deficit decreased 10.9% YoY.

Revenues fell 4.5% YoY in real terms: 9.5% YoY decline in tax revenues and a 1.4% YoY increase in Social Security contributions.
Income Tax collection fell 11.0% YoY, driven by the use of the credit balance to offset other taxes, and Export Duties fell 62.0% YoY.
Primary expenditure was cut by 5.5% YoY, with more pronounced falls in family allowances (27.4% YoY), energy subsidies (24.1% YoY), and social programs (12.6% YoY).
On the other hand, the main real increases in expenditures were recorded in transportation subsidies (14.0% YoY), transfers to universities (12.5% YoY) and interest on debt (11.5% YoY).
Pension benefits paid by ANSES (National Administration of Social Security) fell 4.4% YoY.
Pension benefits updated only by the mobility formula (not covered by bonuses) showed a reduction in purchasing power of 13.8% YoY, while minimum pension benefits practically equaled inflation (0.5% YoY).
Year-to-date, current appropriation increased by 28.2% with respect to the initial amount, reaching ARS37,113.343 billion. The expenses that increased the most with respect to the initial appropriation were transportation subsidies (61.3%).