Nicolas Perez - Oficina de Presupuesto del Congreso

FISCAL IMPACT OF THE CREATION OF THE NATIONAL DANCE INSTITUTE – BILL 5127-D-2022

by Nicolas Perez | Aug 22, 2023 | Cost Estimates

The Bill provides for the creation of the National Dance Institute, which would be financed with a portion of existing taxes or budgetary resources and other probable revenues whose estimation is not feasible prior to the creation of the Institute.

The tax resources involved in the initiative would range between ARS4.897 billion and ARS10.238 billion per year, depending on the base considered to quantify the main source: 1% of the “Net internal shared taxes”.
The difference depends on whether the full collection of this tax is considered or only the portion allocated to the National Treasury.
It was not possible to estimate expenditures due to the lack of data on personnel and staffing structure, but it is expected that the funds estimated would be sufficient to cover them.

NEW OPC AUTHORITIES TOOK OFFICE

by Nicolas Perez | Aug 16, 2023 | Activities

The Argentine Congressional Budget Office (OPC) began a new institutional cycle with the arrival of new directors.

Gabriel Esterelles, with a degree in Economics and a master’s degree in public finances, will hold the position of Director- General for a five-year term, in accordance with the provisions of the law creating the Office.

The hierarchical structure is completed by Martín López Amorós, with a degree in Economics, as Director of Fiscal and Tax Analysis, and the magister Joel Vaisman as Director of Sustainability and Public Debt Analysis. In addition, María Eugenia David Du Mutel de Pierrepont, with a degree and a master’s degree in economics, continues to head the Directorate of Studies, Analysis and Evaluation.

The new directors were formally appointed by the highest authorities of the National Congress after the competitive examination process, which placed each of them in first place among all candidates.

This process was conducted by the Parliamentary Oversight Committee, composed of members of the ruling party and the opposition, with the participation of independent technical and academic entities.

ANALYSIS OF NATIONAL GOVERNMENT BUDGET EXECUTION – JULY 2023

by Nicolas Perez | Aug 16, 2023 | Budget Execution

Within a framework of a decrease in all the deficit results of the National Public Administration, in the first seven months of the year, the primary deficit decreased 22.6% in real terms with respect to the same period of the previous year.

Total revenues for the first seven months of the year decreased by 5.1% and total expenditures decreased by 6.0%.
The largest drop in revenues was recorded in Export Duties: 56.2%.
Primary expenditures fell 8.3% in real terms during the period.
The most significant real decrease was recorded in transfers to provinces (28.0% YoY), mainly due to lower assistance to provinces and municipalities and the compensation for the transfer of the police force to the Autonomous City of Buenos Aires.
There were also significant cuts in family allowances (25.3% YoY), energy subsidies (22.9% YoY) and social programs (21.3% YoY).
Debt interest payments increased 21.2%.
Total expenditures represented 57.9% of the current budget appropriation. Social programs such as food card benefits (84.3%), Potenciar Trabajo (81.6%) and Progresar student grants (76.6%) were above average.
Part of the budgetary reinforcement approved by Congress was allocated to food policies and the Progresar Plan in the amount of ARS43.705 billion and ARS31 billion, respectively.
There is still ARS10 billion available of the total budget reserves for the year of ARS1,207.507 billion.

PUBLIC DEBT OPERATIONS – JULY 2023

by Nicolas Perez | Aug 15, 2023 | Public Debt, Public Debt Operations

Government securities for ARS1,532.759 billion were placed in two auctions.
The Treasury paid amortizations to the IMF for USD2.652 billion and placed bills to the Central Bank (BCRA) for the same amount.
There were net placements of BCRA Temporary Advances for ARS440 billion, the stock increased to ARS4.59 trillion.
Maturities in foreign and domestic currency for August are estimated for the equivalent of USD4.454 billion and ARS889.653 billion, respectively.

FISCAL IMPACT OF THE PRELIMINARY DRAFT OPINION ON EQUAL PARENTAL LEAVE – ANALYSIS OF AMENDMENTS, ADDITIONS OR CLARIFICATIONS INTRODUCED

by Nicolas Perez | Jul 20, 2023 | Cost Estimates

The analysis of the amendments, additions, or clarifications to the preliminary draft opinion on leaves complements the study conducted by the OPC on June 22, 2023, using the new wording of the draft opinion. The following are the changes with respect to the previous document:

Inclusion of self-employed individuals as potential beneficiaries of parental allowances whose monthly amount will be equivalent to the Minimum, Vital and Mobile Net Wage in force in each period (added).
Possibility of receiving parental allowances for pregnant and non-pregnant persons simultaneously by both parents (clarification).
Financing of employer’s social security contributions through the resources of the Family Allowances regime (clarification).

If a financing mechanism for the Pension System similar to the one provided for in the Bill for the Social Security Health Insurances were applied, the budgetary impact for the National Government would then reach ARS113.458,99 billion, which is equivalent to 0.068% of the expected GDP for 2023, since the personal contributions of those who receive the allowances would enter the ANSES (National Social Security Administration), thus generating an income for the National Government.

PRESENTATION OF THE ENERGY SUBSIDY MONITOR TO PARLIAMENTARY ADVISORS

by Nicolas Perez | Jul 17, 2023 | Activities

The Argentine Congressional Budget Office (OPC) held a training meeting with parliamentary advisors to explain the content and dynamics of a new information tool.

The National Government Energy subsidies monitor, which has been recently published on the OPC’s website, details the evolution of these subsidies for the 2006-2023 term, disaggregated by month and recipient.

The new interactive tool also allows tracking the physical and financial execution of subsidies, with values expressed in current USD, current ARS, and constant ARS, and includes indicators referring to natural gas and electricity tariffs and production costs.

The presentation was given by analyst Pablo Barousse at the OPC’s headquarters and was attended by advisors from the Budget and Finance and Energy Committees of the Chamber of Deputies and the Senate.

The training will enable those who support the daily work of legislators to optimize the use of the monitor, which offers historical and current data on issues concerning the economic reality.