ANALYSIS OF PUBLIC INVESTMENT BUDGET EXECUTION – JUNE 2020

Public Investment executed in the first half of 2020 dropped 19.5% YoY in real terms compared to the first half of 2019.

Both Real Direct Investment and Capital Transfers, which are the items that make up Public Investment, showed drops in the comparison of year-on year execution of 37% and 3.9%, respectively

The drop of the Real Direct Investment is due to delays in the execution of works, which was partially offset by the purchases made by the Ministry of Health in the context of the pandemic.

For its part, the drop in Capital Transfers was driven by reduction of transfers to provinces, municipalities, and national universities.

The Budget includes 744 investment projects with appropriations, although about 50% was allocated to only 12 of them.

Of the capital transfers made in the first half of the year, 50.4% focused on the Potable Water and Sewerage function, mainly with the transfers to AYSA S.A.

From a regional point of view, investment in the first half of the year was concentrated in the Pampas Region and in interprovincial expenditures.