Fondo de Compensación de Ingresos para la Producción Algodonera

PROGRESS REPORT ON THE BILL OF THE GENERAL BUDGET OF THE NATIONAL GOVERNMENT FOR THE YEAR 2025

by Nicolas Perez | Aug 15, 2024 | Budget Law

The report basically summarizes macroeconomic projections for the current year, budget execution through May 2024, estimated revenues and financing strategy for 2025, and government employment management. The description of the scenario and the budgetary policy proposals refer to:

In the first five months a primary surplus of 1.1% of Gross Domestic Product (GDP) and a financial surplus of 0.4% of GDP were achieved, after debt interest payments.
In 2024, GDP will fall by 3.5%.
The trade surplus will exceed USD 21 billion.
Zero deficit and sustained fiscal balance is a political priority. Also, the social assistance without intermediaries, the modernization and simplification of the State and the equipment and modernization of security and defense.
National revenue will increase 54.4% next year and the tax burden will be reduced by 0.45 percentage points.
The maturity profile is expected to be extended and the financial burden on the Treasury’s accounts is expected to be reduced.

FISCAL IMPACT OF BILL ON THE EXTENSION OF THE INCOME COMPENSATION FUND FOR COTTON PRODUCTION

by Nicolas Perez | May 14, 2024 | Cost Estimates

ERRATA: This report replaces the version published on 05/14/24.
The bill extends the term of the Income Compensation Fund for Cotton Production (FCIPA), increases its budget and proposes an automatic annual update linked to the price of grade 2 diesel oil determined by YPF.

Resources totaling ARS13.5 billion would be allocated to the FCIPA this year.
The Cotton Fund was first included in the budget in 2006, but without a credit allocation. As of 2007 a budget of ARS25 million was allocated and ARS500 million in fiscal year 2024, which has not been executed to date.
Updates will be made on an annual basis, according to the percentage difference in the variation of the price of GRADE 2 diesel oil determined by YPF S.A. as of September 30 of each calendar year.