by Juan Fourcaud | Jan 21, 2021 | Budget Law
The Chief of Cabinet of Ministers published Administrative Decision No. 4 by which it distributes the budgetary appropriations for the year 2021 in accordance with the provisions of the Budget Law.
The amendments introduced by the National Congress to the bill sent by the Executive Branch required reallocations for AR$ 97.82 billion but did not entail an increase in the total spending approved by law, but rather compensations, basically due to the reduction of Treasury liability items.
by Juan Fourcaud | Oct 15, 2020 | Budget Law
The Budget Bill for 2021 shows a decrease in allocations for cross-cutting policies in real terms. with respect to the estimated closing for 2020 (3.6% for gender equality policy, 2.7% for children and adolescents, and 9.1% for the care of persons with disabilities)
On the other hand, items related to actions against gender-based violence, sexual and reproductive health, educational infrastructure, digital education, and spending on the defense of children and adolescents, show significant increases in real terms.
- The Budget Bill makes gender equality a priority of budgetary policy: the allocation of resources loses to inflation, but its share of total spending rises to 19% next year.
- The item Gender Violence will have an increase of 618.5% in real terms: AR$4.5 billion will be allocated to “Acompañar”, a new program to assist persons and groups most affected by gender violence.
- The budget assigned to the Ministry of Women, Gender and Diversity registers a real increase of 765% compared to 2020.
- The resources allocated to the Alimentar card will have a reduction of 34.8% in real terms and the contributions to school canteens will decline 22.6%. This year, these programs received exceptional reinforcements in the context of the health emergency.
- The provision and supply of vaccines for children and adolescents will rise 5% in real terms and the amount of fortified milk will increase 61%, but the allocation to the Garrahan Hospital will fall 11.7%.
- Universal allowance for social protection shows a budgetary decrease of 11.7% in real terms, which is lessened, but does not change its trend, if we consider the extraordinary outlays granted in the framework of the pandemic during 2020, which raises the basis for comparison.
- Funds for the construction and improvement of kindergartens will increase by 595%.
- Resources for disability care will fall by 9.1%, partly because special assistance granted during the pandemic is not considered for next year.
by Nicolas Perez | Nov 19, 2019 | Budget Law
The purpose of this report is to provide a comprehensive description of the basic content of the National Government Budget Bill for 2020, submitted by the National Executive Power in mid-September.
The existing economic and financial volatility, the pending implementation of the agreement with the IMF and the need for a public debt rescheduling process, have determined important adjustments in the macroeconomic projections made. In addition, the outcome of the election process that led to a change of political authorities as of December 10 and, therefore, a very likely change of priorities in the allocation of public resources, are issues that relativize the analysis made in this report. However, it is essential to carry it out, since it will be very useful to understand the constraints in the national budget caused by previously adopted regulations, as well as to provide elements of judgment in the process of discussion and legislative approval.
by Nicolas Perez | Feb 7, 2019 | Tax Revenue
This report analyzes tax revenues for the first month of the year and outlines the scenario for the whole of 2019.
National tax revenue in January 2019 totaled AR$363.92 billion, showing a year-on-year increase of 38.9% in nominal terms, which implied a drop of 6.7% in real terms.
As for the projection for the year, after the submission of the 2019 Budget, three regulatory amendments were introduced with a significant impact on the national tax revenue for 2019.
These amendments have an almost neutral net impact on the projected revenue: a reduction of AR$3.83 billion, which is equivalent to 0.1% of the total projected amount.
by Nicolas Perez | Dec 18, 2018 | Budget Execution
In November, the National Government primary deficit was AR$ -39.8 billion, 240% higher than in the same month of the previous year, while the financial deficit reached AR$ -55.6 billion, increasing by 70% the negative performance with respect to November 2017.
Total expenditure grew 8.3 percentage points above total revenues, basically boosted by a rise in economic subsidies.
In the cumulative of the first eleven months of the year, the negative primary balance was 34% lower in real terms than that recorded in the same period of the previous year, while the financial balance increased by 0.4%. At the end of November, the initial budget appropriation increased by 20% by virtue of Necessity and Urgency Decrees and Administrative Decisions.
by Nicolas Perez | Nov 1, 2018 | Budget Law
By virtue of the amendments introduced by the Chamber of Deputies in the 2019 Budget Bill, resources are increased by AR$2.67 billion and expenditures by AR$24.2 billion, which creates a financing gap of AR$21.53 billion.
Under current legislation, this requires a reduction of expenditures by the same amount or to seek additional financing, which would alter the primary and financial balances.
The preliminary approval implies an increase of 0.1% in resources and an increase of 0.6% in total expenditures.
