transferencias provincias - Oficina de Presupuesto del Congreso

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.

ANALYSIS OF NATIONAL GOVERNMENT BUDGET EXECUTION – JUNE 2024

by Nicolas Perez | Jul 5, 2024 | Budget Execution

With total revenues of ARS37.95 trillion and expenditures totaling ARS37.61 trillion, the National Government recorded a financial surplus of ARS0.34 trillion in the first half of the year and a positive primary result of ARS4.97 trillion. In the month of June, a primary deficit of -ARS1.44 trillion and a financial deficit of -ARS1.82 trillion were recorded.

National Government revenues decreased 3.6% YoY with respect to the same period of the previous year. Social Security Contributions (-18.0% YoY), VAT (-8.7% YoY) and Income Tax
(-6.0% YoY) were the main contributors to the drop.
On the other hand, taxes linked to the exchange rate, such as those related to foreign trade (+10.3% YoY) and the PAIS Tax (+414.7% YoY), showed real increases with respect to the same period of the previous year.
Total expenditures fell 29.0% YoY in the first six months of the year. Nearly one third of this reduction resulted from the fall in pension benefits (down 23.5% YoY in real terms).
The purchasing power of the average pension fell 30.1% YoY in the first half of the year, a loss that was reduced to 19.0% YoY for those pensions supplemented with a bonus.
Capital expenditures and transfers to the provinces were reduced by more than 80% YoY in real terms.