Anticipating the description of the inheritance that the president-elect plans to carry out Javier Milei Next Sunday, the Ministry of Economy released a statement this Friday morning in which it states that “The National Treasury has the necessary funds to finance the payment program for that month”among which are salaries, bonuses, retirements and social programs.
The authorities of the Treasury Palace stated that “under the assumption of roll-over of the maturities in pesos scheduled for the month of December, “The National Treasury has the necessary funds to finance the payment program for that month, taking into consideration that 80% of the total expenditure is represented by priority expenses, such as salaries and wages, liabilities, social programs and economic subsidies.”.
The driving of Sergio Massa also highlights that “the treasury has sufficient funds to face the purchase of foreign currency and meet the maturing obligations of the Argentine State.”
Likewise, it specifies that “The floating debt as a percentage of GDP meets the amount established in the program with the IMFbeing in line with the historical average.”
The statement concludes by pointing out that “following the principles of efficiency, prudence and budget programming that have governed us throughout our administration; A reserve has been established to finance the expenses of the first days of the year 2024in such a way as to guarantee the normal functioning of the National Public Administration.”
According to its 2023 Report, the Ministry of Economy specified that this year, the State continued with the fiscal consolidation process, in which a reduction of almost 4 percentage points in the fiscal deficit was obtained, going from 6.4% of the GDP in 2020 to 2.4% in 2022.
This document indicates that for 2023 the objectives of the primary result projected in the Budget Law are maintained, without affecting the principles of support for vulnerable sectors, and the prioritization of employment and economic activity, considering that the increase observed in September in national collection is +102.3%.
Private calculations account for the magnitude of the fiscal deficit. The total imbalance (primary and financial) for the current year is estimated at 5% of GDP, according to projections by the consulting firm Econometrica.
Meanwhile, the lack of definition so far on who will occupy the key position of Secretary of the Treasury, currently in charge of Raul Rigo.
Priority supporters covered at year-end