The Minister of Economy, Luis Caputo, mentioned the possibility of the Government removing the transportation subsidy in the AMBA. How it would affect workers.
While maintaining the dispute with the governorsthe Minister of Economy, Luis Caputo, The possibility of the Government removing the transportation subsidy in the AMBA was mentioned.
“The Nation subsidizes interjurisdictional routes such as the one that goes from CABA to Buenos Aires. The Province of Buenos Aires subsidizes its own routes. Interjurisdictional routes are national jurisdiction and those are subsidized,” the official began.
“There is a gray dot that is CABAbecause it has still 31 lines that were not transferred. When the subways were transferred, for some reason they were not transferred. It was settled with CABA that 45% subsidized the Nation and 55% CABA. What we are promoting is giving more entity to the Metropolitan Agency to take on greater importance and that they resolve between CABA and the province, and the Nation can get away from the transportation issue,” he explained in dialogue with La Nación+.
Luis Caputo Press Conference.jpg
Photo: Mariano Sánchez – NA.
Last week, a similar measure caused the ticket to increase by 105% on Saturday in cities like Córdoba Capital, reaching $700. The same thing would happen in other districts of the Interior.
If the Government adopts this decision it would be a new blow to the workers’ pockets and is part of the plan of cuts from the Nation to the provinces. The primary idea was to reduce the transportation subsidies by 35% during the first year.
Transportation subsidies: the warning from business chambers
Last week, in fact, the five business chambers of the metropolitan region They sent a letter to the Minister of Economy Luis Caputo in which they expressed how alarming the situation was: they referred to the increase in costs and the need to pay a bonus and update the drivers’ salaries next month.
In fact, from the business sector they did not rule out a reduction in frequency of many of the services in this scenario. And, although they are not aware of the possibility of a total removal of subsidies, they estimate that the bus ticket could be around $1,500 if it comes to fruition.
Transportation subsidies: how much was allocated in 2023
During 2023, subsidies, according to the Congressional Budget Office report, reached approximately $951,987 million with an increase of 4.2% compared to the previous year in real terms. Some $479,216 million, almost half, were allocated to Transportation Infrastructure System Trust Fund (FFSIT).
Source: Ambito
