Federico Sturzenegger warned that there will be higher taxes and lower growth if the project is not approved in the Senate

Federico Sturzenegger warned that there will be higher taxes and lower growth if the project is not approved in the Senate

The president’s advisor Javier Milei, Federico Sturzeneggerdefended the Law Bases and warned this Sunday that if it is not approved in the Senate the adjustment in the economy will be deeper, while noting higher taxes. Furthermore, he spoke of the stocks dollarthe parity and stressed that the fiscal surplusthe axis of the Government’s economic plan, is “the mother of all battles.”

Federico Sturzenegger defended the Bases law and announced what will happen if it is not approved in the Senate

Sturzenegger was clear and emphasized the importance of the ruling party’s project finally being approved in the Senate, after the half-sanction in Deputiesafter weeks where it was rejected and modifications were made to the original initiative.

The economist who advises the president Milei He clarified that what happened with the omnibis law “was not a failure.” “I think it is part of a process, it should not be seen as a failure. In this new version three major chapters were left out, security, modernization of justice, and education. It was understood that there were three issues that required special treatment,” he said.

In that sense, he argued that with regard to contracts such as rental contracts, for example, “the DNU It was a bath of freedom and Law Bases deepen that.”

law bases voting deputies 2.jpg

“Freedom at some point is scary. For example, they told us that it was dangerous to let people sign a lease for less than two years. We asked why? We left it and nothing at all happened,” he reasoned. Sturzenegger in an interview published in Clarín today.

Meanwhile, the presidential advisor insisted on the need to approve the Law Bases and stated that if this does not happen, there will be adverse effects that will impact the roadmap of the Government’s economic plan.

“Today The President and the Minister of Economy (Luis Cpauto) subordinate all their ideas to the realization of the economic plan. And that plan can be summed up in two words: fiscal surplus“he pointed out Sturzenegger.

He highlighted the fiscal surplus as the mother of all battlesthe one that orders you everything and what no one dared.” It was there that he warned of the consequences if the omnibus law is not finally approved: “Without law bases convergence to fiscal balance will be with lower growth and more taxes. “I think it’s a worse scenario for everyone,” he said. Sturzenegger.

Federico Stirzenegger spoke about privatizations, the chainsaw plan and the adjustment

In another section of the interview, the economist and advisor of Milei analyzed the situation of the national economy. He focused on employment, the solution to the crisis and the Government’s State reform plan as its central mission.

“I believe that the initial recession has its origin in the risks inherent to any political transition, much more one of this magnitude, it always entails a retraction in investment and consumption decisions. But with fiscal consolidation that is reversed and the situation is normalized,” he slipped Sturzenegger this Sunday.

Javier Milei Chainsaw Bahía Blanca

“It is an important first step that shows that a part of Congress took note of the mandate that society gave to the president Milei. It is being shown that countries are poor not because they cannot develop, but because they do not want to be, or rather because someone benefits from not being so,” he noted about the benefits of changes in the State.

When asked about the decree of the former minister Sunday Cavallo 1991on which several starting points were taken to develop the Law Bases and the current economic plan, Federico Sturzenegger He said that “that decree gave Argentina 20 years of oxygen.”

“It was impressive Horse. Of course, that decree stepped on a lot of ground and that’s why it was criticized. But what Unamuno said applies to him, saying that it is good to be talked about, even if it is good,” said Milei’s advisor.

Federico Sturzenegger spoke about businessmen and the link with the State

The economist talks about “a private sector caste”, to which the Government points in its political discourse, as part of the State reforms that it intends to carry out. “Which Milei called the impoverishing model of caste. And the adjective impoverishing is fine because when this model was established with the former dictator Onganía, Argentina was richer than Spain and poverty was 5%. Today we cannot even compare ourselves with Spain and poverty exceeds 50%,” he justified.

“We have a collective need as a nation to reverse this system. And that occurred in a period in which poverty in the world fell from 50% to 9%. We are left so far behind that we do not even realize the advantage that others took from us “he added.

The powers of Javier Milei through the law Bases

Another point of the Law Bases is that of the powers delegated to the president Javier Milei, a point that caused much controversy and discussions in Congress during the marathon debate on the project. “It is the power, almost the obligation I would say, of Congress to be jealous of the delegations for which it delegates, as the term says, its own powers,” he clarified. Sturzeenegger.

Although “at the same time the law is generous with the flexibility it gives the government to carry out its task as an Executive. There I believe that a good balance was found,” said the economist.

What Federico Sturzenegger says about joint ventures

In addition, the presidential advisor gave his opinion on joint ventures, whether they should be free or not, at a time when wage demands in all sectors of the economy are becoming louder and louder.

“I believe that joint negotiations should be free. Even that they should be by companies. It is very proven that negotiations by company generate much more labor inclusion and protect employment much better, especially because they do not set the same standard throughout the country,” stood out Sturzenegger.

At the same time, the economist and former president of the Central Bank pointed out against unionism: “Today the common standard is responsible for the very high labor exclusion in the north and northwest of the country. If one day progress was made in that sense, the approval of the State would lack all sense,” he said.

Therefore, the advisor Milei He insisted that “an open economy will always generate a higher level of well-being, which is why the president included it in the agenda of the May Pact“.

That is why he defended the RIGI, as a system to expand competition in the internal market. According to Sturzenegger“here imports are seen as a threat, but in reality they stimulate exports.”

“Imagine that you have more imports without more exports, what happens? The dollar It will obviously rise because you have more buyers of dollars than sellers. And that stimulates exports. That is why we should not be afraid of integration,” stated the economist.

Source: Ambito

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