In July, the automatic transfers of resources of national origin l -which include co-participation, special laws and compensation of the Fiscal Consensus- sent to the provinces and the City of Buenos Aires totaled some $3.3 billion, which implied a drop of 18.5% compared to the same period last year.
This was reported by the consulting firm Politikon Chaco, pointing out that the resources “in the comparison Compared to the same month in 2023, they show a nominal variation of 196.2% and by discounting the inflation of the month of analysis The real year-on-year variation showed a fall of 18.5%.”
The reduction in resources is mainly due to the decrease in tax collection that supports revenue sharing, mainly VAT and Income Tax.
“Calculated at current prices, This contraction generated losses of resources for the consolidated provinces and CABA for $762,362 million compared to July 2023. In addition, compared to the previous month, shipments fell by 11.3%. It should be noted that in July 2024 there were 22 business days compared to 210 business days in the same month in 2023,” the consultancy firm noted.
At a cumulative level, The January-July 2024 period closed with a total of $21.4 billion in automatic shipments with a nominal variation of 225.4% year-on-year and a drop of 13.1% compared to the same period in 2023, after discounting inflation.
Last July, The 24 subnational jurisdictions again showed significant real year-on-year declinesin line with what happened throughout the year, except May. Among the districts, the slightest decline was seen in Misiones (-15.5%) while the province of Buenos Aires recorded the sharpest drop of the month (-19.2%).
At the same time, The cumulative total for the period January-July 2024 remains in negative territory for all subnational jurisdictions as well. In this context, CABA shows the slightest decline (-10.3%) and at the other extreme, the province of Buenos Aires presents the sharpest decline (-14.9%).
How the funds were distributed
In July, the provinces of Tierra del Fuego, Catamarca, Formosa, La Rioja, La Pampa and Santa Cruz received funds equivalent to between $150,000 and $200,000 per inhabitant in the form of automatic transfers of national resources. Further back, Chaco, San Luis, San Juan, Santiago del Estero, Jujuy, Entre Ríos and Río Negro received the equivalent per capita of between $100,000 and $149,000.
For their part, Corrientes, Tucumán, Chubut, Salta, Misiones, Santa Fe, Neuquén, Córdoba and Mendoza received between $60,000 and $99,900 per inhabitant and finally, the province of Buenos Aires and the Autonomous City of Buenos Aires received less than $50,000 per inhabitant. The national average is around to $73,347 per inhabitant.
Source: Ambito
