Nicolas Perez - Oficina de Presupuesto del Congreso

FISCAL IMPACT OF THE BILL ON THE PENSION SYSTEM FOR NON-TEACHING EMPLOYEES OF PUBLIC UNIVERSITIES

by Nicolas Perez | Sep 5, 2023 | Cost Estimates

The purpose of Bill S-801-2023 is to create a special pension system for the non-teaching staff of the National Universities, granting as a benefit 82% of the last salary received and increasing the personal contributions by 2 percentage points for its financing.

The purpose of this report is to assess the fiscal impact of the measure by presenting an estimate of the resources and expenses that the pension system would have. The special regime, in the year 2025 (expected time of stabilization of income and expenses) is estimated to have additional income of ARS935.5 million and additional expenses valued at ARS3.267,7 billion, which would imply an increase in expenditure of ARS2.332,2 billion, equivalent to 0.0004% of the GDP expected for 2025.

THE PARLIAMENTARY OVERSIGHT COMMITTEE VISITED THE OPC

by Nicolas Perez | Aug 31, 2023 | Activities

Authorities of the Parliamentary Oversight Committee, which oversees the operation of the Argentine Congressional Budget Office (OPC), participated in a meeting with the new authorities and the staff of the OPC at the headquarters of the entity.

National Senator Ricardo Guerra (Frente Justicialista Riojano), head of the body and president of the Budget and Finance Committee of the Senate, Senator Juliana di Tullio (Unidad Ciudadana), Senator Víctor Zimmermann (Juntos por el Cambio) and the president of the Budget Committee of the Chamber of Deputies, Carlos Heller (Frente de Todos) met with the director-general of the OPC, Gabriel Esterelles, to discuss the work agenda of the Office.

The visit also included a meeting with the technical teams and the other directors of the OPC, Martín López Amorós (Fiscal and Tax Analysis), Eugenia Pierrepont (Studies, Analysis and Evaluation) and Joel Vaisman (Sustainability and Public Debt Analysis).

The legislators highlighted the technical soundness of the OPC, praised the usefulness of its reports to feed the parliamentary debate and reaffirmed the creation of the Office as the result of a joint endorsement given by legislators from different parties.

FISCAL IMPACT OF THE CREATION OF THE NATIONAL DANCE INSTITUTE – BILL 5127-D-2022

by Nicolas Perez | Aug 22, 2023 | Cost Estimates

The Bill provides for the creation of the National Dance Institute, which would be financed with a portion of existing taxes or budgetary resources and other probable revenues whose estimation is not feasible prior to the creation of the Institute.

The tax resources involved in the initiative would range between ARS4.897 billion and ARS10.238 billion per year, depending on the base considered to quantify the main source: 1% of the “Net internal shared taxes”.
The difference depends on whether the full collection of this tax is considered or only the portion allocated to the National Treasury.
It was not possible to estimate expenditures due to the lack of data on personnel and staffing structure, but it is expected that the funds estimated would be sufficient to cover them.

NEW OPC AUTHORITIES TOOK OFFICE

by Nicolas Perez | Aug 16, 2023 | Activities

The Argentine Congressional Budget Office (OPC) began a new institutional cycle with the arrival of new directors.

Gabriel Esterelles, with a degree in Economics and a master’s degree in public finances, will hold the position of Director- General for a five-year term, in accordance with the provisions of the law creating the Office.

The hierarchical structure is completed by Martín López Amorós, with a degree in Economics, as Director of Fiscal and Tax Analysis, and the magister Joel Vaisman as Director of Sustainability and Public Debt Analysis. In addition, María Eugenia David Du Mutel de Pierrepont, with a degree and a master’s degree in economics, continues to head the Directorate of Studies, Analysis and Evaluation.

The new directors were formally appointed by the highest authorities of the National Congress after the competitive examination process, which placed each of them in first place among all candidates.

This process was conducted by the Parliamentary Oversight Committee, composed of members of the ruling party and the opposition, with the participation of independent technical and academic entities.

ANALYSIS OF NATIONAL GOVERNMENT BUDGET EXECUTION – JULY 2023

by Nicolas Perez | Aug 16, 2023 | Budget Execution

Within a framework of a decrease in all the deficit results of the National Public Administration, in the first seven months of the year, the primary deficit decreased 22.6% in real terms with respect to the same period of the previous year.

Total revenues for the first seven months of the year decreased by 5.1% and total expenditures decreased by 6.0%.
The largest drop in revenues was recorded in Export Duties: 56.2%.
Primary expenditures fell 8.3% in real terms during the period.
The most significant real decrease was recorded in transfers to provinces (28.0% YoY), mainly due to lower assistance to provinces and municipalities and the compensation for the transfer of the police force to the Autonomous City of Buenos Aires.
There were also significant cuts in family allowances (25.3% YoY), energy subsidies (22.9% YoY) and social programs (21.3% YoY).
Debt interest payments increased 21.2%.
Total expenditures represented 57.9% of the current budget appropriation. Social programs such as food card benefits (84.3%), Potenciar Trabajo (81.6%) and Progresar student grants (76.6%) were above average.
Part of the budgetary reinforcement approved by Congress was allocated to food policies and the Progresar Plan in the amount of ARS43.705 billion and ARS31 billion, respectively.
There is still ARS10 billion available of the total budget reserves for the year of ARS1,207.507 billion.

PUBLIC DEBT OPERATIONS – JULY 2023

by Nicolas Perez | Aug 15, 2023 | Public Debt Operations

Government securities for ARS1,532.759 billion were placed in two auctions.
The Treasury paid amortizations to the IMF for USD2.652 billion and placed bills to the Central Bank (BCRA) for the same amount.
There were net placements of BCRA Temporary Advances for ARS440 billion, the stock increased to ARS4.59 trillion.
Maturities in foreign and domestic currency for August are estimated for the equivalent of USD4.454 billion and ARS889.653 billion, respectively.