Sunday, February 25, 2024

The Government will redo the deficit targets after rejecting the PP

The General Budget Stability Act states that the government must receive the support of Congress and the Senate for deficit and debt purposes in order to prepare budgets. And since the PP has an absolute majority in the Senate, it has the capacity to reject these budget stability goals and, therefore, prevent the government from preparing budgets. However, Vice President María Jesús Montero said this Wednesday that the government will redo the objectives of the stability of the budget to put them in a vote again in Congress and the Senate, but he also said that even if it can’t achieve support, it can. design some accounts in 2024.

In this way, the government seems to adjust Article 15 of the General Law of Budgetary Stability, even partially: on the one hand, it will re-create the budgetary stability objectives, but, on the other hand, it has also warned that whatever the result of the second vote, it will prepare the budgets. Montero admitted that the deficit and debt goals were passed with a “great majority” in Congress (although they were actually approved by only one vote, painfully) and criticized that the PP suppressed the autonomy and the town has a “larger margin” in spending.

“In the event that the PP continues with this strategy of blocking and vetoing the stability goals, which the Congress approved by a majority, we will return them to the different chambers, as stated by law. And if they continue,. By blocking it, we will comply with the provisions of the April 2023 update of the stability program, which sets the objectives with a small spending capacity for the territorial administrations, “said Montero, who assures that without the approval of the objectives of the stability of the budget, the autonomies will be left with no margin for the deficit and the city councils will have to end the year with a surplus. On the other hand, if these objectives are approved, the autonomies will have a 0.1% deficit capacity, while the city councils will be allowed to end up in balance.

“Is it that the unstated intention is that administrations have stricter spending control goals and policies?” asked Montero, who added that if the government is left without preparing the budgets due to the rejection of the objectives of the stability of the budget, the autonomy, usually managed by the PP, is also not possible.

However, PP senator Gerardo Camps refused Montero and argued why the PP remained “no.” From the beginning, the Camps accused Montero of trying to circumvent the Senate so that the goals of stability could not be voted on (with a report from the State Attorney’s Office that has not yet been published) and for “threatening” autonomously “strengthening” the deficit of the Fiscal and Financial Policy Councils. In this sense, Camps considers that the current “road of stability” does not benefit the autonomies and city councils, as defended by Montero, because it charges 97% of the deficit capacity of the state and leaves only 3% of the autonomies. . “We ask you to take the same path of stability that you asked for when you were the Minister of the Treasury. Remember how the deficit was distributed,” he said, because when the PP was in charge and Montero was in the Andalusian government, the autonomy retained 20% of the total deficit capacity (that is, they had an additional spending margin in relation to the state).

In addition, the famous senator accused the Treasury of “saving 40,000 million,” in reference to the additional spending capacity it could have, and warned that this money “has a certain margin to be distributed later in order to respond to the requests of its partners in bad government,” that is, to later make concessions to independents. “If you think about it, if we voted against it, we would have saved you months of blackmail,” he said. “That’s what we’re trying to avoid,” he added. “You and I know that Puigdemont, Otegi, and Ortuzar are in charge,” he continued, before downgrading the government’s victory on macroeconomic data because, as he said, inequality has not been reduced. “Even what index should they choose?” they lost. 80,000 companies, employment “more expensive and less productive,” Spain “leads Europe in youth, general, and female unemployment,” and there are 22 organizations that “lower the forecasts of the government economy.”

World Nation News Desk
World Nation News Desk
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