Argentinian Manager will withdraw the tax chapter Foundations and Starting Points of the Law Foundations and Starting Points of the Freedom of Argentinians, better known as the ‘omnibus law’, is a star project of the Government of Javier Milei to speed up the process.
The announcement was made this Friday by Economy Minister Luis Caputo at the Casa Rosada (headquarters of the Government), where Caputo emphasized that in the ongoing “dialogue” with other political blocs the ruling party had found “an idea”. Clear consensus on the majority of over 500 articles” that it has the revised text and therefore prefers to continue moving towards its processing in the House of Representatives. “This in no way means that we will abandon our commitment to achieve fiscal balance and our goal of achieving zero deficit,” the head of the Treasury Palace said.
The fiscal package consists of five measures: anti-money laundering, tax moratorium, advance on personal property tax, increase in export taxes and change in the formula for updating pensions.
The government needed this increase in revenue to maintain fiscal balance The fall in GDP from 6.1% in the red in 2023 to 211.4% annually in 2023 is due to the lack of financing and investment, which is considered to be the reason for the high inflation experienced by the country. “The measures that we will take to replace that revenue are the measures that we are evaluating,” Caputo explained, meaning “a greater adjustment for everyone,” adding that “this is a greater adjustment for politics, for the nation, for society.” “The Argentines are already doing this (adjustment).”
Just as the secretary warned this week of greater regulation for states if legislation that governors perceive as a threat is not approved, today Caputo announced that “the deeper regulation will apply to everyone.” “If we give up revenue, we will have to reduce spending. This includes all of us, the nation and the provinces,” he reaffirmed.
The executive took this decision after receiving numerous warnings from governors of producing provinces, industry and opposition legislators who rejected tax increases and pension liquefaction. Although the ruling party received the majority opinion in parliamentary committees to discuss the project in parliament this week, approval of the norm could not be guaranteed due to its minority position in both chambers. “This is a decision we made after listening to different economic actors, with the aim of facilitating and accelerating the approval of what we consider to be the most important part of the law,” he said. The omnibus bill proposes deregulation of the economy and reducing the weight of the state in the economy.
Caputo took over Infrastructure
Caputo also confirmed this Friday: Will undertake the areas included in the infrastructure portfolioIt came into force following the resignation of the latter’s president, Guillermo Ferraro. “Yes, I will take over the infrastructure field,” the head of the Treasury Palace said briefly at a press conference this Friday in Casa Rosada (the seat of the Argentine Government), where he left unanswered a direct question on the subject. Reasons for Ferraro’s departure.
After a day of waiting for the official version of the resignation of the Minister of Infrastructure and confirming that one of them even received a ‘like’ from the president Javier, as some profiles from the libertarian circle announced on their social networks last night, Milei – moved into the orbit of the Economy, with the portfolio becoming the Secretariat. Caputo made this brief statement today without providing further details.
The infrastructure portfolio currently included the major Secretariats: Transport, Public Works, Mining and Communications. Of these, Public Works is one of the most controversial, as both during the campaign and later as President, Milei warned that he would minimize these works and seek to finance them from private capital.
With this approval from Caputo, A day of complete silence from the managerOnly chancellor Diana Mondino quashed this proposal, briefly touching on the cost reduction caused by the elimination of the portfolio. Milei reduced the Government of Alberto Fernández to only 9 of the 21 Ministries it ended (2019-2023). It will be 8 now: Internal Affairs, Defence, Human Capital, Health, Economy, Justice, Foreign Relations and Security.
According to reports in the Argentine press late on Thursday, the president had asked Ferraro to leave the Government following allegations that sensitive information from cabinet meetings had been leaked. But other versions say that the underlying reason would be a bad relationship between the official and Nicolás Posse, the chief of staff and the person closest to Milei in the current Administration, and his sister Karina Milei, the secretary general of the Presidency.