Macroeconomy/Finance

It estimates that subsidies will reach 4 points of GDP this year

Spending on subsidies promises to become a new headache in the future when the quarantine scheme has to lift. According to own projections, they could represent half of the fiscal deficit by the end of the year, which is estimated to be at least 8 points of GDP. It is basically due to the tariff freeze that will last until December in the context of the pandemic. Private reports indicate that in the first semester, they represented 2 points of the Product for almost 300 billion pesos ($4.1 bn).

Source: Ámbito

Categories: Macroeconomy/Finance