BUENOS AIRES, Aug 29 (Reuters) - Argentina's 2012 budget bill aims to cap public spending growth at 20 percent, below current rates of more than 35 percent, as state expenditure surges ahead of the October presidential election, according to a newspaper report on Monday.
The center-left government of President Cristina Fernandez, who looks almost certain to be re-elected, must submit its budget bill for next year to Congress by Sept. 15.
Financial daily El Cronista said Economy Ministry officials informed different ministers that spending growth should not exceed 20 percent in 2012, adding that government departments would then be able to seek extra funds to cover basic needs.
Argentina's budgets in recent years have low-balled inflation, growth and revenue, allowing the government to spend 'additional' income without congressional oversight.
Last year's budget bill, which was never passed by the opposition-controlled Congress, estimated that total primary spending would jump just 17 percent this year.
El Cronista, which cited a source close to Treasury Secretary Juan Carlos Pezoa, said the 2012 budget bill forecasts inflation of less than 10 percent.
Previous budget bills have also estimated inflation at a similar level despite sharp criticism from opposition lawmakers and private economists, who say true inflation is running at more than 20 percent.
El Cronista said the budget would estimate growth next year of four percent, below the 5 percent forecast recently by the deputy economy minister. Growth this year is estimated at more than 8 percent.
(Reporting by Helen Popper; Editing by Padraic Cassidy)
) Keywords: ARGENTINA ECONOMY/BUDGET
(For help: Click 'Contact Us' in your desk top, click here or call 1-800-738-8377 for Reuters Products and 1-888-463-3383 for Thomson products; For client training: training.americas@thomsonreuters.com ; +1 646-223-5546)
COPYRIGHT
Copyright Thomson Reuters 2011. All rights reserved.
The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Get a feel for live tradingTrade Simulator Download here
0 Responses: Argentine budget bill aims to cap spending - report
Posting Komentar