Measures To Meet Fiscal Balance

Measures to meet fiscal balance

In an effort to regain market confidence the Government of Argentina adopted a series of measures with the purpose of reassuring the market that Argentina will be able to meet its debt obligations. The main targets are: a) to eliminate the fiscal deficit by next year, b) to increase revenues and c) to reduce Government expenses. We summarize herein the main measures announced by the Government:

Economic and financial measures

• Capital expenditure of fix assets or disbursements will be reduced 0.7% of the GDP, which in real terms with the devaluation of the Argentine Peso, will represent  a real saving of 50% of the GDP. It applies among other items, to infrastructure projects.