Reactions to the lack of consensus on the amount of the General Budget of the Nation for 2025

This Tuesday, September 24, the The economic commissions of the Congress of the Republic did not reach an agreement on the amount of the General Budget of the Nation for 2025which was proposed by the Government for 523 billion pesos.

However, experts say that the legislature still has time until October 20 to agree on next year’s PGN. However, the The National Government has said that the Budget would be issued by decree with the figure that was included in the project that it presented.

(Further: Budget 2025: Government says the amount would be issued by decree and would be $523 billion).

Faced with this, different political and economic sectors of the country were quick to react to this news, among which there are warnings of demands on the project, approval by decree and the continuation of the discussion of the initiative.

One of the first characters to react was the Senator Miguel Uribe Turbaywho had already submitted his proposal for an alternative report for next year’s PGN on September 23.

“We deny Petro’s budget and save the resources for the 2026 elections. Good news for Colombia“, said.

(You can read: The Government lost the pulse in Congress and the 2025 Budget was left in limbo).

Juan Samy Merheg, senator of the Conservative Partyassured that the economic commissions and had made known to the Government their reservations regarding the projections of the State’s income for the next year, “differences that in our case represent approximately $26 billion below what was proposed by the Government“.

And he added: “It is a shame that the Government did not want to listen to the technical arguments not only of the congressmen but also of the academy, think tanks, experts and others who insisted so much that the income they had budgeted would not be met.“.

(Further: Alternative proposal for the 2025 Budget for 488 billion pesos is filed).

He Minister of Finance and Public Credit, Ricardo Bonillasaid that, despite not having reached an agreement with the economic commissions on the amount, the Government remains willing to approve the PGN via decree: “The Budget will be issued by decree and is what the Government filed: 523 billion.”

Instead, the rector of the EIA University, Jose Manuel Restreposaid that the Government’s “inability” to establish a consensus on the Budget is “unbelievable”, also mentioning that this would have effects on tax reform.

“What should follow now is to deny the process of tax reform because it no longer makes sense, since in fact the need for a financing law falls apart. If the budget was irresponsible, the tax reform is even more so. Especially because of the “flexibility” of the fiscal rule and the increase in costs for private investment. This, together with the underfunded budget, were sources of economic deactivation due to the erroneous message they sent to the markets. Surely the budget will be decreed, but hopefully the government will reconsider and decree it in a sensible, responsible and viable amount. Let us not suffer what happened this year.“said the former finance minister, adding that approving the amount of $523 billion would be a”irresponsibility“.

(Besides: Tax collection fell sharply in August and puts pressure on the State’s coffers).

He Senator Carlos Fernando Motoa He described it as a “failure” of the Ministry of Finance to prefer “let it sink before giving in“.

“This is a failure of Minister Ricardo Bonilla who, unable to restructure the Nation’s expenses and convince Congress of the sustainability of the next Budget, preferred to let it sink rather than give in.“, said.

Oscar Dario Perez, representative to the House of Representatives of the Democratic Centerexplained what would come after what happened on September 24, mentioning that the text that the Government must approve by decree is the one presented on July 29, for the same amount, but without the budget reductions for the country’s electoral authorities.

“There will surely be lawsuits against this budgetary decree and it will be the Constitutional Court, which, in its wisdom, will decide who is right. If the court declares it unconstitutional, the Budget that was in place for the year 2024 will come into effect. We put the courts in a serious problem of filling the gaps in a very grey legislation with many gaps and controversies.“, he assured.

Finally, the Andi president, Bruce Mac Masterreposted a video in which he explains the inconsistencies that, according to him, the project had, prior to what was decided by Congress.

PORTFOLIO