More than five months have passed since the Congress of the Republic approved the expansion of the debt quota to the National Government by US$ 17,607 million, however, the lack of consensus and some tensions between members of the Legislature and the Minhacienda have not allowed that This guarantee materializes and the country acquires the resources it needs through debt.
The differences in particular are occurring between the Interparliamentary Commission of Public Credit (Cicp) and the portfolio led by Ricardo Bonilla’s team, since despite the various explanations that have been given by the Executive, the congressmen who are part of this team would not be entirely convinced of the convenience of approve the issuance of debt.
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The most recent impasse occurred this Wednesday -November 6- when a quorum was not achieved to decide whether to approve the pending quota request for US$ 5,000 million that is to be issued with multilateral organizations; in addition to a loan of US$ 350 million with the Development Bank of Latin America and the Caribbean – CAF for budget financing and another of US$ 200 million with the World Bank to respond to possible disasters.
Although some congressmen responded to the Government’s call, the attendees were not enough to advance concretely, since that there was no decision-making quorum and the session had to be postponed again to another date.
Debt
PHOTO: iStock
“Today the #CICP was convened to request a concept for a multilateral quota of USD 5,000 million, a credit of USD 350 million with CAF for budget financing and another of USD 200 million from the World Bank (Cat DDO phase IV) for disasters. However, there was no quorum,” the Minhacienda reported through its social networks.
Portafolio spoke with several sources in Congress, who explained that the non-attendance at said meeting was due to the fact that there was a plenary session scheduled for Wednesday morning and as a priority the call of the board of directors of the House of Representatives was attended, as ordered by law.
It is worth noting that the National Council of Economic and Social Policy, Conpes, has already issued a favorable opinion for the Government to contract external loans of free use and rapid disbursement of up to US$5,000 million with multilateral organizations; while the Minhacienda remembers that there is a cash squeeze to overcome.
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A month ago, during the accountability of his portfolio, Minister Ricardo Bonilla sent a harsh message to the Public Credit Commission, whom he asked not to continue to delay the processes for the acquisition of a debt that the Legislature has already endorsed in full.
“Paying the debt implies not only using current resources, but also seeking fresh resources with international financial costs. That’s where we are and here we will have to say publicly that we need the Interparliamentary Commission on Public Credit to stop manipulating the Ministry of Finance and meet,” he said.
Bonilla González even reminded the congressmen of this team that their concept is not binding and that they are simply part of a procedure that they are complying with and that has deadlines in which, once they expire, they can continue without the need for a specific endorsement from this group of legislators.
Congress of the Republic
César Melgarejo / EL TIEMPO
“We simply have to wait for the deadline to pass. That was already requested and if the deadline is met and the concept was not given, we will have to move forward because the country cannot simply wait for the decision to manipulate the congressmen. The congressmen are hearing this, so let it be public and clear,” said Ricardo Bonilla.
These differences between the Legislative and the Executive have reached such a point that President Gustavo Petro himself said at the time that Colombia was being put at risk of default, while in Congress they made a call for calm and not to generate unnecessary panic in the market.
PORTFOLIO
