SANTO DOMINGO.– The Executive Branch today sent to the National Congress the bill that modifies Law No.345-21 of the General State Budget for 2022. The project does not contemplate increasing the level of financing (debt) previously approved.
The project contemplates the review of the increase in fiscal income by RD$66,606.5 million due to the resilience that the Dominican economy continues to demonstrate and the administrative efficiency carried out by the collection offices, as explained by the Minister of Finance, Jochi Vicente in his account. Twitter.
As a result, tax revenues are estimated at RD$938,092.4 million in 2022, equivalent to 15.2% of GDP.
The growing pressures on the spending side that were not foreseen during the initial budgeting process are incorporated, mainly associated with the persistent and disproportionate increase in the prices of raw materials and oil.
The project contains a net increase in expenditures of RD$114,001.6 million, prioritizing appropriations to accommodate the growing demand for resources to face the adverse effects of inflation on the working class and vulnerable households.
Close to 68% of the new spending requirements are associated with covering subsidies for fuel prices, basic basket food and productive inputs; as well as the increase in transfers to electricity and the expansion of social programs.
Preliminary estimates from the Ministry of Finance indicate that the fuel price subsidy prevented the accumulated inflation to July (5.48%) from being 2.2 percentage points higher.
The public debt interest expense projection was reduced by RD$ 5,623.6 million as a result of the new exchange rate projection and the effects of the liability management operation carried out in February.
The public debt interest expense projection was reduced by RD$ 5,623.6 million as a result of the new exchange rate projection and the effects of the liability management operation carried out in February.
The expansion of the fiscal gap will be fully covered by available resources from previous fiscal years and the reduction in financial applications, largely achieved by the liability management operation carried out in February 2022.
