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March 7, 2022
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“This year looks very black”: inflation hits pockets and the Government proposes more public debt

Hoy Paraguay

The former Minister of Finance, Lea Giménez, stated in the Cara o Cruz (Unicanal) program that today all citizens suffer from the general rise in prices and said that it is important that the Government provide information on what its next steps will be to do facing the problem.

He also referred that today the Government proposes greater indebtedness, despite the fact that the fiscal space is not large to manage the size of the proposed debt. “The Treasury has to be focused on re-generating a fiscal space that allows it to make maneuvers, especially stop paying the interest on the debt with debts. You can’t continue like this with the spool open, because it’s a dangerous space,” he said.

“The pandemic was very hard and this year looks very black. A negative outlook looms. We need authorities who come out to speak, we need to know what is going to be done. Today we are in a scenario of high inflation and we need to know what will be done”, he also stated.

Giménez indicated at another time that measures were not taken to anticipate this inflation. “Today we are in a scenario of high levels of inflation. The debt is going to be able to be managed, but the important thing is to know how it is being spent, what is proposed and to know that the collection is falling”, he added.

Finally, he said that the administration loses resources when it does not seek better prices and does not see this situation as a unique opportunity to make cuts, such as eliminating bonuses that should not exist. “We have the perfect excuse to cut back. We are in debt in a very high way, we are returning to levels of 2002, 2003, it seems to me an alarming situation, ”she limited.

The entrance “This year looks very black”: inflation hits pockets and the Government proposes more public debt was first published in diary TODAY.

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