(CNN Spanish) — The President of Chile, Gabriel Boric, announced this Thursday on national television the Budget Law for the year 2023, with an increase of 4.2% compared to 2022.
“It is designed to specifically solve the problems of people with a solid base of fiscal responsibility, just as you do in your homes, which must manage the budget responsibly and always putting the well-being of each of its members first,” assured the president. Chilean president.
– Government of Chile (@GobiernodeChile) September 30, 2022
Boric explained that the budget focuses on three pillars: economic reactivation and job creation, citizen security and social security; and that will have a countercyclical effect:
“This means that, in a context of lower tax revenues due to the adjustment of the economy, we will maintain an increase in spending, ensuring the continuity of good public policies and mobilizing a significant amount of resources for economic reactivation. In terms of reactivation, we will increase investment to improve the country’s public infrastructure, without generating more inflation, and to create more than 200,000 new jobs.”
Currently, Chile has a interannual inflation of 14.1%, the highest in the last 28 years.
“The pandemic affected our lives and the war in Europe has a direct impact on such sensitive issues as gasoline and food prices. Today our challenge is to contain these trends and reactivate the economy in our country”, said Boric.
The budget project will be entered this Friday by the Government and must be approved by the full Congress.