Argentina election year: Macri increases spending on energy subsidies

Saturday, March 30th 2019 - 08:15 UTC

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Authorities plan to increase gas prices for consumers in stages: 10% in April, 9.1% in May and 7.5% in June, but also a discount of around 22% starting from June

Argentina will increase spending on energy subsidies by more than US$ 100 million this year to compensate gas companies hit by delayed domestic price increases, a source at the nation's energy secretariat said.

The boost in spending jars with a wider campaign under President Mauricio Macri to trim subsidies and hike utilities prices. But it comes as Argentina grapples with stubborn inflation that is biting into people's wallets, and will help keep consumer energy prices lower during the southern hemisphere winter months.

“These 4.5 billion pesos will have to be made up from other places,” said the source, who asked not to be named, a common practice among officials in Argentina when talking with the press.

Authorities plan to increase gas prices for consumers in stages: 10% in April, 9.1% in May and 7.5% in June, but there will also be a discount of around 22% starting from June.

Macri, who is seeking re-election in October, struck a US$ 56.3 billion deal with the International Monetary Fund last year to help right the country's economy and pledged to cut subsidies and other government expenses to help reach a primary fiscal balance this year.

Categories: Economy, Energy & Oil, Politics, Argentina.

Tags: Argentina, Argentina elections 2019, argentine elections, energy subsidies, Mauricio Macri.

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Enrique Massot
No doubt Macri will try again his old trick -- throw money around like a drunken sailor shortly before the election. It worked in 2017, so why wouldn't it work this time around? A little problem though -- the economic crisis has already hit too many people, too strongly.

Too bad for the islanders who are benefiting from Macri's friendly approach to the central countries including the U.K. Your favourite puppet is about to disintegrate as opinion polls have Macri losing an election not only against Cristina -- he would lose against such presidential candidates such as Roberto Lavagna and Sergio Massa.

No plague lasts forever.
Apr 04th, 2019 - 12:25 am 0
imoyaro
Great news Kamerad/Komrade,(AKA Short Eyes.) As long as you are prostrated and cannot attack or bully Paraguay, Uruguay, or Chile, whats not to love? Oh yeah, those payments you personally were receiving? Well, I'm not sure that La Asesina will be able to afford to start them up again. Bummer,eh?
Apr 04th, 2019 - 09:47 am 0

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