The Minister of Finance and European Funds admits the slowness in the execution of budget credits
Guillermo Peláez, Minister of the Treasury and European Funds of the Principality of Asturias, admitted this Monday that the execution of budgetary credits in the region is being affected by the slowness imposed by the Public Sector Contracts Law, which is “too guaranteeing.” ”. This situation, as he has said, also occurs in other public administrations.
Peláez has appeared at the Finance Commission of the General Board to explain the execution of the 2023 budget, and has expressed the convenience of reforming and making the hiring criteria more flexible that “often limit administrations when hiring.”
Recovery and Resilience Mechanism funds also influence low execution
Furthermore, the counselor has highlighted that another factor that affects the low level of execution last year is the “significant impact” that the Recovery and Resilience Mechanism (RRM) funds have, since their amount has to be accounted for as income. in the current budget but its execution does not have to coincide with the same fiscal year.
In this sense, he has argued that if the effects of the MRR are excluded, the awarded investment would amount to 74 percent, figures similar to those of 2020 and 2021, so, in his opinion, the execution does not deserve the criticism that have poured
The Asturian Federation of Entrepreneurs regrets the low execution of budgeted investments
The Asturian Federation of Entrepreneurs (FADE) expressed its displeasure at the low execution of the investments budgeted by the Principality, with more than 270 million euros remaining unallocated last year.
During his speech, the counselor recalled that the Principality closed 2023 with a budget execution percentage of 89.1 percent, similar to previous years, and awarded investments worth 647.4 million, which represents 66. 8 percent of the total credit and 135.1 million more than in 2022.
Regarding the recognized obligations of the investing chapters, the year closed with a total of 490.4 million -108 more than in 2022-, an amount that is equivalent to a percentage of 50.6 percent.
The Principality has awarded 36.7 percent of the investments planned in the 2024 budget in the first two months of the year
In his appearance, the head of the Treasury also pointed out that the Principality has awarded in the first two months of the year 36.7 percent of the investments planned in the 2024 budget, with an amount of 366.3 million, which is seven percentage points and 92.2 million more than in the same period of 2023.
Opposition criticism
In the moment of setting positions, the PP deputy Andrés Ruiz has stated that the result of the budget execution in the last year is ranked as the “worst in the last five years” and has pointed out that the socialists describe a reality that is not reflected in his government action.
The Vox parliamentarian Gonzalo Centeno has criticized that, while the tax collection part is carried out perfectly, its execution has “numerous shortcomings” and has pointed out that the Asturian Government is a “master in propaganda”, since the execution “ “It does not reach acceptable minimums.”
For his part, the Forum spokesperson, Adrián Pumares, has stated that the lack of budget execution is “a serious problem” for the development of the community and for the “credibility of citizens in the institutions that see how every year many of the “Projects re-enter budgets without having been executed.”
