[Trending News] The debt removal of María Jesús Montero does not save a euro to the budget of Andalusia

The Junta de Andalucía Ensures that the debt forcononation proposal presented yesterday by the Minister of Finance María Jesús Montero It will not have a real improvement effect on public accounts. Sources of the Ministry of Economy, Finance and Funds EU, … They emphasize that the Andalusian budget will not suffer any revulsive types despite what, from the socialist ranks, has been described as a “generous offer” for communities.

What was agreed yesterday during the Fiscal and Financial Policy Council (CPFF) will involve a remove of 18.7 billion of the total that the regional executive owed to the State. However, it would be necessary to differentiate between the amount in question and the interests derived from the capital negotiated between the parties.

As he said in the fifth point of the order of the CPFF day, at which time the Minister of the Autonomies governed by the PP – as is the Andalusian case – decided to leave the Chamber by not finding any allusion to the expected Financing System Reformthe measures offered by Montero “will only reach the capital of the affected debt, without including accrued interest or other costs linked to it or that are derived from the operations that instruct said assumption.”

In other words, interest must continue to be paid until the loan period comes, which makes them speak of the Ministry to speak of Restructuring and not for condemnation of debt.

They even describe it Financial trapbecause the amount of debt is not a unique operation but several loans that occur – because they were subscribed in a staggered manner in the past according to the needs of the moment. At the end of each one, the following must be refinant, and the interests persist.

The only advantage that Andalusia obtains with this maneuver is to achieve greater solvency when leaving the markets. However, from the portfolio of Carolina Spain They reduce the expectation by ensuring that the community already has a financial solvency. Just a step of the maximum level.

The Independent Fiscal Responsibility Authority (Airef) sheds some light into the debate, complex for those who do not move in terms of economy of administrations. “It makes no sense, therefore, to make a debt forgiveness if it is not guaranteed that future debt will not be accumulated over what the fiscal rules allow,” explains its president, Cristina Herreropresent yesterday at the CPFF.

The spending rule

The expert warns that the “is not sufficient” foronation affects that the starting point of each region and its position regarding the financing system should be recorded. In that sense, remember that formulas are being applied with exceptional and urgent character for the economic crisis of the real estate bubble and that they have ended up establishing.

But the key to the issue lies in the concept of spending rule, which is the one that regulates public spending with the premise that it does not exceed the medium -term GDP growth rate unless there are stable and permanent income increases. On the other hand, that the autonomous communities are released from some 83,000 million Debt means that state spending will increase in the same amount.

Finally, and in the hypothetical case that the interests derived from the debt could be saved, the Board could not add them to public spending in the budget precisely by that expense rule. The advantage, therefore, is zero.