Fernández designs an ambitious act to close the crisis and show the future

The Casa Rosada refines the details of the launch of the Government’s economic agenda, which Alberto Fernandez it intends to do with great fanfare, in an institutional act that shows the overwhelming support of the 24 provinces, once the exchange with the private bondholders has finally been closed, on August 28.

Although it still has no definite date, the act of launching the already famous 60 reactivation measures is structured around different milestones that mark a time limit. The first is given by the term that bondholders have to adhere to the exchange. The President and the ministers agree on August 29 as the day that begins “the post-pandemic agenda.” The second is the limit that the Government has to present the 2021 Budget before Congress, set by law on September 15. The text of the project will reflect the macro economic plan and the measures that the Casa Rosada worked on in recent weeks in conjunction with the governors.

At the same time, the Government also expects a sanitary respite. Although still without claiming victory, they think that the number of coronavirus cases will begin to decline for the same date, based on the “amounting to” reported in recent days. The crisis is not over yet, but in Balcarce 50 the climate changed. The coronavirus is no longer the urgency and the conversations between members of the presidential small table, “very satisfied with the response of the health system,” are increasingly focused on the day after.

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Indeed, the post-pandemic was one of the central axes of the meeting that the President had on Tuesday at Quinta de Olivos at a political table that brought together the usual diners of that day, Santiago Cafiero, Eduardo “Wado” by Pedro, Sergio Massa and Maximum Kirchner, with the special guests, the governor Axel Kicillof, The ministers Gabriel Katopodis and Mario Meoni, and the mayors Jorge Ferraresi, Juan Zabaleta and Fernando Espinoza placeholder image.

Although with “a clenched fist and clenched teeth”, during that meeting all the leaders agreed on the idea that the pandemic “is more or less controlled” and both Fernández and Kicillof explicitly referred to the relief it generates on the horizon the appearance of the vaccine. In any event, the governor of the province of Buenos Aires maintained the tone of concern that he usually shows during the announcements he shares with Fernández and Horacio Rodríguez Larreta.

“The economic agenda begins on the 29th,” he confirmed to Letter P one of the attendees at the Olivos meeting, where the assembly of the act with which Fernández intends to turn the page to a first year of government whose roadmap was altered by the pandemic is cooked. As this portal could know, The presidential team thinks about putting together an event that shows the first president flanked by the cabinet and accompanied – albeit virtually – by central actors of the economy, business and unionism and the 24 governors and governors, with whom the ministers Martin Guzman (Economy), De Pedro (Interior) and Matias Kulfas (Desarrollo Productivo) have been working for weeks on specific plans for the six regions into which the government divided the country. The coordination is in charge of Cafiero.

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“Participate or not, no governor will be able to say that this agenda does not contain it, because it is a work agreed with them,” they explained at Casa Rosada, where there is also speculation about the eventual presence of Cristina Fernández de Kirchner, who since December 10 was publicly shown with the President only once, in Olivos, when Minister Guzmán presented the offer for private bondholders under New York law. On that occasion, at the beginning of the pandemic, all the provinces were also represented. This time, the chosen setting could be the Kirchner Cultural Center (CCK), one of the options that the Government is considering for an act that will carry the more sober Fernández style, without the epic of the Christian years, more similar to the act for the 9 of July, without forgetting the invitations that were internally generated in the Frente de Todos.

The measures will be contemplated in the 2021 Budget, still in full preparation. In the cabinet they are clear that the project “is going to have to comply with the fiscal ordering process”, which obsesses Guzmán and the President, so the spending “will not be exorbitant.” Perhaps, more like a non-electoral year than an odd one, strongly oriented to the generation of work through public and private works, tax incentives for the private sector to hire personnel, rate subsidies to promote investments, VAT reductions and fees to increase consumption, among other lines.

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The package will not surprise one hundred percent. The Government had to advance some of the measures to calm some sectors in crisis, such as tourism, and even made announcements of million-dollar investments, such as that of the automotive Nissan, for 130 million dollars, who could not wait for the closing times with the creditors.

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