The Ministry of Finance is considering issuing up to $500 million in debt securities in the Chinese securities market, in order to take advantage of the lower borrowing costs offered by the Asian market.
The advantage is that, according to Minister Dulcidio De la Guardia, " ... after changing the money to dollars, it is possible that the country could reduce by a quarter or half a percentage point the rate it would need to pay for a bond in dollars with equivalent maturity."
A bill has been proposed to create a fiscal council to ensure that the public budget contemplates reasonable assumptions and meets the requirements of the Fiscal Responsibility Law.
The bill is being prepared by the Ministry of Economy and Finance, and its chief, Dulcidio de la Guardia, told Prensa.com that in addition the Fiscal Council, aims to create"...
The approved budget for 2017 includes $5,148 million for works such as the extension to 8 lanes of the bridge-Arraiján Americas and to 6 lanes of the road San Carlos-La Chorrera.
From a statement issued by the Presidency of Panama:
In an extraordinary session held by the Cabinet Council on Friday, approval was given to a Draft State Budget for fiscal year 2017 in the amount of 21.670 billion balboas.
At the end of third quarter the fiscal deficit as a percentage of GDP decreased from 4.6% in the previous year to 1.8%, while during 2015 current expenditures increased by 5%.
From a statement issued by the Ministry of Economy and Finance (MEF):
- MEF presents Fiscal Third Quarter Results
- NFPS deficit was reduced from 4.6% to 1.8% of GDP.
The Minister of Economy and Finance, Dulcidio De La Guardia, presented today at a press conference the fiscal balance of the nonfinancial public sector (NFPS) and the Central Government for the Third Quarter of 2015.
The issue in the international market had demand of 4.6 times and was placed with a coupon of 3.75%, 178 basis points above US Treasury bond for the same timeframe.
From a statement issued by the Government of Panama:
The Republic of Panama today dabbled successfully in international bond markets through the placement of Global Notes Due in 2025 in the amount of $1.25 billion at a yield of 3.889%.
The National Assembly has approved raising the maximum limit for government borrowing to 4.1% of GDP, above the 3.9% originally requested by the Executive.
The Assembly amended the project which initially envisaged raising the limit on the fiscal deficit from 2.7% to 3.9%, to bring it up to 4.1% of GDP.
'... This means that in the whole of 2014, the government will spend about $1.945 billion more than it earns, $95 more than was provided for in the text approved in the first debate. "
A bill submitted by the Executive would allow debtors to pay outstanding balances on any tax owed without interest or penalties from the day following the enactment of the law until December 31st.
The government has introduced a bill that aims to recover about $1.2 billion in unpaid taxes.
The Minister of Economy and Finance, Dulcidio De La Guardia, told Prensa.com that "...
At the same time as increasing social spending and delaying the removal of the electricity subsidy, the Varela government has asked for a raise of the state's legal debt ceiling to $1.756 million.
The formal request to the National Assembly will be made by Dulcidio De La Guardia, Minister of Economy and Finance, who attributes the decision to request an adjustment to "...
The Ministry of Economy and Finance in Panama is considering bringing forward auctions of reverted lands in order to increase state revenues faster.
Minister Dulcidio de La Guardia proposed that the Administrative Unit of Reverted Properties (UABR) bring forward the sales in order to mitigate deficiencies in the state of public finances.
The Secretary General UABR, José Antonio Serracín told Panamaamerica.com.pa that "...At the end of August it is estimated that a a total of $7.1 million will have been auctioned. "
The incoming Minister of Finance has announced that the tenders for the Chan II hydroelectric station and for Government City will be revised, as well as the policy for ethanol in gasoline.
In addition, adjustments will be made to the parity formula for calculating the price of fuel by eliminating barriers to imports of fuels and changes will be implemented in the modes and methods of payment in state projects.
Government revenue during January 2011 totaled $ 332.8 million, $ 37.6 million more than the same period of 2010.
Tax revenues reached $ 264.5 million, an increase of $ 52.5 million (24.8%) over January 2010.
Regarding indirect taxes, revenue was $ 169.5 million, a net increase of $ 52.8 million (45%) over the same month last year.
The highest growth compared to January 2010 was recorded in the Personal Property Tax and Services (ITBMS) and the selective consumption tax, said Finance Vice Minister Dulcidio De La Guardia.