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According to Rijo Presbot, the year-on-year change in spending for the first quarter of 2024 is 6.5 times lower than that of the same period in 2020 and 41.5 times lower than that of 2012. For the first time in two decades, public debt is being reduced.
The CEO of BudgetJosé Rijo Presbot explained that this year there was a surplus of 0.4%, which is still maintained, considering it as an indicator of the country's financial health, which means that the Government collected more money than it spent, a fact last recorded in 1994.
The Budget Director during an interview on the program “The Alarm ClockDuring a program broadcast on Color Visión and hosted by Ana Mitila Lora, Esteban Delgado, and Rosa Encarnación, Rijo Presbot stated that President Luis Abinader's administration is characterized by sound management of public finances and solid economic growth, despite taking office in a closed world. He indicated that the government is making commendable efforts to streamline public spending and redirect it toward providing more and better quality services for citizens.
In his speech on the morning program, Rijo Presbot explained regarding subsidies that, so far this year, this management has allocated RD$6,500 million to fuels, to curb the rise due to the wars between Russia and Ukraine and Israel and Hamas, and thereby avoid raising the cost of living for citizens in the country. “Because of that fuel subsidy, today we are dealing with an inflation rate of 3.61% to 3.71% in this first quarter of the year.”"The Budget Director assured."
Rijo Presbot referred to other social subsidies for which specific allocations are earmarked in each year's national budget to improve the quality of life for the most vulnerable families. He also highlighted other efforts undertaken by this administration to improve people's lives.
After offering details that demonstrate the improvement in the quality of public spending by the Dominican State, he said that, regarding the allocation of travel allowances, which have always been widely criticized by some sectors, there was a reduction. “There is absolute control over travel allowances in this government. Every official must account for how they spent their money, and if they don't have receipts to prove the expense, they must return the money,” the Budget Director emphasized..
Regarding the Government and salary increases, he highlighted those applied to members of the National Police; conscripts and rank and file, which is now RD$29,025.07 plus incentives; a 30% to salaries of health personnel and the salary increase that favored retired and pensioned teachers, a significant impact for these sectors.
Government records lowest public spending in election year
Rijo Presbot stated that, in this election year, President Luis Abinader's government is spending only the budgeted amount and that, furthermore, spending is being carried out under strict control and compliance with regulations, because this administration's priority is solving the nation's fundamental problems.
Dominican Republic, which did not happen in previous administrations. “Now there is no authorization to waste public resources on the election campaign”Rijo Presbot stated this during his appearance on the morning program.
In this regard, Rijo Presbot explained that for the first time in the last seven election years, the government has recorded its lowest primary spending, reflecting greater control over the use of state resources. According to Rijo, the year-on-year change in spending for the first quarter of 2024 is 6.5 times lower than that of the same period in 2020 and 41.5 times lower than that of 2012. “2012 was the year of the greatest surge in public spending on record in recent decades.”, the Budget Director pointed out.
Regarding salaries and contributions, the percentage of GDP fell from 1.12% to 0.98%; contracting of services, from 0.33% to 0.26%; materials and supplies, from 0.22% to 0.10%; movable, immovable and intangible assets, from 0.13% to 0.04%; and works, from 0.33% to 0.18%.
Similarly, Rijo Presbot highlighted that 2024 is projected to be the first election year in the last two decades in which public debt is reduced year-on-year in relation to GDP.
