Public deficit: opposition attacks, government defends

On September 18, 2012, NotiCel covered the election-year clash over the deficit: PPD candidate Alejandro García Padilla accused the Fortuño administration of doubling the deficit in three years and asked “Where did $15 billion in new debt and $7 billion in ARRA funds go?”, alleging waste (Gasoducto / privatizations) rather than public works or fiscal repair.

PIP candidate Juan Dalmau said he was not surprised and insisted the 4% tax on U.S. companies should be permanent and raised to 10% (to raise ~$3,500 million/year vs $1,200 million).

In defense, Chief of Staff Miguel Romero, with Treasury (Jesús Méndez), GDB (Juan Carlos Batlle), OMB (Juan Carlos Pavía) and Retirement (Héctor Mayol), said Fortuño had addressed 90% of the operating deficit. Batlle reiterated that fiscal discipline cut the annual deficit 90% (from $3,300 million in FY2009) and that they would eliminate it the next year. Méndez spoke of an inherited cumulative deficit “of more than $26.4 million” and a $9.3 billion (55%) increase in 2009 under the prior administration — figures this desk quotes as stated, without converting or “correcting.”

Campaign accusation ≠ audit. Alleged deficit reduction ≠ disbursement or theft.

Source: NotiCel. https://noticel.com/ultima-hora/20120918/deficit-publico-oposicion-ataca-gobierno-se-defiende/