Lavagna's suggestions to Macri to get out of the crisis

Candidate for the Presidency of the Federal Consensus, Roberto Lavagna, believes that the package in favor of consumers launched by President Mauricio Macri last week is positive, although he recommends to supplement them with substantive decisions so that he succeeds: stabilize the exchange rate, agreement on prices, an anti-inflation program and the convening of an Economic and Social Council.

The former Minister of Economy of Néstor Kirchner and Eduardo Duhalde also offer an emergency program in food and health, the renegotiation of the agreement "stand-by "with the International Monetary Fund (IMF), a plan for investment incentives and mechanisms to lower the interest rate.

"The measures are welcome, but they are palliative, in the very short term, they do not have a substantial program," said MP Marco Lavagna, candidate for re-election, La Nación.

For his part, the deputy candidate Alejandro "Topo" Rodríguez said that "Lavagna has set the agenda: Macri and Alberto Fernández took part in our campaign proposal".

Fernandez, he said, launched the idea of ​​"putting money in people's pockets" and "renegotiating with the IMF". Macri has made progress in eliminating VAT on food products, increasing the minimum tax-free income, freezing UVA credits and raising the minimum wage.

Lavagna says most of the measures will be liquefied without a medium and long term plan. "You must conclude an agreement on prices and wages, convene the Economic and Social Council, stabilize the exchange rate and put in place an anti-inflationary plan," said Marco Lavagna.

"In addition, reducing the interest rate, an investment incentive plan and renegotiating the agreement with the IMF," he added.

On raising the minimum wage, Lavagna considers it "positive" because he proposed it in his campaign plan. In addition, the fuel price freeze for 90 days seemed "messy and without negotiation". "The 91, they will have a price increase," he predicted.

It also seems "correct" because it is more "permanent", the 20% increase in the income tax floor, the increase in the non-taxable minimum wage tax and the 50% reduction in advances on freelance earnings this year.

He opposed eliminating workload payments for workers in September and October, a benefit of $ 2,000 per month. "Here we have the problem of what we do the next day, the third month we have nothing," said the deputy. The same was true for additional payments of 1,000 pesos per child for informal workers and the unemployed in September and October.

On AFPI's 10-year moratorium on the moratorium for SMEs, Lavagna was cautious: "We'll see the implementation, the rate, but it's a relief, very transitory, but finally a relief".

Regarding the bonus of $ 5,000 for employees of the national administration, the armed forces and security, the Lavagnismo criticizes two aspects: it is transitional and complicates fiscally the provinces, which should also apply, as advocated by the Federal Consensus.

He also approves with some reservations the elimination of VAT on essential foods: it is considered good and proposed in his plan. "But you have to see the implementation, the risk is that they only remit VAT in the last part of the chain and that it ends up representing less than 2% of the price impact, it's nothing in the middle of a very high inflation, "he said.

"One of the central axes must be the online control, because otherwise the fiscal effort will not reach the populations," he added. In addition, he said, "you have to make a good selection of products". It also has a tax impact on provincial co-participation.

Lavagna had proposed in its program that UVA loan payments be linked to the wage index rather than to inflation. Macri announced the freeze. "In this case, it's a relief until December." The question is, how will you use the quota later.In January, all that did not increase was enough. August to January will seize you, the impact will be very important, "Lavagna said. . Proposes a law on a compensation fund.

On the elimination of the payment of the tax monotax next month, Mr. Lavagna said: "Welcome, it's a bonus, the problem is that it does not improve the structural problem ". The same was observed for the two additional payments of the universal child benefit in September and October.

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