began consultations with provincial governors and ministers

Casa Rosada yesterday activated an open agenda negotiation with governors and ministers of the 24 provinces. Nicolás Dujovne and Rogelio Frigerio resumed the round of consultations with Horacio Rodríguez Larreta (City), María Eugenia Vidal (Buenos Aires) and Gerardo Morales (Jujuy), who was joined in Balcarce 50 by the Chief of Staff Marcos Peña.
Tomorrow it will be the turn of the Federal Peronism which will be represented by the officials of Córdoba, Salta, San Juan, Chaco, Entre Ríos and Tierra del Fuego.
The only non-negotiable item for Dujovne and Frigerio is the goal of reducing the budget deficit to 1.3% of GDP by 2019, according to the commitment made before the International Monetary Fund. The negotiating scheme proposes an equal distribution of the expenditure reduction of about 230 billion pesos according to the Ministry of Finance of the Nation, plus an advantage to negotiate with the provinces.
According to the negotiations that the national government has opened with the provinces, the governors should undertake to reduce the expenditure of 150 billion pesos, a reduction that in the case of obtaining the approval of Peronism is will reflect in the draft Budget 2019. The order of Mauricio Macri is to sign this agreement with the leaders of PJ before September 15 to vote the initiative of the closed book. Plan B, in case the Peronism of Juan Schiaretti would not be concluded, among others Juan Manuel Urtubey, Gustavo Bordet and Rosana Bertone, is to extend the budget of 2018 and to organize the cut unilaterally to reach the objective of reducing the budget deficit by 1.3% of GDP.
This budgetary scissoring will not only be suffered by the Peronist provinces. Hernán Lacunza (Buenos Aires), Enrique Vaz Torres (Corrientes), Lisandro Nieri (Mendoza); Carlos Sadir (Jujuy), and Martín Mura (Autonomous City of Buenos Aires) are the Finance Ministers of the provinces of Cambiemos who today will meet again with Dujovne and Frigerio. The national executive has already vetoed the possibility of extending the reduction of the gross income tax. There will be no definitions as long as the Allied provinces are unclear as to what they are willing to give to the Peronist governors.
The national government, according to the ministry that drives Dujovne, must also reduce its spending by 150 billion. A cut of 20 billion in the state has already been activated, but another 120 billion remain on hold. The restructuring of the fiscal deficit will force Macri to take steps that will change the design of his firm. Some departments, because of budget cuts, will not have money to operate. This will involve the reconversion of one of the 23 ministries coordinated by Marcos Peña in the state secretariats. The announcement will be in charge of Macri.
Tomorrow, in addition to the provincial ministers in charge of the Peronist Federal Government, officials from Neuquén, Río Negro and Misiones will sit in front of Dujovne and Frigerio. Next week, the cycle will be completed with the other Peronist province and the districts where they govern the provincial fronts or parties such as Santiago del Estero and Santa Fe.
In this regard, with the intention to add support to the project for the 2019 budget, Macri received yesterday the governor of Santiago del Estero Gerardo Zamora.