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Harsh businesswoman warning for 'repeated state intervention' in private businesses

2021-01-09T15:22:39.611Z


From the field to prepaid, the Business Convergence Forum listed cases. And he warned that this is how 'economic growth and the investment process are affected'


Claudio Savoia

01/09/2021 11:56

  • Clarín.com

  • Politics

Updated 01/09/2021 11:56 AM

Although the summer and the holidays emptied the city, the zoom reduced the distances and the concern took place in all the agendas: the businessmen whose entities participate in

the Business Convergence Forum

drafted and approved in record time a harsh statement that warns about

the "Repeated State intervention

in private sector activities," recalls the

"adverse effects"

that similar actions caused in the last Kirchner government, and renews its "commitment to establish

bridges of dialogue in order to generate economic growth

."

Under the title "The private sector, key actor in the recovery of Argentina", the Forum that brings together the 80 business institutions of all the most important sectors of the economy of the country affirm that "the repeated intervention of the State in the activities of the sector private economy, through measures similar to those taken in the past that had adverse effects,

affects economic growth and the private investment process

, which is already at historic lows. "

The text then lists the official measures that explain their concern: "to measures such as

the intervention of the Information Technology

and Communications Services market," ICT ", through DNU 690/20,

the prohibition of agricultural exports

, the freezing of food and service

prices and electricity and gas rates,

and the cancellation of the

increase granted to prepaid medicine

on the same day it was approved. "

"The adverse effects of these measures have already been experienced in the past: reduction in the area planted with crops whose export is prohibited or limited, loss of cattle in herds,

loss of export markets that are then very difficult to recover

, decrease in gas and oil production that brings as a consequence the need to import fuels as is already being foreseen for this winter, shortage of products and the consequent loss of investment and employment ", reason the entities of the Business Convergence Forum.

"

The cancellation of the increase in prepaid medicine affects the entire private health service," they

warn.

"

Faced with headline inflation of about 36%, with cost increases that were substantially higher due to the coronavirus pandemic, the sector received only a 10% increase in December.

This leaves the entire private medicine sector, which serves 70% of the country's population, in a situation of uncertainty regarding the sustainability of the service. "

"The seriousness of the economic situation requires the adoption of policies that quickly allow expectations to be reversed, contribute to growth and generate opportunities for progress for all Argentines,

agreeing on economic measures that promote growth and investment

in the different sectors of the economy, with the objective of

recovering the level of activity, generating registered employment and promoting exports

as well as supplying the local market. In this sense, the recent decision to enact the knowledge law, which seeks to give predictability to a growing sector that exports services with high added value, it

seems to us the right way

to generate investments that underpin economic growth and its consequent generation of work ", qualifies the statement.

"The associations that make up the Business Convergence Forum agree on the need to share both the potential and the particularities of each activity, and renew their commitment to establish bridges of dialogue in order to generate economic growth and work with the promotion of investments in a context of crisis ", ends the statement.

Source: clarin

All news articles on 2021-01-09

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