It is necessary to unblock the paralyzed works and encourage investment

The Minister of Economy and Finance, Pedro Francke, announced that his portfolio seeks, within the request of the delegation of legislative powers exposed to Congress, a series of measures to accelerate the execution of public investment.

The official recently said that although the accumulated execution is breaking records until October —S / 28,543 million so far this year, its historical value in the last two decades—, they raised the need to establish new mechanisms and proposals to improve it.

Francke recalled that there are paralyzed works that oscillate between 50% and 70% of their execution, for which “an additional work is needed or to complete that investment and therefore the priority in the preparation of the budget by the MEF”.

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Numbers

The Comptroller General Nelson Shack explained that, as of September this year, there are 2,445 contract works that are paralyzed, and only 66 have restarted their work under DU 008-2019, which establishes extraordinary measures to reactivate them.

The paralyzed works add up to a total of S / 18,360 million, however, Shack specifies that they are not all the works stopped in the country, since works by direct contracting are not taken into account, which are not considered in the regulations previously mentioned. Along these lines, he adds that there are 359 works whose reactivation is feasible to DU 008-2019, but only 160 are ready to be restarted, and they will apply a concurrent control over these.

Shack acknowledged that there is a lack of direct intervention by the MEF in regulation and injection of resources to improve this situation.

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New hiring law

Francke pointed out that they also aim to reform the State Contracting and Procurement Law, recognizing that “there are serious problems in all contracting processes.”

Thus, remember that there are new methods such as BIM, which by 2030, according to the MEF, will be mandatory in the public sector.

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