On October 31, 2022, the government of President Guillermo Lasso sent to the National Assembly a proforma of the general state budget for 2023 with a total amount of 31,503 million dollars. The national government has set three general goals for 2023, which are: a) Greater social investments; b) Increased budget for universities and decentralized autonomous governments; c) Reduction of the fiscal deficit. In the same way, five macroeconomic assumptions were taken into account: a) Average price per barrel of export oil of USD 65; b) Real GDP growth of 3.1%; c) Accumulated inflation of a maximum of 2.55%; d) volume of controlled oil production of 188 million barrels; e) Nominal GDP of 122,369 million.

The general state budget is an estimate of the financial resources available to Ecuador. This fiscal instrument includes revenues (oil sales, tax collection, etc.), but there are also expenditures (services, production, and state affairs for education, health, housing, among others). In accordance with the Regulation of the Organic Code of Planning and Public Finance, the presentation of information on the fiscal programming of the public sector is carried out according to the savings-investment-financing scheme. That is, revenues and expenses are recorded in a component known as “above the line”, while the financing side is recorded “below the line”.

Taking into account what is predicted in the “online” section, we have that the total income will be approximately 23,662 million, of which about 78% is recurring income from various items, including profit, for example, from strategic sectors. energy, oil, among others. Is it necessary to give them concessions under this title and without measuring efficiency? Likewise, state expenses that include PAC lines for all companies and ministries amount to HRK 20,000 million, which represents almost 87% of total revenues. This implies that if Ecuador were a country without corruption, all these funds would be spent on education, health and social investments, however, the reality of the country is different and we could say that around 15 to 20% of this amount is destined for bribing the contracting process , whose value is close to 2,000 million dollars in corruption.

One of the considerations of the defunct National Assembly was to reverse the 22.84% cut for public works. Could that percentage be covered by the 2000 million redirection of public funds? Expenditures for public works amount to HRK 399 million, and 22.84% of that value is less than what is allegedly going to large operators in the country. Under this premise, many highways like the E15, the Esmeraldas-Quinindé road, among others, could be repaired and even rebuilt. Another aspect that was not fulfilled was the adjustment of the Annual Investment Plan, in order to solve the problem of non-payment of retirement incentives. (OR)