Argentina
The Senate Will Debate the Central Bank Reform and Changes to Cold Zones
The upper chamber will meet this Thursday with two key bills for the governing coalition. The BCRA initiative arrives with agreed changes, while the debate over gas subsidies is drawing more political doubts.
The Senate will meet this Thursday starting at 12 p.m. to debate the reform of the Central Bank’s Organic Charter and the changes to the Cold Zones regime, two initiatives promoted by the Government that are part of its economic and fiscal program.
According to the media consulted, the governing coalition agreed on the agenda in Parliamentary Labor and negotiated changes to secure support from allied and dialogue-oriented blocs.
In the case of the Central Bank, the bill will reach the floor with a modification to the system for appointing and removing members of the board of directors. The change accepted by the governing coalition establishes that two-thirds and the intervention of the Chamber of Deputies will no longer be required, but rather an absolute majority of 37 votes in the Senate, which will retain that authority. Since there were changes to the text approved by the lower house, the initiative will have to return to the Chamber of Deputies if it is passed by the Senate.
The proposal also maintains its focus on limiting monetary assistance to the Treasury and restricting money issuance to finance fiscal imbalances. Perfil added that the bill also prohibits financial assistance to the Nation and the provinces, and eliminates functions linked to credit direction and differentiated credit policies.
The more complex debate appears in the bill on Cold Zones. The initiative seeks to reduce the automatic geographic scope of discounts on gas rates and concentrate them in regions with more extreme temperatures, such as Patagonia, Malargüe and the Puna. If it moves forward, users added to the regime in 2021 could lose the benefit, including those in provinces such as Buenos Aires, Córdoba, Santa Fe, Mendoza and San Luis. Crónica also mentioned Salta, San Juan, Jujuy and La Rioja.
According to Perfil, the bill provides for the subsidy to remain in place for Malvinas veterans, households registered in ReNaBaP and homes with family members who have a Single Disability Certificate. That outlet also noted that those who lose the benefit could request a reduction if they prove income of up to three basic baskets for a type 2 household.
Radio Mitre also reported that, in order to win backing from governors in the north, the Government proposed a Warm Zones regime to account for higher electricity consumption in summer, although some governors remain skeptical because that mechanism would be implemented by resolution and would not be incorporated into the law.
According to Perfil, debate on the Central Bank bill could begin later because of privilege motions from the Justicialist bloc. That outlet also indicated, based on Noticias Argentinas, that the changes in Cold Zones would have the backing of allied senators from Catamarca, Corrientes, Salta and Misiones, as well as some Peronist lawmakers.
Sources
About this note. Written by El Notero with the assistance of artificial intelligence, based on what was published by the cited outlet. El Notero did not conduct its own reporting on this event.
