Peru's Economy and Finance Minister Maria Antonieta Alva said that S/2.664 billion (about US$786 million) will be directly allocated to subnational governments, as part of the 2020 Budget, to continue implementing the projects started this year.
"The completion of works is what matters to us. The benefits of investment are not available during the construction phase itself, but when services are delivered to citizens," she said at a meeting between the Executive Branch and the
Association of Municipalities of Peru (AMPE).
In previous years, she noted, said amounts were allocated to the ministries, which channeled the money into regions and municipalities. However, transfers delayed its execution.
"We had noticed that the pace of project execution was getting slower because of those transfers made by the central government to subnational units year after year," she commented.
According to the
Ministry of Economy and Finance (MEF), the aforementioned amount will be allocated directly to subnational governments in order to continue the execution of 582 investment projects financed in 2019, of which 335 are set to be completed by 2020.
Territorial development
Moreover, the brand-new economy and finance minister announced that the Invest in Territorial Development Fund (FIDT) will raise from S/200 million (about US$59 million) to S/300 million (about US$88.5 million).
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Published: 10/9/2019