INSUBCONTINENT EXCLUSIVE:
The Central Bank of Peru reports a 2.8% annual fiscal deficit up to September 2023
This is 0.2% higher than last month and 1.1% more than December 2022.In September, the deficit reached 2.417 billion soles ($629.1 million)
This number far exceeds the 318 million soles ($82.8 million) deficit from September 2022.The bank says the increased deficit stems from
decreased current revenues
This dip is partly offset by reduced non-financial government spending.Specifically, general government revenue fell by 13.3% year-over-year
Tax revenues also decreased, dropping by 14.3%.Meanwhile, non-tax revenue saw a 9.7% decline
On the spending side, non-financial government outlays fell by 1.1%.This drop includes cuts in capital expenses by 57.3% and current
(Photo Internet reproduction)The non-financial public sector showed a 6.254 billion soles deficit ($1.626 billion) from January to
September.This contrasts with the surplus of 5.820 billion soles ($1.513 billion) in the same period last year.BackgroundIn the past, Peru
often ran a fiscal surplus, meaning it took in more money than it spent
Analysts attribute this to an economic slowdown and lower tax collection.Tax revenues are crucial for public services and development
