Overview
- The government circulated a 13-page draft, the National Commitment for Fiscal and Monetary Stability Law, and plans to push it in extraordinary sessions this month.
- It sets an absolute ban on approving deficit budgets, tying congressional appropriations to volatile revenue and inflation outcomes.
- The Chief of Cabinet would gain authority to cut appropriations during the fiscal year when revenues fall short or expenses rise.
- The bill forbids assuming expenditures without authorization and blocks temporary advances from the central bank to finance primary spending.
- It creates two new Penal Code offenses for fiscal breaches and irregular monetary issuance, and declares violating norms absolutely null, a rigidity critics say could spur litigation and judicial intervention.