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Peru Panel Clears 2026 Budget for Plenary as Catamarca Advances Wage‑Heavy Spending Plans

The Peruvian draft totals S/257.56 billion under a 1.8% deficit cap, heading to a floor debate next week.

Overview

  • The Congressional Budget Committee approved the 2026 public budget text by a reported 22–0–1 vote, keeping the total at S/257.56 billion, up 2.3% from 2025.
  • The executive’s plan prioritizes public security, health, education, social protection, connectivity, and agriculture, and the committee added execution safeguards such as tighter investment certification and limits on personnel increases.
  • The proposal maintains a decentralized profile with S/59,164 million for regional governments and S/34,175 million for local governments, with the remainder for the national government.
  • Before the plenary debate, the MEF is reviewing lawmakers’ region‑specific requests, including project CUIs and remuneration adjustments, with evaluations pledged on technical and fiscal grounds.
  • In Argentina’s Catamarca, both legislative chambers approved 2026 budgets exceeding ARS 70,000 million largely for salaries with no built‑in pay rises, while the provincial executive sent a broader ARS 2.661 trillion plan projecting a deficit and seeking new borrowing authority.