Friday , November 27 2020

"Better times" will continue in waiting time: Report from the Central Bank warns that this year will correspond to 2018

The businessman's crowded optimism with regard to Sebastián Piñera's government must continue in a pending rhythm. The hot 2.6% registered by Imacec in December, a figure confirming a cooling of activity added to the business perception report issued yesterday by the central bank, represents a clear landing in expectations.

According to the study used by BC, businessmen estimate that this year will correspond to 2018 in the performance of their businesses, which will not translate into more jobs or better salaries.

The report says that "there have been no major changes in the donations, or are they expected in the immediate vicinity, while highlighting a general perception of barely upward pressure on wages."

In the specific analysis, there are particularly worried sectors, such as Public Works, which observes a lower investment due to lack of new projects (according to some zero) and delays in the revision of those already underway. The hope for investors in this sector is that "regional governments increase spending" in 2019 so they put their chips in this opportunity.

Another area of ​​concern was the outcome of 2018 retail, a group that assumes their consumption was lower than expected in a scenario characterized by consumer preference for cheaper products.

Businessmen are asking to hurry the tax reform

The businessmen did not try to take the numbers dramatically, but at the same time they placed the government's task.

For them, the solution is to speed up a "tax reform that gives us competitiveness and investment incentives and gives us legal certainty," says Secretary-General of Production and Trade (CPC), Alfonso Swett, who appeals to the government to put the accelerator in a project that until now no White smoke is seen in the light of the positions shown by the opposition Congress.

In spreading the data in the perception of the business report, the business manager said tomorrow on Radio Duna that "if you take the data from the third quarter, we basically have two-thirds that are replacing machines, and only one-third is capacity expansion. believes that in 2018 we will have a 6% growth in investment, but an important part is equipment that was replaced. "

Then he added that "worrying about the report is that apart from the replacement of equipment, there were investments related to environmental issues and a bit of capacity expansion, creating jobs. Clearly, this is not the type of investment, to create more employment. "

In that sense, he said another task for 2019 is to strengthen the labor market. "There we have a huge challenge in 2019, which is in employment and wages. It is regrettable that employment is growing by 1.6% if the country is growing 4%. History shows that employment with 4% growth must grow by about 2 , 5%, "he added.

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