chilean president, Gabriel Burekrepeat on his Saturday He called for seeking an agreement that would allow moving forward with tax reform, an initiative proposing income tax restructuring, among other measures, which Congress rejected last Wednesday, dealing a heavy blow to the government. After rejecting reform, which he described as a pillar of his agenda, and upon completing his first year in power, Borik made five changes in the cabinet.
Former Undersecretary of State during Michelle Bachelet’s first government (2006-2010) and Agent for Chile at the International Court of Justice in The Hague, Alberto Van Claveren74 years old, He will replace former Foreign Minister Antonia Origola. In office since the beginning of the Boric government, his administration this year was marked by Chile’s seal of foreign policy, with a president who did not hesitate to criticize the governments of Daniel Ortega in Nicaragua and Nicolás Maduro in Venezuela.
Some problems at the State Department, such as the leak of an audio clip in which they referred in harsh terms to the Argentine ambassador to Chile, sealed Origola’s departure. in the ministry public works He will take over the former head of Banco Estado Jessica Lopez; Former Director of Televisión Nacional de Chile, James Aguirre will in culture; While the former soccer player, James Pizarrowas responsible for sports. Lawyer Aysen Echevery He will head a ministry Sciences.
Insist on tax reform
The celebration of the first year of government kicked off early with a meeting between Borik and the government, partly renovated on Friday, and the salutes he and a large part of his ministers gave to the hundreds of protesters lined up outside the presidential palace. Burek greeted people one by one and took pictures during a tour that lasted about an hour.
In contact with the press, Borik stressed the importance of “better distributing resources in our country,” and explained that tax reform was necessary for this. According to the Chilean head of state, “The first thing is to finance pension reform. Without tax reform, it is very difficult to finance pension reform and people cannot keep waiting.”
“There are people dying who have worked their whole lives and don’t have a decent pension to live on, and we can’t keep making them wait.”Burek confirmed. With Wednesday’s result in the House of Representatives, the bill has finished processing and the executive will not be able to present similar initiatives for one year in the same body, although it can insist on advancing through the Senate, where it also does not have a majority, with some changes. .
The bill, which is key to financing the executive’s program, included income tax restructuring, a reduction in tax breaks, the introduction of new mining royalties and corrective taxes aimed at promoting environmental conservation, as well as other measures of a social nature.
Tax collection in Chile accounted for 19.3% of GDP in 2020According to the Organization for Economic Co-operation and Development (OECD), Well below the average in Latin America21.9 percent, and from this same body, 33.5 percent.