San Marino. Budgetary adjustment, the CSDL criticizes the government: “The ‘tradition’ of not making the comparison continues!”
“The little legend presented at first reading has become a very full-bodied device with more than 50 articles”.
So the San Marino Confederation of Labor onbudget adjustmentunder discussion at the current session of the Great and General Council.
“Also on this occasion the government presented the amendments at the last moment – the San Marino trade union said in a note -. We therefore did not have the opportunity to make a careful assessment.
“We continue with the tradition!”, Commented the Secretary of the San Marino Confederation of Labor, Enzo Merlini. “Settlements and budget laws become the way to make omnibus measures without confronting anyone. We repeat for the umpteenth time that this practice is undemocratic ”.
In the bill, explains the CSD, “public debt securities are accrued and provided for with new bonds that were account holders who had deposited their money in Banca Cis, therefore the commitment to repay them on due dates”. This is “an overall figure of approximately 200 million, with different maturities. The first bonds maturing next July are equal to 53/55 million “. This sum “was already an economic commitment to be paid by the State: it is now assigned transformed into public debt securities, with a ten-year maturity and at an interest rate of 1%”.
And again: “On the one hand, therefore, the State pays interest rates of 3.25% for three years for the securities while placed on the international market, those issued for those who had the money blocked in Banca Cis will yield 1% for 10 years, however, in a historical phase in which rates are starting to rise again. Something wrong! We are even more convinced that the rush to go to foreign markets for 340 million was too burdensome, as well as not essential. Overall, the interest that we will have to pay annually on the debt on the state as a whole is continuing to rise, well over 20 million per year ”.
Merlini wonders: “When will we begin to discuss how to cope with the enormous public debt, as the CSDL has strongly claimed for years?”.
According to the San Marino trade union, “the self-referentiality of the government is unacceptable, given that this will weigh on all citizens and on future generations”.
Furthermore, “the executive has set itself the objective of carrying out reforms of pensions, the market, the IGR and Fondiss by the end of the year, without forgetting that the budget law will also have to be passed”. These are “very ambitious objectives and within a very short time”. Moreover, “out of 3 of the 4 announced reforms there is still no proposal to discuss, so we imagine that the loophole is always the same: just don’t make the comparison! A fortiori on issues of this magnitude, we will react ”.
“About 5 million euros are allocated to cover the loss of income in the pension fund of self-employed workers, against the halving of the rates envisaged by the Covid decrees”. This “was done because the reduction in contributions does not penalize the pension calculation for this category of workers”. These allocated resources “are added to the decrees on refreshments: it can therefore be said that businesses and self-employed workers have received a fair amount of help from the state”. The CSDL assures that “it is not a polemical note, the other countries have also, rightly, made similar measures, but only the need to highlight the interventions implemented”.
In relation to Fondiss, “the board debate has sparked an amendment that provides for a delegation attributed to the government to implement the overall reform of the second pension pillar”. The San Marino Confederation of Labor “has never liked the method of delegation; the fact remains that this reform must be made because Fondis’ resources do nothing and it makes no sense to maintain the status quo. In reality, a proxy such as this was approved in the last budget law, with the aim of implementing the interventions requested by the Administrator Committee; an absolutely blank delegation, which resulted in the decree mentioned in the last episode of ‘Csdl Informa’ “.
“We were able to change that decree – highlighted Enzo Merlini – by establishing that, before transforming the contribution amount into an annuity for every need that is entitled to it, carry out the reform. According to the measures of the Administrator Committee, the management costs of this operation could amount to around 2-2.5%, while the returns are almost non-existent. We believe it is clear to everyone that if the yields do not exceed the costs, the mission of the Fondiss must be completely reassessed “.
In the communiqué of the CSDL there is also a reference to the controversy of a method of opposition, former secretary of state, with respect to the silence of the union on the user on such an important matter, namely the decree: “As already mentioned, the use of the decree we don’t like it at all, but it has become a misbehavior that is continuing to be abused. It is unbearable for the government to continue its measures by accusing the previous one of fact and not done, but so are those who do the ‘forgotten’. We cannot forget the infamous decrees of July 2017, with which the Fondis Administrator Committee was dismissed to give the management of the funds to the Central Bank, which then acquired the Demeter securities acquired from Banca Cis “.
“Of the other topics covered in the latest episode of ‘Csdl Informa’, namely precarious stabilization, health care situation, slowdown and increase in tariffs, bargaining, etc., we will give information in the next few days”, says the San Marino Confederation of Labor.