By Nelson Bocanegra

BOGOTA (Reuters) – Colombia needs to diminish budget spending by 56 trillion pesos ($12.7 billion) to modify to its fiscal rule this one year, an self ample committee of experts said on Tuesday, a unparalleled elevated figure than is being discussed publicly by officers.

Colombia’s authorities has already launched a 20 trillion peso spending decrease and Finance Minister Ricardo Bonilla said perfect week it can well well amplify that to 33 trillion pesos.

The decrease immediate by the Independent Fiscal Rule Committee (CARF) may per chance well well be the same to a pair.2% of atrocious domestic product, the checklist said, and used to be wished on yarn of tax collection is working below authorities projections.

The Andean nation can also unbiased also require a budget aesthetic of 39 trillion pesos in 2025, the committee added.

The authorities’s fiscal rule, created in 2011, imposes coverage constraints meant to derive sure that the sustainability of public funds.

“The finance belief for 2025 can also unbiased calm mediate life like targets for structural earnings that funds structural charges,” the committee said in its checklist.

“Going forward the nation must title and take structural measures that allow the consolidation of a sustained fiscal adjustment and derive sure that fiscal sustainability.”

The CARF warned in July that the nation can also wish additional changes to modify to the fiscal rule in 2024 and 2025.

Economic committees in Congress accept as true with rejected the authorities’s proposed budget for 2025, which scheme the authorities would favor to push it via by decree.

The authorities also hopes to push a 12 trillion tax reform via Congress to finance 2025 budget wants, nonetheless it unquestionably has made sluggish growth.

The finance ministry has plot a fiscal deficit purpose of 5.6% of GDP for 2024 and 5.1% of GDP for 2025.

($1=4,400.69 Colombian pesos)