economy and politics

The fall in GDP in the pandemic raised public debt

The fall in GDP in the pandemic raised public debt

From 2019 to 2020, the year of the covid-19 pandemic, the balances of the federal public sector debt went from 45.1% of GDP to 51.3% of GDP. In 2022 they closed at 49.4%, and for the first quarter of this year it is expected to be close to 49.8%, according to figures and estimates from the SHCP.

“This has not returned, we are no longer at levels of 50, we are keeping this anchored, slightly below 50% and the effort that was made to rebalance the portfolio is not something small, this helped us to cushion regarding the cost financial, and at the same time, being able to implement risk management policies for the exchange rate, this is very beneficial because in the end, the portfolio is very resilient, and is now much more armored,” the official told students and professors.

He explained that for the contracting of debt each year, the Treasury has a debt ceiling that is approved by Congress, which is the most relevant variable that the Treasury must adhere to; “Within that margin of maneuver, I would think that all the operations of the federal government are within the debt ceiling authorized by Congress,” he commented.

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