According to a study conducted by the Ecosur Foundation of the Córdoba Stock Exchange, approximately half of the fiscal adjustment implemented in the first quarter was a combination of measures, while the other half involved more drastic spending cuts. The foundation’s economist and director of economic analysis, Francisco Ballester, stated that if the government continues to uphold the spending reductions throughout the year, it could potentially achieve fiscal balance by the end of the year.

Ballester emphasized that all adjustments so far have originated from the spending side, with changes in income composition such as the PAIS tax and withholdings offsetting any potential revenue increases. Sustaining the current level of spending will prove to be a challenging task due to potential political and social obstacles. However, if the government manages to maintain the current level of spending, it would be on track to reach a deficit target of 0.

According to calculations provided by