Public Account 2018

The primary result without return on property for the Budget Execution of the National Administration for fiscal year 2018, arising from the methodology applied in the last years, was negative for $ 271,634.94 million. The same is an indicator of the financial result of the fiscal year, regardless of the financing cost of previous years.

Said interest accrued during current fiscal year total $ 542,100.44 million generating a financial deficit of $ 813,735.39 million.

During fiscal year 2018 the primary result showed an improvement of 9.86% in relation to 2017 and the deficit financial result was worse than 2017 in a 31.97% due to a rise of interest of the public debt.

If we consider the methodology for the assessment of fiscal result used in the disclosure of financial statements of the National Public Sector on a cash basis, the Net Primary Result of the National Administration (on an accrual basis) shows a negative balance of $ 383,043.18 million, with an inter annual reduction of 2.21%. Also, the Financial Result shows a deficit of $ 813,753.39 million.

Fiscal Result – New methodology (*)

Fiscal Year 2018. In million pesos

If we compare nominally the Financial Result of the fiscal year under analysis with the previous one, we can see a negative variation of $ 197,136.21 million, due to a growth in Return on Property accrued on Debt ($ 226,852.27 million, 71.96%).

We should mention the incidence of the Fiscal Transparency Regime, under Law 27.260on the tax revenue for fiscal year 2017, which accrued an amount of $ 44,810.65 million with no impact on the current fiscal year.

An analysis at the institutional level shows that the execution registered for the Central Administration budget had, before contributions and figurative expenses, a negative financial result of $ 506,011.40 million, which after said transfers were made, had a deficit result of $ 977,855.43 million.

Also, Decentralized Bodies in general, had a financial surplus result of $ 18,431.23 million, which before figurative contributions and expenses, was negative for $ 171,689.32 million.

In the case of Social Security Institutions, there was a surplus of $ 145,688.81 million, after Contributions and Figurative Expenses. The result before the aforementioned contributions showed a deficit of $ 136,034.67 million.

It is noted that the level of resources execution reached 99.08% of the estimations for fiscal year 2018, while the accrued registered for expenses reached 97.63% of the annual budget credit.

There follows a table with the percentage of budget execution of the National Administration:

- in million $ -

Note : The variation of cash and cash equivalents is shown by the net of the item in the Financial Applications.

The following charts are presented in order to provide analytic information about the behavior of the amounts collected:

Resources:

- in million $ -

During the reported fiscal year, current revenue reached 99.06% of the budget, with tax revenue being the main source of collection, being the 54.07% of the same, basically composed by the first four taxes with 88.22% of the amounts collected, as follows:

- in million $ -

Social Security Contributions represented a 31.78% of current revenue.

Return on Property was of $ 275,701.76 million, mainly composed of:

• Interest, with a total of $ 251,398.00 million, a 91.18% of the total revenue for this concept. Interest in national currency is $ 218,386.06, as follows: Bills and Bonds ($ 145,702.85 million); deposits ($ 67,407.49 million) and loans ($ 5,275.72 million); while interest in foreign currency collected for Bills and Bonds total $ 32,017.80 million.
• Dividends, with revenue for $ 24,298.18 million, a 8.81% of the total revenue for Return on Property, mainly due to the revenue of dividends of the Banco de la Nación Argentina under articles 95 and 96 of Law 27.431 of Budget for Fiscal year 2018, for $ 21,913.16 million. Also, return generated by the former Lotería Nacional, under the Ministry of Social Welfare ($ 1,501.61 million).

In relation to Non Tax Revenue, which reached $ 54,054.62 million, the following are the most important items:

• Fees, reached an amount of $ 29,628.59 million, a 54.81% of the total.
• Other Non Tax Revenue, with $ 11,259.68 million represents a 20.83 % of the total of Non Tax Revenue. The most relevant are, among others, the National Fund of Justice, Funds from Law 25,848 of Subsidy to Voluntary Fire Brigades, Funds for the Treasury, Funds of the Ministry of Social Welfare, and Contributions from the Central Bank of the Argentine Republic under Law 27,008, the National Fishing Fund (Law 24.922) and the Funds of the Ministry of Social Welfare.
• Rights, reached an amount of $ 6,049.37 million, 11.19% of the total amount.
• Hydro carbons return, with a total of $ 2,653.38 million.
• Tickets, which reached $ 2,530.76 million.
• Premium amounts, for $ 1,405.20 million.

Expenses

- in million $ -

Analysis of the Budget Execution of Expenses

Current Expenses

In relation to accrued Wages and Salaries ($ 331,228.32 million), the 78.19% is for the Central Administration ($ 259,003.01 million), the 16.78% to Decentralized Bodies ($ 55,589.06 million) and the 5.02% to Social Security Institutions ($ 16,636.26 million).

Among the bodies with higher level of expenses for salaries and wages the following are the most important ones: the General Staff Office of the Army ($ 32,794.64 million), the Procurement Office ($31,513.30 million), the National Gendarmerie ($30,333.94 million), , The Federal Police ($24,982.87 million), the General Staff Office of the Navy ($ 18,525.51 million), the National Prefecture ($17,760.65 million), the National Administration of Social Welfare ($16,381.28 million), the General Staff Office of the Air Force ($13,702.46 million), the Federal Penitentiary Service ($10,148.64 million), the National Council of Scientific and Technical Research ($9,355.36 million), the Ministry of Foreign Affairs and Cult ($8,582.02 million), the General Attorney´s Office ($8,453.36 million), the National Senate ($6,876.62 million), the Deputies Chamber ($6,246.72 million), and the National Institute of Agro Technology ($5,606.47 million). Expenses of said bodies represent a 72.84% of the total salaries and wages.

Within the expenses in Goods and Services ($102,897.43 million), we can distinguish those destined to Non Personal Services for $ 72,677.47 million (70.63%) and those for Operating Assets for $ 27,045.59 million (26.28%).

In relation to Non Personal Services, the following are the most important items:

• Technical and Professional Services: $ 13,114.99 million, which are 18.05% of the total amount. Within the same we should mention expenses made by ANSES destined $ 1,157.70 million, with payments to Core Activities, the Ministry of Domestic Affairs for $ 836.16 million, Ministry of Health for $ 714.59 million, the National Institute of Tourism with a total of 708.54 million, for the Program for the Promotion of International Receptive Tourism, the INDEC with an accrued of $ 626.51 million, the Ministry of Production for an amount of $ 512.79 million, the Ministry of Energy with an accrued amount of $ 471.34 million, the Federal System of Media and Public Contents with a total of $ 444.91 million, the Ministry of Social Welfare accrued $ 417.14 million, the Deputies Chamber a total of $ 414.28 million, among others.
• Fees and other expenses of the Debt in Foreign Currency : $ 12,066.14 million, 16.0% of the total. This is for fees and other expenses on the long term debt mostly made by the Service of the Public Debt.
• Other non personal services: $ 11,488.44 million, which represent a 15.81 % of the total, being the most important ones as follows: National Council of Scientific and Technical Research for $ 3,376.61 million, destined mainly to Training of Human Resources; General Administration Management of the Chief of Ministers Office for $ 1,336.94, mainly for its core activities, the Federal Agency of Intelligence for $ 998.50 million, for information and intelligence, the Technical and Financial Cooperation Body of the Federal Penitentiary Service for $ 873.00 million; the Ministry of Justice and Human Rights for $ 496.12 million, mainly for Penitentiary Infrastructure Policies, among others.
• Maintenance, Repairs and Cleaning: $ 10,953.64 million, 15.07 % of the total. The expenses accrued by ANSES for $841.17 million and those of the General Staff Office of the Air Force for $ 931.54 million are to be mentioned, followed by the Ministry of Foreign Relations and Cult, with $ 801.00 million, the Ministry of Production with $ 583.60 million, the General Staff Office of the Navy with an accrual of $ 570.78 million, and the General Staff Office of the Army for $ 525.35 million, the National Citizen´s File with a total of $ 422.18 million, among others.
• Commercial and Financial Services: $ 5,814.76 million, 8.00 % of the total. This is mainly for transport services for $ 1,450.92 million (mainly the Ministry of Social Welfare for $ 439.85 million), the payments for Commissions and Bank Expenses with a total of $ 1,101.26 million (mainly ANSES with $ 865.80 million) and Primes and Insurance Expenses for $ 904.82 million, among others.
• Basic Services: $ 5,678.79 million, 7.81 % of the total of non personal services. The body with higher execution of this concept is the National Citizen`s File with an accrual amount of $ 770.69 million, followed by the Ministry of Labour, Employment and Social Welfare with $ 403.96 million, the General Staff Office of the Army with $ 375.17 million, and the Magistrates Office with $ 360.89 million, among others.
• Tickets and Daily Expenses: $ 4,831.39 million, reaching 6.65 % of the total. The National Gendarmerie has the highest level of execution with $ 572.82 million (the most important program is “Supplementary Operations of Domestic Security” with an accrual of $ 446.83 million), followed by the Argentine Prefecture with $ 287.39 million, the Deputies Chamber with $ 264.91 million, among others.
• Leases and Rights: $ 3,647.88 million, 5.02 % of the total amount, with the highest incidence for the Ministry of Foreign Relations and Cult for $ 659.38 million, followed by the Ministry of Domestic Affairs with $ 318.37 million, the ANSES with $ 299.29 million, the Ministry of Security with $ 285.08 million, among others.
• Taxes, Rights, Fees and Claims: $ 2,828.28 million, 3.10% of the total of these non personal services. The most important ones are: those of the ANSES with $ 932.96 million; the Ministry of Health with $ 200.05 million, among others.
• Advertising and Propaganda: $ 2,253.15 million, 3.10 % of the total; mostly accrued by the General Administration Department of the Chief of Ministers Office, with expenses for $ 2.010.18 million with the program “Press and Promotion of Governmental Acts”, followed by the ANSES with $ 226.33 million for its Core Activities.

In relation to Operating Assets, with $ 27,045.59 million accrued, we should mention the following:

• Medical and Pharmaceutical Products: $ 9,708.03 million, reaching 35.90% of the expenses for this item, mainly destined to the Ministry of Health ($ 9.518,59 million) to comply with several Programs, such as “Prevention and Control of Immune preventable Decease”; “Fight against AIDS and sexual transmission decease”, and “Universal Health Insurance”.
• Food for Individuals: $ 7,245.84 million, representing the 26.79% of the operating assets. The Ministry of Social Welfare accrued in the fiscal year $ 2,640.62 million mainly destined to the program “Food Policies”. Also, the Ministry of Health accrued significant expenses for $ 1,035.69 million mainly destined to the “Mothers and Children Assistance Program”. Then, the General Staff Office of the Army, with expenses for $ 837.95 million, mainly for the programs of “Operational Support Training” and “Education and Training”, as well as $ 792.73 million for the Federal Penitentiary Service mainly accrued for the program “Security and Rehabilitation of the Interns”, among others.
• Fuels and Lubricants: $ 1,675.47 million, which represent 6.20 % of the total, mainly accrued by the General Staff Office of the Army ($367.77 million), the General Staff Office of the Air Force ($ 301.31 million),The Ministry of Security ($ 189.04 million), the Argentine Prefecture ($ 131.50 million), the Federal Police ($ 104.44 million) and the Argentine Gendarmerie ($ 100.93 million), among others.
• Spare parts and Accessories: $ 1,538.34 million, 5.69 % of the expenses for Operating Assets. The greater amount was accrued for the General Staff Office of the Armed Forces ($ 299.90 million), the General Staff Office of the Air Force ($ 298.25 million), and the General Staff Office of the Navy ($199.37 million) and the General Staff Office of the Army ($ 184.56 million) among others.
• Clothes: $ 992.37 million (3.67 % of the total). Within this item, we should mention the General Staff Office of the Navy ($229.58 million), the Ministry of Social Welfare ($ 128.86 million), the National Gendarmerie ($120.64 million), the General Staff Office of the Army ($116.04 million), the General Staff Office of the Armed Forces ($85.21 million), the Federal Police ($72.90 million), the General Staff Office of the Air Force ($53.81 million), the National Prefecture ($36.10 million).
• Chemicals: $ 969.97 million (3.59 % of the total). These are mainly for the expenses undertaken by the Ministry of Health ($ 433.01 million), Hospital Nacional Profesor Alejandro Posadas ($ 135.22 million), the General Staff Office of the Army ($ 120.27 million), among others.

Expenses on Interest and other return on Property during the fiscal year reached $ 542,301.00 million. Within this item the most important entry is for Interest of the Public Debt ($542,100.44 million) as follows:

• Debt Interest in Foreign Currency: $ 291,108.60 million; for Interest on Debt Collocation ($251,455.08 million), Interest for Loans ($35,461.88 million) and Primes for Issuance of Public Bonds ($4,191.66 million).
• Debt Interest in National Currency: $ 250,991.84 million; mainly for Interest on Debt Collocation ($233,789.16 million) and Primes for Public Bonds Issuance ($ 17,176.70 million) and Loans ($ 25.98 million).

Current Transfers reached $ 841,179.49 million, being 27.03 % of current expenses. The execution level was of 96.89 % in relation to the current credit at closing of fiscal year 2018, showing a rise of 25.01% in relation to the previous fiscal year, mainly for transfers to the Private and Public Sectors.

Transfers to the Private Sector, for $ 428,575.65 million, are as follows:

• Transfers to Family Units: $ 266,714.40 million. The most important ones were the following:
  1. Transfers made by the ANSES for Family Benefits, $ 187,301.60 million, including Universal Subsidy per Child for Social Protection, $ 89,219.47 million, active beneficiaries for $ 78,944.46 million, passive beneficiaries for $ 15,116.03 million and the National Public Sector for $ 4,021.64 million.
  2. Support Program for Employment, made by the Ministry of Social Welfare, for $ 20,415.72 million.
  3. Community Productive Projects, made by the Ministry of Social Welfare for $ 15,141.96 million.
  4. Medical Assistance to the Beneficiaries of Non Contributive Pensions, made by the Ministry of Health for $ 15,610.33 million, made by the Ministry of Health ($ 2,675.66 million) and later executed by the National Agency for Disabled People ($ 12,934.67 million).
  5. Development of Higher Education, by the Ministry of Education, for $ 10,232.92 million.
  6. Transfers made by the ANSES for Unemployment Insurance, for $ 3,980.02 million.
  7. Transfers made by the ANSES in relation to Supplements to Social Services for $ 3,572.62 million.
  8. Employment actions of the Ministry of Labour, Employment and Social Welfare, $ 2,169.97 million.
  9. Program of Lands Planning, made by the Ministry of Social Welfare, for $ 1,517.72 million.
  10. Actions of Labour Training, of the Ministry of Labour, Employment and Social Welfare for $ 1,330.27 million.
  11. Health Insurance – Medicine, of the Ministry of Health for $ 1,143.07 million.
• Transfers to Private Companies: $ 139,553.13 million.

  The following Programs are to be mentioned:

  1. Elaboration and execution of Electricity policies, funds destined to Compañía Administradora del Mercado Mayorista Eléctrico S.A. (CAMMESA) under the Sustainability Measures – Provision of Electricity for $ 103,095.03 million.
  2. Planning and Execution of the Hydrocarbons Policies, for $ 19,593.93 million, mainly for the Promotion of Natural Gas Production – Non conventional gas Plan and Gas Plan I, II and III, for $ 11,402.41 million and Assistance to Gas Distribution Companies for $ 8,191.52 million.
  3. Elaboration and Execution of Road Transport Policies, $ 11,872.41 million, under the Compensation Measures for the Sale of Gas at special prices, destined to YPF S.A. ($ 8,089.42 million), to Shell Compañía Argentina de Petróleo S.A. ($ 2,169.98 million), Pan American Energy LLC. Argentine Branch together with Axion Energy Argentina S.A. ($ 1,235.91 million), among others.
  4. Modernization of the Railroad Transport Net, for $ 3,690.45 million, mainly for Ferrovias S.A., for $ 2,410.72 million, and Metrovías S.A. (ex FFCC General Urquiza) for $ 1,279.74 million, as Compensation for the Cost of Exploitation and Leveling Plan.
  5. Production financing for $ 325.57 million, destined to Small and Medium Sized Companies.
  6. Program of Support to Employment for $ 291.46 million.
  7. Policies for the Rise in Production and Productivity of Agro Industrial chains in a sustainable way for $ 176.59 million, mainly for the Foresting Promotion and Compliance of Law 25,080 ($ 173.91 million).
• Transfers to Non Profit Private Institutions: $ 22,308.12 million, being the most relevant as follows:
  1. Health Insurance Department for $ 9,508.64 million, mainly destined to Financial Assistance to Health Insurance Agents ($ 9,169.42 million).
  2. Ministry of Social Welfare, for a total of $ 3,108.93 million, mainly for the programs “Food Policies” for $ 2,465.63 million, “Social Economy” for $ 386.90 million, “Support to Employment – Programa Hacemos Futuro” for $ 182.66 million, “Lands Programs” for $ 62.60 million, among others.
  3. INTI for $ 1,641.42 million, mainly for the program “Methodology, Development and Innovation of Industrial Processes” for $ 1,316.32 million.
  4. Made by the Ministry of Security for $ 1,606.90 million, mainly for Civil Protection Actions, Emergency Prevention and Early Alert for Disasters for $ 1,603.94 million.
  5. Ministry of Science, Technology and Productive Innovation for $ 1,385.82 million, for the programs of “Promotion and Financing of Science, Technology and Innovation Activities ($ 1,117.29 million), Core Activities ($ 136.37 million), and “Elaboration and Implementation of Science and Technology Policies ($ 132.15 million).
  6. Ministry of Production for $ 1,304.40 million, mainly for Core Activities ($ 1,216.20 million).
  7. Ministry of Education for $ 1,002.26 million, to carry on Teaching Training Activities ($ 425.97 million), Higher Education Development ($ 211.07 million), Education Management and Social and educational Policies ($ 127.69 million), among others.
  8. Transfers granted by the Ministry of Agro Industry for an accrual of $ 629.61 million, mainly for the program “Policies for the Sustainable Improvement of Production and Productivity of Agro industrial chains” for $ 249.49 million, to Core Activities for $ 141.60 million, among others.

Transfers to the Public Sector reached $ 410,411.74 million, mainly formed by:

• Transfers to other entities of the National Public Sector: $ 202,956.27 million. The most important ones of this item: $ 105,489.49 million to Trust Funds and Other Entities of the Non Financial Public Sector, $ 94,412.05 million to Non financial public companies. The following are to be mentioned:
  1. Integración Energética Argentina S.A. (EX ENARSA), $ 51,468.37 million.
  2. Trust Fund for the Transport Infrastructure System for $ 47,316.52 million, for the Program of Road Transport Policies Coordination.
  3. Instituto Nacional de Servicios Sociales para Jubilados y Pensionados,
     $ 41,884.91 million.
  4. Operador Ferroviario Sociedad del Estado: $ 18,725.41 million.
  5. Desarrollo del Capital Humano Ferroviario S.A (Ex Administradora de Recursos Humanos Ferroviarios S.A.), $ 12,037.23 million.
  6. Trust Fund for the Subsidy of Residential Use of Liquid Oil Gas Law 26,020: $ 6,735.07 million, in the Program of Elaboration and Implementation of Hydrocarbons Policies.
  7. Administración Federal de Ingresos Públicos (AFIP), $ 6,263.84 million.
  8. Radio y Televisión Argentina S.E (RTA S.E): $ 3,056.60 million.
  9. Ente Binacional Yacyretá: $ 2,858.80 million.
  10. Yacimientos Carboníferos de Río Turbio, $ 2,377.48 million.
  11. Correo Argentino S.A.: $ 2,229.93 million.
  12. TELAM S.E. for $ 1,175.90 million.
  13. Belgrano Cargas y Logística for $ 972.15 million.
  14. Fábrica Argentina de Aviones Brigadier San Martín (FAdeA), $ 893.71 million.
  15. National Entity of High Performance Sports for $ 825.00 million.
  16. Autoridad de Cuenca Matanza Riachuelo, $ 754.99 million.
  17. Administración de Infraestructuras Ferroviarias S.E.: $ 652.46 million.
• Transfers to National Universities: $ 108,300.16 million, being the most relevant those of the Ministry of Education ($ 108,231.61 million), as follows:
  1. Financial Assistance for the Payment of Teachers and High Authorities salaries: $ 63,464.64 million.
  2. Financial Assistance for the Payment of salaries of other staff: $ 33,742.12 million.
  3. Financial Assistance for the Universities Operations: $ 8,120.21 million.
  4. Financial Assistance to University Hospitals: $ 1,406.37 million.
  5. University Actions for the National and Regional Development (University Fund for Regional Development – FUNDAR): $ 653.56 million.
  6. Promotion to Research Activities of University Professors: $ 650.22 million.
• Transfers to Provincial and Municipal Governments: $ 99,155.31 million. The most relevant are as follows:
  1. Transfers made to the Ministry of Education for $ 30,977.94 million, mainly for the National Fund of Teachers Incentives: $ 23,511.70 million ($7,700.69 million to the Province of Buenos Aires, $ 2,118.63 million to the Autonomous City of Buenos Aires, $ 1,684.83 million to the Province of Santa Fe, $ 1,610.44 million to the Province of Córdoba, $ 1,044.79 million to the Province of Mendoza, $ 909.91 million to the Province of Entre Ríos, and $ 882.68 million to the Province of Chaco, among others. Also, transfers made to the Education Management program for $ 3,021.77 million, and those made to Innovation and Development of Technology Training, for $ 1,880.59 million.
  2. Transfers made by the Department of Treasury Obligations for the Financial Assistance to Provinces and Municipalities for $ 23,109.25 million and under the Nation – Provinces Agreement Law 27,260 for $ 5,388.85 million.
  3. Transfers made by ANSES for Transfers to Provincial Pensioners Funds for $ 19,529.49 million.
  4. Transfers made by the Ministry of Health for $ 9,506.78 million, mainly the activities related to Operation of Garrahan Hospital for $ 4,079.95 million and El Cruce de Florencio Varela for $ 1,826.26 million; for Development of Health Public Insurance (BIRF 8062-AR and 8516-AR) for 1,712.35 million.
  5. Transfers made by the Ministry of Social Welfare for a total amount of $ 3,720.32 million, mainly for those under the programs of “Food Policies” for $ 3,519.50 million.
  6. Transfers made by the Ministry of Domestic Affairs, Public Works and Housing ($ 3,061.54 million), mainly for Assistance to Provinces and Regional Development for $ 3,052.68 million.
  7. Transfers granted by the Ministry of Energy for $ 1,898.66 million, mainly for the programs “Provincial Energy Development” for $ 1,035.52 million and “Elaboration and Execution of Hydro carbons Policies” for $ 861.48 million.

Capital Expenses

Direct Real Investment reached an amount of $ 65,783.50 million. The main execution was for:

• National Roads Department, $ 36,125.93 million, mainly destined as follows:
  1. Construction and Net Maintenance Activities of the Integral Management System, with $ 11,591.67 million. This is mainly for contracts of enhancement and maintenance of roads basis (CREMA).
  2. Construction of Highways and Roads, under the National Roads Plan – Phase I, for the Enhancement of the Federal Highways Net, with an execution of $ 7,099.41 million, mainly for Autopista Camino del Buen Ayre with $ 1,364.37 million, Autopista Ruta Nacional N° 8 Pilar – Pergamino, with $ 1,140.08 million, Autopista Nacional N° 7 Luján – Junín with $ 1,134.11 million, among others.
  3. Implementation of Net Maintenance and Enhancement Tasks, which accrued $ 6,960.59 million, mainly for the subprograms for Maintenance and Administration and Emergency Assistance for $ 4,343.18 million.
  4. Pavement improvement tasks of National Road, with an execution of $ 4,929.02 million.
  5. Building of New Roads and Pavement improvement tasks for $ 1,818.53 million, mainly for tasks executed in National Road 23 for $ 816.21 million and National Road 40 Neuquén/Mendoza – Pareditas, for $ 753.81 million.
  6. Execution of Tasks, Operation and Maintenance of Road Corridors for $ 1,738.58 million.
  7. Construction of Roads out of the National Roads Net for $ 901.46 million, mainly for tasks under agreements with provinces for an accrued amount of $ 570.80 million.

Others to be mentioned:

• Ministry of Transport: $ 6,663.33 million, with expenses mainly destined to the programs “Infrastructure of Transport tasks” for $ 3,527.60 million and “Enhancement of the Railroad Transport Net” for $ 2,607.52 million, mainly for Enhancement tasks of Roca Line $ 1,959.53 million and Belgrano Sur $ 647.97 million.
• Ministry of Education : $ 3,995.32 million, mostly for the Implementation of the National Plan of Digital Education for $ 2,193.40 million and Building Enhancement of Kinder gardens for $ 1,571.38 million.
• Ministry of Security: $ 2,289.53 million, mainly for “Special Projects for Public Security” for $ 1,589.69 million.
• Ministry of Energy: $ 1,758.97 million, mainly for Elaboration and execution of Hydro carbons policies for $ 1,739.68 million.
• National Committee of Space Activities: $ 1,692.04 million, mainly for the program of Complete Space Information Cycles for $ 1,577.68 million.
• National Entity of Waters Improvement Works: $ 1,595.62 million for the program: “Technical-Financial Assistance and Development of Infrastructure for Waters Cleaning”.
• National Committee of Atomic Energy, $ 1,534.52 million, mainly for the program for the Development and Provision of Nuclear Energy for $ 1,163.91 million.
• National Administration of Social Welfare, $ 855.59 million for core activities.
• Ministry of Domestic Affairs, Public Work and Housing: $ 853.14 million, mainly for “Elaboration, Planning, Execution and Control of Public Work” for $ 665.12 million and “Waters Resources” for $ 163.68 million.
• General Staff Office of the Army, $ 790.09 million for the program of “Operational Training” for $ 606.81 million.
• Ministry of Health: $ 724.55 million, mainly for the programs “Public Health Core Purposes” (BIRF 7993 – AR)” for $ 483.93 million and “Support to the Development of Medical Assistance” for $168.84 million, among others.
• Ministry of Environment and Sustainability: $ 588.06 million, mainly for the programs “Sustainable development of Cuenca Matanza – Riachuelo” for $ 254.05 million and “Coordination of Environmental Policies” for $ 177.85 million.
• Ministry of Science, Technology and Productive Innovation, $ 523.07 million, mainly for the programs of Elaboration and Implementation of the Science and Technology Policy for $ 318.70 million, and Promotion and Financing of Science, Technology and Innovation Activities for $ 196.84 million.
• National Migrations Department, $ 426.53 million destined to Border Control, Entrance and Stay of Individuals within the National Territory.

Capital Transfers reached an amount of $ 104,939.36 million. The most important ones are those to the Public Sector, for $ 101,729.73 million, and to the Private Sector for $ 3,155.38 million, and those for the External Sector reached $ 54.25 million.

Transfers to the Public Sector: the following to be noted:

• Other Entities of the National Public Sector: $ 44,473.63 million, mainly for several Financial Assistance Programs. Also to be mentioned, to transfers to the following public companies and other entities:
  1. AYSA S.A., $ 14,894.62 million ($ 2,724.07 million for the Sustainable Development of Cuenca Matanza – Riachuelo -BIRF N° 7706-AC-).
  2. Trust Fund for the Credit Program for Single Housing (PROCREAR) for $ 9,000.00, under the Housing and Urban Development Tasks.
  3. Nucleoeléctrica Argentina S.A., $ 7,290.36 million.
  4. Administración de Infraestructuras Ferroviarias S.E. for $ 5,710.70 million.
  5. Trust Fund for Social Housing for $ 1,782.80 million for Housing and Urban Development Tasks.
  6. Belgrano Cargas y Logística, $ 1,463.28 million.
  7. Integración Energética Argentina S.A (ex ENARSA), $ 1,238.25 million.
  8. Correo Argentino S.A., $ 473.00 million.
  9. Autoridad de Cuenca Matanza Riachuelo, 439.60 million.
  10. Operador Ferroviario S.E., $ 434.63 million.
  11. Trust Fund for the Federal Electricity Tranport, $ 394.10 million, under the Tasks for the Enhancement of High Tension Electricity Nets.
  12. DIOXITEK S.A., $ 300.00 million.
• Provincial Governments: $ 44,186.30 million. To be mentioned:
  1. Transfers granted by the Ministry of Domestic Affairs, Public Work and Housing for a total amount of $ 24,013.67 million, mostly for the following (names of the programs have been kept in Spanish): Acciones de Vivienda y Desarrollo Urbano for $ 9.914,08 million, Acciones del Programa “Hábitat Nación” for $ 5.312,01 million, Recursos Hídricos for $ 3.160,85 million, Formulación, Programación, Ejecución y Control de Obras Públicas for $ 755.61 million, Apoyo para el Desarrollo de la Infraestructura Educativa for $ 569.22 million, among others.
  2. National Roads Department for $ 5,007.76 million, mainly for the program “Construcciones de Obra fuera de la Red Vial Nacional”.
  3. Ministry of Education for $ 4,475.86 million, mainly for the program “Infrastructure and Equipment” for $ 2,273.22 million, and “Innovation and Development of Technology” for $ 1,736.48 million.
  4. Department of Obligations of the Treasury for the Financial Assistance to Provinces and Municipalities for $ 3,281.24 million.
  5. National Entity of Waters Cleaning Tasks for a total of $ 2,076.59 million, for the Technical and Financial Assistance and Development of Cleaning Infrastructure.
  6. The Ministry of Energy for a total of $ 1,964.74 million, mainly for the programs “Provincial Energy Development” with $ 1,785.86 million and “Elaboration and Execution of Electricity Policies” with $ 139.74 million, among others.
  7. The Ministry of Transport with a total of $ 1,739.29 million for the Infrastructure of Transport Works, especially for the support to construction of railroad crossings in municipalities.
• Municipal Governments: $ 11,749.65 million, mainly as follows:
  1. The Ministry of Domestic Affairs, Public Work and Housing accrued $ 10,022.23 million, mainly for the following programs (in Spanish):Acciones del Programa Hábitat Nación ($ 5.542,13 million), Acciones de Vivienda y Desarrollo Urbano ($ 2.130,18 million), Apoyo para el Desarrollo de Infraestructura Urbana Municipal ($ 1.421,32 million), among others.
  2. The Ministry of Energy for $ 400.37 million, mainly under the programs “Actions for the Efficient Use of Energy” for $ 213.92 million and “Elaboration and Execution of Electricity Policies”, for $ 163.87 million.
  3. The Ministry of Transport accrued $ 329.32 million for the Infrastructure of Transport Works.
• National Universities: $ 1,039.17 million, mainly by the Ministry of Education for $ 563.99 million, under the programs of Development of Higher Education for $ 304.46 million and of Infrastructure and Equipment for $ 257.34 million, by the Ministry of Domestic Affairs, Public Work and Housing ($ 395.95 million), under the program “Support to the Development of Education Infrastructure” (BID N° 1966/OC-2, BID N° 2424/OC-AR, BID N° 2940/OC-AR), among others.
• Provincial Teaching Institutions: $ 251.76 million made by the Ministry of Education, being the most important ones under the program “Infrastructure and Equipment” for $ 189.92 million.

Within Transfers to the Private Sector, for $ 3,155.38 million, the following are noted:

• Private Companies: $ 2,103.00million, being the most relevant the ones made by the Ministry of Energy ($ 1,678.34 million) destined to: Actions for the Enhancement of the High Tension Network for $ 1,280.14 million and Elaboration and Execution of Electricity Policies for $ 398.19 million and
• To Non Profit Private Institutions: $ 1,048.69 million, mainly those granted by the National Institute of Industrial Technology, for $ 368.68 million, the National Council of Scientific and Technical Research, for $ 312.26 million, among others.

Financial Investment was of $ 16,389.20 million. The most relevant items are:

• Capital Contributions and Purchase of Shares: for $ 16,163.04 million. To be mentioned as follows: (names kept in Spanish)
  1. Aerolíneas Argentinas S.A. for $ 6,383.80 million.
  2. Corporación Andina de Fomento (CAF) for $ 3,460.54 million.
  3. Corporación Interamericana de Inversiones (CII) for $ 1,816.01 million.
  4. Austral Líneas Aéreas – Cielos del Sur S.A. for $ 1,580.00 million.
  5. Asociación Internacional de Fomento for $ 1,110.97 million.
  6. Fondo Financiero para el Desarrollo de la Cuenca del Plata (FONPLATA), for $ 887.14 million.
  7. Banco Interamericano de Reconstrucción y Fomento (BIRF), $ 813.06 million.
• Concession of Long Term Loans for $ 209.91 million. To be mentioned those made by the Ministry of Science, Technology and Productive Innovation under the Promotion and Support to Technological Innovation for $ 150.00 million.

Analysis by Purpose of the Expenses

- in million $ -

Social Services is the item having more relative incidence with 60.90% of the current expenses and the total capital. The most important one was Social Welfare with $ 1,538,345.70 million related to pensions, family allowances, unemployment insurance, etc., followed by Education and Culture with $ 191,481.30 million.

Public Debt Services (interest and payments) reach a total amount of $ 554,166.58 million, a 16.80% of total expenses.

Economic Services explains a 12.83% of the expenses executed by the National Administration. It is to mention the item “Energy, Fuels and Mining” with $ 206,978.91 million, representing the 48.92% of this purpose. In the second place is “Transport” which reaches $ 172,620.15 million, being the 40.80% of the total amount.

Governmental Administration reached a 4.85% of the total expenses, with $ 160,045.53 million. Within this total, the most important ones are: Judiciary with $ 54,701.31 million and Domestic Affairs with an accrual of $ 49,845.42 million. There follows “Foreign Relations” with $ 20,227.85 million, “Legislature” with $ 16,291.08 million and “High Executive Office” with $ 11,915.20 million. With less influence, Control of the Public Management with $ 2,874.07 million, Fiscal Administration with expenses for $ 2,228.38 million and Information and Basic Statistics with $ 1,962.22 million.

Defense and Security Services , with $ 152,505.66 million, explains a 4.62% of the total expenses. Within the most important ones we can mention the programs destined to Domestic Security for $ 74,748.84 million and those of Defense with $ 59,088.43 million).

Analysis of the Budget Execution of Financial Applications

There follows a detail of the execution of the Financial Sources.

- in million $ -

The item Decrease of Financial Investment reaches $ 280,859.31 million, and represents a 8.57 % of the financial sources. The following are to be noted:

• “Decrease of Other Financial Assets”, $ 218,456.83 million, mainly composed of:
  1. Decrease of Other Accounts Collectible, mainly due to the cancellation of REPO operations for $ 102,341.74 million, of BONAR 2024. Also, agreements for the cancellation of debt with the provinces under Decree 660/10 for $ 28,108.83 million, Reimbursements to Provinces (Debt Service Bonds) for $ 17,394.93 million, Cancellation of Mutual Debt with the Provinces – Law 27,429 of Fiscal Agreement – for $ 9,311.87 million, implemented through BONAR 2028, and other decrease for $ 4,696.64 million, mainly for the agreement between the Ministry of Finance and the National Institute of Social Welfare for Retired People – INSSJP – PAMI – ATN granted in favor of the National Treasury Office, through rescue of Loans by the IDB and BIRF.
  2. Decrease of other short term documents collectible and commercial documents for $ 20,000.00 million, formed by the Ministry of Domestic Affairs and Public Work in favor of the National Treasury Office during fiscal year 2017 to return the free financial application, under Decree 1,105/17.
  3. Sale of Bills and Bonds for $ 33,402.17 million, by ANSES for $ 33,075.00 and Service, Return and CER of Amortization for the coupon of Guaranteed Bonds (BOGAR 2018) $ 327.12 million.
• Decrease of Term Investment: $ 21,241.42 million, by the ANSES.

The item Public Debt and Increase of Other Liabilities, $ 3,542,025.69 million, reaches a 92.07% of the total financial sources. We should mention the following:

• “Public Debt and Loans”, $ 2,858,964.58 million, formed by:
  1. Collocation of long-term debt in foreign currency, $ 976,482.29 million; mainly for:
     1. Collocation of Treasury Bills for $ 500,029.80 million, mainly for LECAP and CER-LETES.
     2. Collocation of Bonds for $ 476,452.49 million. Mainly BOTE 2021 ($ 118.924,08 million), BONAR 2028 ($ 89.747,54 million) under the Fiscal Agreement, BONAR 2019 ($ 70.480,98 million), BONTE 2023 ($ 36.871,65 million), BONTE 2026 ($ 36.377,78 million), BONCER 2022 ($ 33.964,27 million) destined to FGS, BOGATO 2020 ($ 30.000,00), BONCER 2025 ($ 29.097,80 million), BONCER 2023 ($ 28.292,49 million), among others.
  2. Collocation of long term debt in foreign currency, $ 842,937.45 million, mainly for:
     1. Treasury Bills for $ 400,052.13 million, mainly for discount Bonds in dollars – LETES.
     2. Bonds in dollars for $ 442,885.32 million, mainly for BONAR 2020 ($ 81,698.18 million subscribed by FGS, BONAR 2025 ($ 80,995.68 million), BIRAD 2028 ($ 79,567.26 million), BIRAD 2048 ($ 56,165.10 million), BONAR dual 2019 ($ 55,426.60 million), BIRAD 2023 ($ 32,762.96 million) and BONAR 2024 ($ 11,809.46 million).
  3. Long-term loans granted, $ 1,039,544.82 million, mainly composed by loans received from the External Sector, mainly granted by the IMF for $ 911,787.71 million under the Stand-By Agreement for the Strengthening of Reserve, IDB ($ 47,026.10 million), the World Bank – BIRF - ($ 40,328.14 million), CAF ($ 24,641.32 million), China Dev. Bank Corp ($ 6,775.66 million), Eximbank China ($ 4,007.31 million), Banco Europeo de Inversiones – BEI – ($ 2,818.98 million), FONPLATA ($ 1,466.95 million), among others.
• “Other Liabilities”, $ 493,876.62 million, mainly for advance payments from the Central Bank of ($ 455,230.00 million) and an increase in other documents payable at a short term of funds by a free financial application in favor of the National Treasury Office made for the Ministry of Domestic Affairs, Public Work and Housing for $ 34,300.00 million, by the National Insurance Department for $ 2,000.00 million and by the National Communications Entity ENACOM for $ 2,000.00 million (Decree 1,053/18).
• “Enforceable Debt” for $ 189,184.50 million from the total expenses accrued during 2018 which were not cancelled at closing of fiscal year.

Analysis of the Budget Execution of Financial Applications

- in million $ -

Financial Investment is mainly explained by the item “ Cash, Banks and other Term Investment” for $ 790,884.67 million, followed by “Other Financial Assets” for $ 414,353.89 million, mainly formed by the following items:

• Increase of long term accounts collectible, $ 270,648.24 million, mainly for Issuance of BONAR 2024, under the Framework Agreements of Public Debt Rescue for a total amount of $ 98,525.07 million; for Compensations to Provinces – Fiscal Agreement Law 27,429 for $ 89,747.54 million, by the FGS and the ANSES for Loans to the Integrated Pensions System for $ 19,895.47 million and to Provinces under Law 27.260 of Historic Compensation to Pensioners ($ 16,506.45 million); for Financial Assistance Agreements granted to several provinces ($ 15,000.00 million), for Sustainability Actions related to the Supply of Electricity under the Ministry of Energy for $ 6,000.00 million; for the Development of Parque Fotovoltaico Cauchari (bilateral), under the Ministry of Domestic Affairs for $ 4,277.38 million, for Financial Applications for the Trust Fund of Federal Regional Infrastructure for ·$ 3,000.00 million and the I.N.S.S.J.P. for $ 3,152.47 million; the Long and Medium Term Financing Strengthening Program for $ 2,818.94 million, for the Access to Longer Term Financing for Small and Medium Sized Companies (BIRF 8659) for $ 1,055.60 million, for the Promotion of the Guarantee System for $ 1,000.00 million, among others.
• Purchase of Bills and Bonds, $ 55,941.09 million ($45,416.52 million in domestic currency and $ 10,524.56 million in foreign currency). Composed of funds purchased by the FGS.
• Increase of advance payments to suppliers and contractors, $ 49,464.57 million, mainly composed by the following:
  1. Infrastructure of Transport Works, executed by the Ministry of Transport for $ 24,983.47 million, including (kept in Spanish):

     Mejora del Transporte en el Área Metropolitana – Autopista del Bicentenario – Paseo del Bajo (CAF N° 9710) por $ 7.759,26 millones, el Soterramiento del Ferrocarril Sarmiento por $ 6.000,00 millones, la Renovación de Vías y Corredor del Ferrocarril General Belgrano Cargas por $ 4.302,94 millones, la Mejora Integral del Ferrocarril General Roca – Ramal Constitución – La Plata (BID N° 2982/OC-AR) por $ 2.627,94 millones, la Rehabilitación del Ferrocarril Belgrano Cargas (CDB s/n) por $ 2.472,72 millones, la Recuperación y Mantenimiento del Ferrocarril General Belgrano (CAF 7351) por $ 1.135,00 millones, entro otros.

  2. Highways and Roads for $ 10,336.48 million, executed by the National Roads Department, mainly the National Road 19 San Francisco – Córdoba (IDB 3836 OC-AR) for $ 2,706.12 million, National Road 8 Pilar-Pergamino ($ 2,253.93 million), Highway Camino del Buen Ayre ($ 1,539.54 million), National Road 7 Luján – Junín ($ 1,309.53 million), among others.
  3. Elaboration and Execution of an Electricity Policy for the Hydro electrical exploitation of Río Santa Cruz, Cóndor Cliff – La Barrancosa (CDB 201401) for $ 6,391.49 million.
  4. Operation and Maintenance Works of Road Corridors made by the National Roads Department for $ 4,637.09 million.
  5. Operations of the Air Force for $ 1,023.45 million, mainly for the Recovery of Air Material.
  6. Low Power Reactor CAREM Phase II, for $ 1,016.74 million, of the National Committee of Atomic Energy.
• Increase of other short term documents collectible, $ 38,300.00 million. This is for free Financial Applications in favor of the National Treasury made by the Ministry of Domestic Affairs ($ 34,300.00 million), the National Insurance Department ($ 2,000.00 million) and by the National Communications Entity ENACOM ($ 2,000.00 million) – Decree 1,053/18.

Increase of Term Financial Investment, for $ 62,650.00 million executed by the ANSES, mainly for $ 61,150.00 million by the FGS, for the Historic Compensation of Pensions Debt for $ 1,000.00 million and Financial Applications for $ 500.00 million.

Debt Amortization and Decrease of Other Liabilities has a total amount of $ 1,756,159.67 million, and we should mention the Public Debt and Loans with $ 1,295,148.50 million, which reached an execution level of 97.14%. The same include the following main concepts:

• Amortization of long term debt in foreign currency, $ 809,348.50 million. The following amortizations are noted: rescue at due date of BONAD 2018 and due dates of Treasury Bills issued by public bid and in favor of CMEA, among others.
• Amortization of long term debt in domestic currency for $ 361,183.23 million. The most relevant ones were the National Treasury Bills issued in favor of the ANSES, FGS and CAMMESA, the Province of Buenos Aires, FFDP, FFRE and those issued by Public Bid, and the cancellation of 2BONTE 2018”, “BONAR 2018” and “BONAR 2028”, among others.
• Amortization of long term loans, for $ 91,682.50 million, mainly for the restructuring of the debt held with Club de París – Ronda VI-, as well as the amortization of Loans to the National Roads Department.
• Cancellation of non financial debt in domestic currency, for $ 32,934.28 million, mainly referred to the amortization of the debt of ANSES ($28,131.19 million), the Institute of Financial Assistance for the Payment of Military Pensions ($2,059.17 million), and the Institute of Financial Assistance for the Payment of Pensions to the Federal Police ($ 1,215.00 million) and the Public Debt Service ($1,120.23 million), among others.

On the other hand, the item “ Decrease of Other Liabilities” shows an execution of $ 461,011.17 million, which can be mainly explained by the following:

• Reimbursement of Advance payments of the Central Bank of the Argentine Republic: $ 424,730.00 million.
• Decrease of other long term accounts payable, $ 16,281.17 million. This is mainly for payments made by the National Treasury for Financial Assistance to Public Companies and Other Entities of the Energy, Fuels and Mining Areas, and those made under the Federal Program of Debt payment to the Argentine provinces (Decree 660/2010).
• Decrease of other short term documents payable, $ 20,000.00 million, for the reimbursement of the free financial application made by the former Ministry of Domestic Affairs in favor of the National Treasury by the issuance of a promissory note – Decree 1,105/17.

CONTRAST 2018-2017

In order to allow for a better evaluation of the budget execution of the National Administration at closing of fiscal year 2018, there follow a group of tables and contrast comments in relation to the fiscal year 2017.

Revenue

In relation to the previous fiscal year, Total Revenue has increased for $ 537,838.70 million (27.62%). This evolution is mainly due to an increase of Social Security Contributions and Tax Revenue.

- in million $ -

The increase of Tax Revenue (27.10%) is mainly explained by the following concepts:

• Value Added Tax (IVA in Spanish): shows an increase of $ 138,990.20 million (41.32%).
• Bank Accounts Debit and Credit Tax: it shows an increase of $ 95,054.45 million (69.11%).
• Foreign Trade: shows an increase of $ 62,261.19 million in relation to the previous fiscal year (47.03%). The most relevant item is the increase of imports fees for $ 33,456.37 million and exports fees for $ 28,026.46 million.
• Income Tax: shows an improvement of $ 5,721.18 million (2.16%) coming from an increase of withdrawals and advance payments of companies, as well as withdrawals over salaries. Also, this increase was compensated by the minimum amount payable for salaries under the fourth category.
• Liquid Oil Tax: shows an increase of $ 1,687.78 million (4.29%).

During fiscal year 2017 revenue collected by the special tax under the Fiscal Transparency Regime Law 27.260 had an incidence for $ 44,810.65 million, as a difference to the current one.

The favorable evolution of Contributions to Social Security (24.24%) is mainly due to the increase of taxable salaries.

The increase of Return on Property (37.02 %) for a total amount of $ 74,489.31 million, was mainly due to funds from the FGS administered by the ANSES, interest of deposits made in domestic currency - mainly term deposits – by the Treasury Office, interest for Bills, Bonds and Deposits of the Exceptional Regularization regime of tax obligations, of the social welfare and customs under Law 27.260, and return of the Central Bank of Argentina.

Expenses

Total expenses for fiscal year 2018 were higher than those accumulated at closing of fiscal year 2017 for $ 734,974.91 million (28.67 %). The rise of the primary expenses accrued was of $ 508,122.64 million (22.60%) and the debt interest was higher for $ 226,852.27 million (71.96%).

- in million $ -

There follows a detail of the items with higher variations:

• Wages and salaries: there was an increase of 59,040.43 million (21.69%) in relation to the previous fiscal year. It is distributed among the different powers, mainly with the rise of the Public Ministry (29.93%), the Judiciary Branch (27.94%), the National Executive Branch (20.59%) and the Legislative Branch (20.47%). The variations are due to the rise in salaries granted through the different systems. To be mentioned as follows:
  1. Within the National Executive Power ($ 44,881.72 million), the rise is due to the increase of the salaries set by Decree 584/18 which includes several progressive rises during 2018 of 3% in June, 3% in Augusta and 6% in September to the payment of permanent and temporary staff under the Collective Agreement of the National Public Administration, as well as the staff under the Labor Collective Conventions (Law 14,250) and the Staff of the Armed Forces and Security. The difference between the accumulated salary rise during the year and the rise in salary amount, is due to the “Trigger Clause” and “Stimulus for perfect attendance” and the payment of fixed amounts of $2,000 paid with the salary of October 2018 and $5,000 paid with the salary of December 2018. Due to their relative importance and higher general average, the most relevant rises are those of the Ministry of Foreign Affairs (50.58%), the General Staff Office of the Navy (27.57%), the Federal Penitentiary Service (25.93%), the General Staff Office of the Air Force (23.07%), the Gendarmerie (22.60%) and the General Staff Office of the Army (21.75%).
  2. In the Judiciary Branch ($ 7,898.77 million) we should mention the payments within the Magistrates Council (28.22%) and the Supreme Court of Justice (26.05%).
  3. For the Legislative Branch ($ 3,232.66 million), we should note the variations in the National Senate (22.34%) and the Deputies Chamber (17.47%).
  4. The Public Ministry ($ 3,027.28 million), had greater payments to the Procurement Office (29.54%) and the National Attorney`s Office (30.66%).
• Goods and Services: Registered an increase of $ 11,971.70 million (13.17%), being the most relevant concepts as follows:
  1. Programs held by the Ministry of Health, mainly for “Prevention and Control of immune disease” ($3,020.42 million), and Provision and Control of Vaccine.
  2. Interest and commissions of the Public Debt Service for $ 2,646.03 million, mainly for the expenses of the Stand-by Agreement with the International Monetary Fund and loan operations from China for infrastructure work. Also, reductions in the assistance of claims and negotiations derived from the arbitration of CIADI.
  3. Programs promoted by the Ministry of Social Welfare, mainly for Food Policies for $ 1,292.82 million.
  4. Program of Registration and classifying of Potential Human Resources for $ 752.81 million, for the Issuance of National Identity Documents by the National People´s Filing Office.
  5. Training of Human Resources and Science and Technology Promotion for $ 695.73 million in the CONICET.
  6. Core Activities of the ANSES for $ 634.42 million, mainly for Granting and Management of Social Welfare Services ($ 618.14 million).
  7. Programs of the General Staff Office of the Navy for $ 486.62 million, mainly for the Operations of Core Activities.
  8. Programs undertaken by the General Staff Office of the Army for $ 448.72 million, mainly for Sanitary Assistance and Training.
  9. Expenses accrued by the INDEC for $ 423.09 million, mainly for the Agro Census.
  10. Control of Incoming and Leaving people, Admission and Stay of people within the National Territory for $ 421.69 million, under the National Migrations Department.
  11. Information and Intelligence for $ 419.87 million, made by the Federal Intelligence Agency.
  12. Expenses made by the Ministry of Justice and Human Rights for $ 416.62 million mainly for the Programs of Policies and Infrastructure for the Penitentiary Service and Enhancement of Justice as a value.
  13. Issuance of Legislation for $406.40 million, made by the Deputies Chamber.
  14. Core Activities of the Ministry of Security for $ 404.01 million, mainly for Administrative Coordination.

  Also, we should mention there were inter annual reductions of the following;

  1. Development of the Democratic System and Relationship with the Community for $ 2,791.71 million, made by the Ministry of Domestic Affairs for the legislative elections during fiscal year 2017.
  2. Press and Promotion of Governmental Tasks for $ 1,766.45 million, undertaken by the General Administration Department of the Chief of Ministers Office.
• Interest: the increase of $ 226,852.27 million can be explained by the service of the debt related to public bonds operations of BIRAD, BOTE, BONCER, PAR, Discount and BOTAPO, as well as those related to the debt restructuring with the Paris Club, those derived from foreign loans and collactions below par of Public Bonds.
• Social Security Services: there is an increase of $ 280,125.36 million (27.63%). This increase is due to the enforcement of the policy of rise of pensions which has an impact on the beneficiaries of the Argentine Integrated Pensions System (SIPA), Subsidies and Honorific Subsidies for Veterans of the South Atlantic War. Also, new beneficiaries were incorporated to the Regularization Regime under Law 26.970 and the implementation of Law 27.260 of Historic Compensation. As for pensions and retirement of the armed and security forces, there were rises ruled in 2017 and 2018.
• Current Transfers: there was an increase of $ 168,284.07 million (25.01%). There follows a detail of the main items:
• To the Private Sector: there was an increase of $ 84,456.26 million (24.54%). The most important transfers were:
  1. Family Units, with an increase of $ 62,788.59 million, mainly due to the increase in Family Benefits ($ 45,390.36 million), Community Productive Projects, Development of Higher Education, Supplements to Social Welfare, Medical Assistance to Beneficiaries of non-contributive pensions, Health Insurance and Medicine. Also, there was a reduction of transfers to the Program of Support to Students PROGRESAR and Territories Help.
  2. To Private Companies, with a variation of $ 22,038.12 million, mainly for the Formulation and Execution of Electric Energy Policies, destined to Compañía Administradora del Mercado Mayorista Eléctrico (CAMMESA), with $ 27,494.96 million, and the Planning and Strategic Coordination of the Road Transport Policies of $ 3,796.59 million, and the Modernization of Railroad Nets for $ 780.48 million. Also, transfers were reduced for Planning and Strategic Coordination of the National Investment Plan of Hydro carbons – lowered by the Execution Program of Hydro carbon Policies, destined to the Program “Estímulo a la Inyección de Excednete de Gas Natural (Plan Gas), tranfers to the Aero commercial Transport Execution Policies Program for $ 3,000.00 million destined to Austral Lineas Aéreas – Cielos del Sur ($ 430.00 million) and Aerolíneas Argentinas S.A. ($ 2,570.00 million), which as from 2018 show said companies as capital contributions, under article 17 of Law 27,431 of National Budget and Financial Assistance to Economic Sectors with a reduction of $ 1,377.60 million, destined to the support of Private Energy Operators.
• To the Public Sector: there was an increase of $ 84,338.77 million (25.86%). The most important transfers were:
  1. Non-Financial Public Companies, $ 49,480.40 million, the increase is due to the payments of the former company ENARSA for $ 38,908.80 million and the Operador Ferroviario S.E. for $ 14,579.10 million. They are partially compensated by lower transfers to Administradora de Recursos Humanos Ferroviarios S.A. with $ 5,863.59 million, among others.
  2. National Universities, $ 21,303.19 million, mainly for the program of Higher Education Development.
  3. Trust Funds and Other Non Financial Entities of the Public Sector, $ 20,006.27 million. Mostly those destined to the Trust Fund of the Transport Infrastructure (FFSIT) for $ 10,193.77 million and transfers made to the INSSJP that had an increase of $ 9,418.25 million.
  4. Provinces and Municipalities, $ 6,209.66 million. Said reduction is due to Financial Assistance to Provinces and Municipalities with a decrease of $ 17,778.27 million made by the Obligations of the Treasury Office and the Ministry of Domestic Affairs for the Program of Relationship with the Provinces and Regional Development with a decrease of $ 4,522.31 million. Also, there was a rise of Transfers and Contributions to Social Welfare and Decentralized Bodies by the ANSES for $ 8,684.46 million, transfers under the Nation-Provinces Agreement Law 27,260 for $ 3,637.63 million and Transfers made by the Ministry of Health for $ 2,753.59 million.

Capital Expenses showed inter annual decrease of $ 11,440.78 million (-5.76%), and there follows a detail of the main movements.

• Transfers of Capital: there was a decrease of $ 21,449.85 million (-16.97%), and there follows a detail of the main items.
1. Transfers to Provinces and Municipalities, shows a decrease of $ 22,176.81 million (-28.29%), mainly for the reduction of transfers made by the Obligations of the Treasury Office destined to the Federal Solidary Fund for $ 23,968.09 million. Also, the following decrease can be mentioned:
1. Implementation of the National Digital Education Plan (-$1,792.93 million) under the Ministry of Education due to a change in the purchase method of the computers which helped save those amounts.
2. Coordination of Road Transport Policies, executed by the Ministry of Transport (-$ 1,494.20 million).
3. Elaboration, Programming, Execution and Control of Public Work (-$1,216.49 million) under the Ministry of Domestic Affairs.
4. Housing and Urban Development Activities, under the Ministry of Domestic Affairs (-$980.34 million).
5. Road Works not included in the National Roads Network (-$912.55 million).

Also, we should mention the rise in transfers to the following programs of the Ministry of Domestic Affairs: Relationships with the Provinces and provincial development ($ 3,582.85 million), Urban Infrastructure ($ 2,336.79 million), Support to the Municipal Urban Infrastructure Development ($ 1,509.79 million), Transfers made by the Obligations of the Treasury Office for Financial Assistance to Provinces and Municipalities ($ 1,139.52 million) and those made by the National Entity of Waters Cleaning for the Technical and Financial Assistance of Cleaning Infrastructure for $ 1,044.86 million.

• Others, mainly the following:
1. To Trust Funds and Other Non Financial Public Sector Entities, $ 5,217.58 million. We should mention the increase in moneys transferred to the Housing and Urban Development Tasks ($ 8,782.80 million) by the Ministry of Domestic Affairs and the reduction in the tasks for the Enhancement of the High Tension Electricity Nets (-$ 2,405.90 million) by the Ministry of Energy.
2. To National Universities: showed a decrease of $ 1,049.61 million.
3. Transfers to non financial public companies: showed a decrease of $ 2,122.40 million, mainly related to the decrease of those to Empresa Integración Energética Argentina S.A. (ex ENARSA) for $ 3,439.21 million, Operador Ferroviario S.E. for $ 1,937.49 million and DIOXITEC S.A. for $ 448.17 million; and also by the increase to AySA S.A. for $ 2,452.22 million, to Administración de Infraestructuras Ferroviarias S.E. for $ 1,937.49 million and of Belgrano Cargas y Logística for $ 545.38 million.
• Direct Real Investment, showed an increase of $ 6,333.03 million (10.65%). For this item, the increase of the Programs of the National Roads Department for the execution of road tasks for $ 6,138.04 million.
• Financial Investment, there was an increase of $ 3,676.05 million (28.92%). This was due to the increase in the capital contributions made by Aerolíneas Argentinas S.A. and Austral Líneas Aéreas – Cielos del Sur S.A. under article 7 of Law 27,431 of Budget for fiscal year 2018 and the capital contributions made to the External Sector (Corporación Andina de Fomento, Asociación Interamericana de Inversiones, Banco Interamericano de Reconstrucción y Fomento –BIRF-, FONPLATA).