Another Saturday action in support of Furgal has begun in Khabarovsk :: Society :: RBC

The city administration reported that “about 300” people took part in the action. The media reported that the participants changed the route of the march due to the falling snow

Photo: Vitaly Ankov / RIA Novosti

Residents of Khabarovsk went to the next Saturday protest in support of the former governor of the Khabarovsk Territory Sergei Furgal, reports the portal DVHab.

The rally participants gathered in the central Lenin Square and then marched along the central streets. As the newspaper reports, they chant “The choice of the people must be respected” and “Khabarovsk, come out”, some are holding the flags of the region and photos of Furgal.

The day before, snow fell in the city. The portal reports that because of the slippery streets, the protesters changed their traditional route along the central streets: they refused to go down Turgenev Street because of the steep slope, turned around on Komsomolskaya Square and moved in the opposite direction along Muravyov-Amursky Street. Usually residents walked down Turgenev Street from the highest point – Komsomolskaya Square – to the ascent to Glory Square, and then crossed to Lenin Street.

According to DVHab, several hundred people are taking part in the action. The Khabarovskaya administration, in turn, estimated the number of participants as “about 300”. The press service of the administration reported that because of the cyclone, the number of participants in Saturday’s actions has decreased and “half as many” people went to the central square of the city than last weekend. Then the city hall reported about 500 protesters.

The lawyer announced the need to provide medical assistance to Furgalu

Sergey Furgal

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The Central Bank defines today a new rate adjustment

Central sources told this newspaper that today’s meeting will take several hours. Given the rumors of an eventual adjustment of the rate of passes to one day from 30 to 33% and those of 7 days from 33 to 36%, official sources assured that “there is no firm decision yet.” However, another person with knowledge of the discussions did not rule out its occurrence, because it follows the path of “harmonization” described.

What do analysts and consultants think about a new rate hike to calm the exchange rate front? Most are skeptical of the effectiveness. “I hope they go up and not harmonize,” came to slip an important analyst from the City.

Julia Segoviano, an economist at LCG, considered that “certain contradictions” between the measures promoted by the BCRA and the Economy do not help. “As long as that situation lasts, and if we add that the mood is very different from what it was before the September 15 measures, I don’t think the rate can pull anything. As an instrument I see it quite weak, ”said Segoviano. The same analysis shares Federico Furiase, director of Eco Go: “We are in a feedback mechanism of devaluation / inflation expectations in the face of fiscal / monetary imbalances and the course of economic policy, with which today there is no rate increase that scope”.

“The only way out,” explains Furiase, “is for the Government to achieve a” controlled “devaluation, within the framework of a stabilization program with the IMF that includes faster fiscal consolidation and a greater buffer of reserves in the BCRA at the start. to anchor expectations after the exchange shock and take advantage of the nominal shock to liquefy part of public spending ”. “Only in this context of accommodation of the exchange rate and greater cushion in the reserves of the BCRA, the increase in the rate could help to stabilize the run,” he explained.

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Dollar today: how much it closed this Tuesday, October 13

Still amid multiple versions, lhe crisis of confidence in the financial market was once again focused on exchange rate tensions, in the face of a greater demand for coverage, with operators waiting for eventual next measures that try to reduce the adverse dynamics due to associated risks (fiscal and monetary imbalance).

Against this background, a mission from the International Monetary Fund (IMF) had constructive meetings with the government during an in-person visit the previous week and will return to the country in mid-November to begin talks on a new program backed by the agency.

The “price of the dollar reflects some degree of uncertainty or nervousness (…) manifested in the decrease in the central bank reserves (BCRA) as a trend”, said economist Daniel Marx.

Analysts agree that the gap puts any type of economic recovery at risk, so new signals are not ruled out from the Government, which recognizes that the foreign exchange market “is disorderly”, although a sharp devaluation was once again rejected as a solution to exchange rate volatility over the weekend.

“The alarming level of net / liquid reserves (of the BCRA) and the exchange gap, shows us that the countdown is underway: the Executive has few moves left -controlled exchange jump and / or formal doubling- to change the course of events”, Ecolatina consulting firm affirmed.

Blue Dollar

In a context of limited operations, The blue dollar took a breather this Tuesday and recorded its first decline in 11 days, yielding $ 1 to $ 166, with which the gap pierced 115% (114.4%), according to a survey of Ambit in caves of the Buenos Aires city.

Pressured by tighter restrictions in the official market, and uncertainty regarding the future of the economy, the spread between the parallel and the wholesale dollar had reached 116.5% on Friday, the highest level so far this year. The blue racked up an increase of $ 17 last week.

Since the Central Bank announced greater restrictions to access the official foreign exchange market, in mid-September, the informal one registered a rise of $ 35 (went from $ 131 to $ 166).

Official dollar

With greater stability but maintaining its upward trend, the solidarity dollar -which includes 30% of the COUNTRY tax and 35% to Profit account-, rose 30 cents to $ 136.82, since the retailer closed at $ 82.92, which represents an increase of 18 cents compared to Friday past. At Banco Nación, the bill closed at $ 82.25.

For its part, in the wholesale segment, the currency climbed 28 cents to $ 77.44, in a round in which the BCRA ended a neutral balance between purchases and sales, according to sources from the monetary authority. Traded volume grew 8% to $ 241 million.

Last week the Central had to attend the market with sales to meet unsatisfied demand, disbursing close to US $ 220 million.

The lows of the day were noted shortly after operations began, when the genuine offer was felt with relative intensity, at $ 77.40, 25 cents above the previous end. The monetary authority was alternating its interventions, with sales that tried to contain an upward correction and with purchases that in the moments of greater predominance of the supply contained prices setting minimum prices.

The maximums were registered in the last section of the day, when purchase orders put pressure on prices, taking them to maximums of $ 77.43.

Despite the neutral balance of the BCRA, the Bookings International Gross Domestic Products fell US $ 196 million to u $ s40,838 million. Y They accumulated a loss of US $ 543 million so far in October. From the monetary authority they reported that the decline on Tuesday responded to the variation in the price of gold and yuan, within a framework of strengthening the dollar at the international level.

Dollar in the world

The dollar strengthened on Tuesday in the world because investors were cautious after a study by Johnson & Johnson that seeks a vaccine for Covid-19 was stopped, and because the chances of having a stimulus package were complicated prosecutor before the presidential election.

Stock markets tumbled, in part because of J & J’s stock declining, after it announced it halted a study due to an unexplained illness in a participant, lowering confidence that there will be a vaccine.

Consumer prices in the United States rose in September for the fourth month in a row, although the pace slowed amid the considerable sluggishness of an economy gradually recovering from the COVID-19-induced recession.

The dollar index, which measures the greenback against a basket of major currencies, rose 0.528% and was on track to record its biggest daily percentage gain in three weeks.

The dollar’s appeal as a safe haven has been hit by growing expectations that a victory by Democrat Joe Biden in the US presidential election on November 3 will bring a huge stimulus to the economy, bolstering investors’ appetite for risk. .

“It is becoming increasingly clear to people that there will be no stimulus before the elections,” said Erik Nelson, a currency strategist at Wells Fargo in New York. “I would not say that the markets are fully pricing stimulus or a vaccine at the end of the year, but they are probably leaning towards the more positive side of those expectations,” he added.

Future Dollar

In the ROFEX futures market, dollar prices showed slight drops in all terms. October ended with a rate of 31.95% and November, with a yield of 43.31%.

The currency for the end of the year closed at $ 85.37 with a TNA of 47.38%. The BCRA maintained interventions in the 2020 deadlines. US $ 343 million were traded, and open contract positions totaled the sum of US $ 5,355 million.

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China joins COVID vaccine distribution mechanism :: Politics :: RBC

Фото: Kevin Frayer / Getty Images

China has joined the COVAX coronavirus vaccine distribution group set up by the World Health Organization. This is stated in the statement of the official representative of the Ministry of Foreign Affairs of the PRC Hua Chunying, published on the website of the Foreign Ministry.

“This is an important step that China has taken to fulfill its commitment to making the COVID-19 vaccine a global public good,” said Hua Chunying.

China has several vaccines, she said, and the country has decided to join the COVAX mechanism to “ensure equitable distribution of vaccines, especially among developing countries.”

In the United States announced plans of Russia to prevent them from receiving the vaccine against COVID-19

Фото: Taimy Alvarez / AP

In early September, The Financial Times, citing WHO documents, reported that the implementation of the international COVAX mechanism for the distribution of COVID-19 vaccines had to be postponed due to the position of “rich countries” such as the United States, the United Kingdom and Japan, which preferred to conclude bilateral deals for supply of drugs with international corporations.

Under COVAX, by the end of 2021, 2 billion doses of vaccines are to be distributed worldwide. Medicines are covered by 92 so-called funded countries.

The spread of the coronavirus Covid-19 in the world

Number of confirmed cases of infection

Source: JHU

World data i

A number of countries, including Russia, China, the United States and the United Kingdom, are developing a vaccine against coronavirus infection. In August, Russia announced the registration of the world’s first vaccine against this infection.

A recombinant vaccine Ad5-nCoV, jointly developed by CanSino Biologics and the Beijing Institute of Biotechnology, was patented in China in August. The Central Military Council of the PRC approved the use of the drug for the needs of the army. The third phase of testing is carried out, including in Russia.

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Dollar today: how much it closed this Tuesday, October 6

The crisis of confidence continues to be reflected in the sustained march of financial dollars, which act as ‘thermometers’ with gaps already close to 100%, while waiting to evaluate the effectiveness of the latest measures as well as new initiatives to not stop the bleeding of currencies “, highlighted the economist Gustavo Ber.

He Government managed to place a bond linked to the dollar for US $ 1,766 million, tripling the tender offer, informed the Ministry of Economy.

The placement is equivalent, according to the applicable initial exchange rate, to about $ 136,105 million, and the award rate was 0.10% per annum, within the maximum range of 0.25% established in the call for bids.

The Ministry of Finance, which had come out to place US $ 500 million, received offers for US $ 1,766 million, awarding the total amount offered.

“We see the instrument (‘dollar link’) as an interesting option to apply surplus pesos as a result of financial repression, since in turn it looks attractive in comparison with other instruments denominated in pesos,” said consulting firm Delphos Investment.

Last week the Central Bank announced that it will let the value of the peso move under a managed float to adjust the levels according to the needs of the situation and try to stop the loss of dollars.

“The measures announced last Thursday by the Argentine government to stop the decline in central bank reserves would not have enough momentum to change the current market mood,” said Carlos De Nevares, an analyst at Moody’s Argentina.

For his part, Roberto Geretto, an economist at Banco CMF, said that “the government’s willingness not to devalue is clear, the question is whether it has the capacity to avoid this outcome.”

Official dollar

The solidarity dollar -which includes 30% of the COUNTRY tax and 35% on account of Profits-, rose 13 cents this Tuesday to $ 136.49, as the retailer advanced to $ 82.72. In turn, at Banco Nación, the ticket is priced at $ 81.75.

In the wholesale segment, the currency rose seven cents to $ 77.08, in a round in which prices fluctuated more widely but always in a controlled environment limited by official incursions.

The highs were noted in the middle of the morning, when the buy orders pushed a rise that took them to touch $ 77.13 after a start at $ 77.06, which were today’s lows. The Central Bank was alternating its interventions with sales that limited the increases and with purchases that at the end allowed it to recover part of the initial sales, highlighted from PR Corredores de Cambio.

Market sources estimated that official losses totaled just over US $ 15 million, approximately.

Wholesale dollar prices maintain an upward bias but with a slowdown in the update rate. In the first two days of this week, the exchange rate registered an advance of thirteen cents, against the twenty-seven cent increase of the previous two weeks.

The monetary authority altered its intervention routine causing greater intraday price volatility but without modifying the upward trend of the price.

“Without a significant improvement in the flow of income, the market operates with a slight decrease in exchange rate tension that, however, is still not enough to reverse the poor results in terms of reserve losses, the factor that determined the latest modifications from last week “, highlighted analyst Gustavo Quintana.

In this context, Gross International Reserves fell again, some u $ s46 million, and ended in u $ s41,126 million. Since the greater restrictions for access to the official exchange market, announced on September 15, the Central’s coffers accumulate a loss of u $ s1,369 million.

Meanwhile, after the Government dismissed the activation of the swap with China for the time being, freely available reserves are estimated at between US $ 6,500 and US $ 7,000 million.

Blue Dollar

In a framework of few operations, The blue dollar remained stable this Tuesday at $ 150 for sale, a value that represents its historical maximum, for the second consecutive round, after the new economic and exchange measures by the Government and the Central Bank (BCRA) last week.

In this way, the gap with the wholesale official is 94.6%, after having touched a peak of 104% last May.

It should be remembered that the BCRA last Thursday presented an update of its monetary policy guidelines, announced on January 27, as the Minister of Economy, Martín Guzmán, had advanced in Ámbito Debate.

Fees

He Central Bank (BCRA) kept the rate of 38% unchanged on Tuesday in an auction of Liquidity Bills (‘Leliq’) to 28 days, operators said.

They indicated that the governing body tendered 162,761 million pesos (about 2,112 million dollars), with an expansion of 79,842 million pesos.

With the recent rise in the BCRA’s deposit rate, from 19% to 24%, “the banks have to disarm something like 260,000 million pesos in (letters) ‘Leliqs’ and they will probably go to passive repos (…) and not we see that it moves to the banks after this come out to offer (better) fixed terms, “said Federico Furiase, director of the Eco Go consultancy.

Futures

In the Rofex futures market, u $ s218 million were operated. The terms showed decreases on average of 0.15%. October ended with a rate of 36.94% and November 45.03%.

End of the year at $ 85.71 with a TNA of 47.52%. The open contract positions totaled the sum of $ 4.926 million.

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Hot dollar: the Central Bank accelerates the rate of devaluation

To stem the fall in reserves, the Central Bank announced on Thursday that the dollar The official will stop having daily mini-devaluations of between 6 and 8 cents and will go into a phase of “greater volatility”, something that for the market will mean an acceleration of the rate of devaluation. In fact, the day after the announcement, the wholesale dollar (the one operated by banks, large companies and the BCRA and then influences the retail dollar) increased 70 cents, to $ 76.95, and raised 3 pesos to the currency in banks, up to $ 134. And in the same sense the blue and the “counted with liqui” moved, which climbed respectively to $ 150 and $ 148.40.

Specifically, the Central Bank announced that it decided to “abandon the uniform devaluation mechanism (daily mini-devaluations, known as“ crawling peg ”), granting greater volatility and maintaining the competitive level of the multilateral real exchange rate. Within the framework of the managed float strategy, the daily depreciation rate will gradually adapt to the needs of the situation ”.

Although the new monetary policy guidelines do not explicitly speak of a greater devaluation, the market believes that the BCRA will follow that line. According to several analysts, the high expectations of devaluation will not give way as long as the Government does not correct various economic distortions, especially with a Central Bank that has fewer and fewer reserves to contain the dollar.

Among these distortions, they mention that the Government must give some indication of how it will correct the fiscal deficit in the coming years within the framework of an agreement with the IMF. And they consider that the temporary reduction announced for withholdings (from 33% to 30%) will not help exporters liquidate their dollars: it will always be better for them to retain their foreign exchange, in a scenario with falling reserves, high expectations of devaluation and a large exchange rate gap between the official dollar and the others.

BCRA reserves were used to pay external maturities. (NA)

The measures of the Central Bank anticipate a greater devaluation of the peso.

The Central Bank’s measures anticipate a greater devaluation of the peso.

Instruments in pesos

Trying to go against the demand for dollars, another of the official announcements this week aims to strengthen the peso market with the issuance of bonds tied to the evolution of the exchange rate. Along the same lines, the BCRA reported a rise in the repo rate, that is, it will pay more to the banks for the pesos they place in the Central Bank itself outside the Leliq. The objective is that later the banks raise the rates that they pay for the fixed terms to their clients, but there is still nothing certain.

To these two measures is added the announcement a few weeks ago (still without details) that a fixed term “dollar-linked” will be launched, which will be adjusted according to the variation in the official exchange rate. The banks are still analyzing whether they are going to offer them or not and for what term, for what type of client, and if they will pay any additional fee for the devaluation, among other issues.

Although this type of fixed term can be an interesting instrument to hedge against the rise of the official dollar, it will not, however, cover the blue dollar or the other legal dollars (counted with liquid, MEP, etc.)

On the other hand, to promote other financial instruments in pesos, the Government announced that it will exempt from Personal Assets for three years financial assets applied to new real estate developments. In addition, a Coverage and Promotion Trust Fund will be created to provide sustainability to mortgage loans, something that will be financed with contributions from banks and a part of the loan installment.

dolares home banking

At the beginning of the month, many savers had to make

At the beginning of the month, many savers had to “virtual queue” to buy dollars.

Virtual queues and rejections

In this scenario, October started with problems for those who wanted to buy their $ 200 quota. To begin with, “virtual queues” appeared to be able to enter homebanking. In Santander, for example, those who tried to log in had a sign saying that “you can enter in X minutes.” The bank explained that it implemented this because “on the first days of the month many people want to enter through homebanking or the app at the same time, which generates an over-demand of the systems.”

In addition to the “virtual queue”, another complaint from users was that the system does not allow to know in advance what is the amount that can be purchased. As from September 15, the number of purchases with a card in foreign currency has been reduced, users have to try figures below $ 200 until the operation is approved.

On the other hand, users complained that at least 70% of the operations were rejected due to the new restrictions imposed by the “super stock”. In fact, in order to avoid this, in the last days of September many banks sent e-mails to certain clients advising them that they would not be able to buy dollars.

According to the new restrictions, those who receive a subsidy from ANSES (IFE, Universal Allowance for Child or Pregnancy, etc.), receive assets through ATP, or have accessed any benefit from Covid-19 will not be able to buy dollars. And those who have refinanced loans (UVA mortgages, or consumption in installments with cards), are joint account holders, or have operated through cash with settlement or the MEP dollar will not be able to buy foreign currency either.

To this a new restriction was added this week: the Government announced that “CUITs will be blocked for the purchase of foreign currency from top-level officials, national legislators, and directors of public banks, including the BCRA.”

dollars.jpg

Banks again this week to sell savings dollars, but in a trickle.  Is a major devaluation coming?

Banks again this week to sell savings dollars, but in a trickle. Is a major devaluation coming?

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The Japanese multinational SMC will invest 20 million in the expansion of its headquarters in Júndiz

An encouraging announcement for the Alava industry, hit like all by the voracity of the pandemic. The Japanese multinational SMC Corporation, a world leader in technological development and creation of components for the automation of companies, will invest 20 million euros in the consolidation within two years of its facilities in the Júndiz industrial estate in Vitoria, where its headquarters are located for the Iberian Peninsula. With a total staff of 350 workers Among its plants in Spain and Portugal, more than half of them, around 200, are employed in Álava. The technology company now occupies a useful constructed area of ​​2,000 square meters that it intends to expand by approximately 60%.

At the company LKS Krean, an expert in international architecture and engineering projects, will carry out the works, which will start shortly and should be ready after the summer 2022, according to the plans. SMC’s investment, with more than sixty years of activity in the world, half established in the peninsula. It is among the most prominent this year of the health and economic crisis for its contribution to the industrial fabric of the Basque Country.

The expansion of its headquarters in Júndiz will strengthen the business model, quality and efficiency of the Asian brand, in addition to creating jobs in Álava in a number yet to be determined from its management. “At SMC we are aware that our employees are an essential factor in our success”, says David Gallego, CEO of SMC Spain SAU “This fills us with pride and prompts us to continue to do our best,” adds the executive. SMC defends the injection that its commitment to the Júndiz headquarters will contribute to the Alava and Basque economy in general. Because it occurs, it affects, “at a time of uncertainty and general unrest both in the social and industrial fields.”

The objective of the Japanese company seeks to evolve “in a sustainable way” to adapt to the environment in an innovative and efficient way, continue with its growth plan and maintain its corporate strategy of “proximity and proximity to the industrial fabric”, underlines its board of directors. Thus, the design of the new building in Vitoria responds to the sustainability guidelines that SMC defends because it guarantees with the use of suitable materials a future of energy efficiency, water saving and environmental quality. Logically, doubling its useful space in the Júndiz macropolígono will lead to an increase in production with flexible, personalized manufacturing adapted to the market and the client, and will also increase its logistics capacity.

Prior to its construction project in Vitoria, SMC, with more than 20,000 employees around the world, has expanded its plants wherever it deems appropriate, always under the criteria of «supporting the industry and customers in the face of new challenges and challenges in its industrial processes and boost its competitiveness ”, says the multinational. Every year it allocates more than 300 million euros to innovation through R + D + I, in short to the detection of trends, technologies and development of new products. «To work side by side with our clients, anticipating the future technologies, involving ourselves in competitiveness, cost reduction, rational use of materials and reduction of the carbon footprint will help create more efficient and sustainable industrial and social environments and will allow us to face challenges as a society ”, concludes David Gallego.

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What will happen to the pesos and the rush for the dollar? the report that points to fiscal red

About this year they indicated that “the pandemic disrupted the economic policy objectives” that had planned “to control liquidity” and therefore “the demand for foreign currency, calming exchange and inflationary tensions.” The result: the fiscal deficit soared, as a result of the collapse of income due to the collapse of activity and the expansion of spending to mitigate the damages of the pandemic / quarantine.

Ecolatina remarks that “BCRA assistance to the Treasury reached record levels”, which can be accounted for at 1.6 trillion pesos, which represents 6.3% of GDP. The consulting firm also remarks that there was “a strong sterilization via LELIQs and passes”, which imply 0.9 trillion less pesos destined for this area and a reduction of 3.4% in GDP. However, the monetary base would close the year around 10% of GDP, in line with the 2012-2015 highs.

“In this context of strong aversion to saving in pesos, its excess supply shifted to the parallel dollar first, increasing devaluation expectations and accelerating pressures on the official dollar later” they conclude.

Ecolatina also analyzes that the debt restructuring sought to “calm tensions”, but the result was not as expected: “Although the agreement with private creditors did indeed bring relief at the medium-term macroeconomic level, it did not manage to appease the dollar appetite” .

The consulting firm highlights the continuous loss of Reserves, since the net ones drilled the u $ s7,500 million and the liquid ones are close to u $ s1,000 million, which derived according to the report, in which the Central Bank decided to reinforce the stocks, “further complicating the normal operation of the activity.”

“Going forward, it makes sense to ask what will happen to the fiscal red and what its source of financing will be: between both variables, they will determine what will happen to the pesos and, consequently, what level the exchange rate pressures will reach” they argue.

Regarding the 2021 Budget, the report warns that it is observed that the Ministry of Economy forecasts a primary deficit of 4.5% of GDP for next year, in an economy that would recover part of the lost ground with 5.5% growth projected and a slowdown in the inflation which would go from 32% this year to 29% in 2021.

Ecolatina analyzed that the budget is “important in terms of activity, too ambitious in terms of inflation” but that to “determine the assistance of the monetary authority to the National Treasury, it is necessary to work with different assumptions of rollover of the services debt (capital and interest) of the public sector “.

The consultancy firm maintains that “thanks to the successful restructuring of sovereign hard currency bonds, maturities with private companies are practically nil next year” and that if the repayment of the IMF and the Paris Club loan were to be extended, “there would be no net disbursements with international financial organizations.” This implies that “a refinancing of all services in foreign currency would be achieved, so that the assistance of the Central Bank to the Treasury in foreign currency would not be necessary.”

Regarding public debt services in pesos, Ecolatina developed three scenarios: “The first is conservative, since it assumes that in 2021 a rollover of only 100% (similar to this year, affected by the antecedent of the April reprofiling). The second assumes a 110% refinancing and the third, 120%. The intermediate scenario seems the most likely, but the extremes cannot be ruled out. “

In the event that the scenario of a rollover of 120% of debt services in pesos in 2021, the Treasury’s net placements would reach about 1.4% of GDP (508,000 million pesos, according to Ecolatina estimates), this would subtract the assistance of the Central Bank, since that a fiscal gap (primary deficit minus net loans) of 3% of GDP would have to be covered. “In this case, the BCRA would have to turn to the Treasury next year (via temporary advances and profits) almost 1,080,000 million pesos, which represents around 40% of the monetary base that we estimate for the end of 2020” they analyze .

In this regard, in the Ecolatina report they project what would happen: “If we assume that in an electoral year the Central Bank does not” want “the monetary base to rise more than inflation, it would have –Other things being equal– to sterilize via LELIQs and pses “only” ARS 210,000 million (almost 20% of the assistance), leaving the stock of sterilization instruments at stable levels (below 10% of GDP) “.

The consultant also analyzed what would happen if the rollover out of 110% of the Treasury services in pesos: “Net placements would reach 254,000 million pesos (0.7% of GDP), so the BCRA would have to turn next year ARS 1,333,000 million (3.8 % of GDP) to the Treasury, equivalent to 45% of the monetary base at the end of 2020 “.

In this regard, they maintain that “if the Central Bank does not allow the monetary base to go beyond inflation, it should sterilize about 460,000 million pesos, that is, 1.2% of GDP or 35% of assistance.” In response, the stock of LELIQs and repo transactions would exceed 10% of GDP, practically doubling at the end of 2019 (5.5%). “In this framework, although this stock of sterilization instruments would reach the peak of 2018, the level of tension would be significantly lower: unlike the LEBACs, the LELIQs are in the hands of commercial banks that have almost no alternatives other than to stay in these letters “they analyze.

Finally, Ecolatina, projected what would happen if she only managed to do rollover of services in pesos that mature (100%): “As there are no net loans (pessimistic assumption, but not impossible), the Central Bank would have to cover the entire primary deficit (almost 1,600,000 million pesos, 4.5% of the GDP). Without an active sterilization policy, this would mean a 53% expansion of the monetary base in 2021 “.

If the premise that the monetary authority does not allow the monetary base to exceed inflation, it would have –Other things being equal– to sterilize about 460,000 million pesos (1.9% of GDP or 45% of assistance). “In response, the stock of LELIQs and passes would exceed 11% of GDP, a level that a priori it seems unstable “analyzes Ecolatina.

Finally, they conclude: “It is important to highlight that, if inflation ends up being higher in 2021 than budgeted, the less will be the sterilization effort of the BCRA necessary for the monetary base to grow in line with the rise in prices, since the greater will be the collection of inflation tax ”.

The consultant allows us to think of three different inflation hypotheses: “30%, aligned with the 2021 budget; 40% aligned with our inflation prospects for next year; and 50%, a little above the price increase projected by the REM by 2021 (47%). As can be seen in the table, the sterilization (measured as the stock of LELIQs and passes in relation to GDP) necessary for the monetary base to grow in line with the rise in prices, is less the higher be the projected inflation rate. “

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Montaña Central Leonesa refuses to “mortgage the mountains” to build wind farms

The Platform for the Future of the Central Mountain of Leonesa holds a meeting with entities opposed to the projects of wind farms for the Mountain of León. In the image, the president of the platform, Esther Domínguez. / Campillo / ICAL

Miriam Badiola / ICAL
| 09/27/2020 – 1:05 p.m.

The Platform for the Future of the Central Mountain of Leonesa showed once again this Sunday its rejection of the wind farm projects for that area, considering that “they do not want to mortgage the mountains or replace their economic use by a monopoly of multinationals who want exploit a single resource and make the area exclusively dependent on a single company or a single resource “, according to one of its representatives, Sergio Díez.

This was pointed out by the representative of the Platform for the Future of the Central Mountain of Leonesa during the celebration in Pedrún de Torío of a meeting of 25 groups and entities of the province, from different areas, both social, educational, sports and ecological that have decided to join together to “be able to work together against the installation of wind projects in the Leonese mountain” and that in today’s meeting they decided to “set a roadmap to work together”.

“We are not against wind energy, it seems very necessary to us, but in addition to being renewable we remember that it also has to be sustainable, for which it has to be an energy that cannot be located anywhere, but has to cause a minimum impact on the environment “, explained Sergio Diez, while pointing out that” the mountain areas in which the macro-wind farms are projected are not the ideal ones “, which is why” they have generated a rejection in the population very important”.

Campillo / ICAL

For this reason, he considered it “essential” that the administrations “take into account that if these projects do not arise from the inhabitants themselves, the territory must be very aware that they are multinationals that come to plunder the resources in some way”, which is why that “they do not have the approval of the inhabitants.”

An approval that is not available because, according to the representative of the Platform, “what is not wanted is to mortgage the mountains, one of the main values ​​that we have, during the 30 years that the concessions of the parks “, since in addition” the areas are used as economic use at the level of pastures, livestock and other types of activities such as tourism, which today generates a fabric that is true that it is small and should be promoted “, but” very diverse “which” is not to be replaced by a monopoly of multinationals that want to exploit a single resource and make the area exclusively dependent on a single company or a single resource “.

Diez recalled that “there are many cases at the national level and in the province of León itself of what this type of monopolies mean in the end the day that companies decide to close and disappear because they are no longer profitable”, so that “the inhabitants become they are once again in an empty territory and without resources “and” they would throw away the last 15 years in which they are working to diversify the economic offer “.

For all these reasons, Sergio Diez set his sights on the actions taken by the Platform at the moment in which the administrative process of the wind farm projects begins in order to present allegations. For this reason, from the Platform for the Future of the Central Mountain of Leonesa, informative talks are being held in different parts of the province, while keeping an eye on these deadlines to start legal processes.

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Montaña Central Leonesa refuses to “mortgage the mountains” to build wind farms

The Platform for the Future of the Central Mountain of Leonesa holds a meeting with entities opposed to the wind farm projects for the Mountain of León. In the image, the president of the platform, Esther Domínguez. / Campillo / ICAL

Miriam Badiola / ICAL
| 09/27/2020 – 1:05 p.m.

The Platform for the Future of the Central Mountain of Leonesa showed once again this Sunday its rejection of the wind farm projects for that area, considering that “they do not want to mortgage the mountains or replace their economic use by a monopoly of multinationals who want exploit a single resource and make the area exclusively dependent on a single company or a single resource “, according to one of its representatives, Sergio Díez.

This was pointed out by the representative of the Platform for the Future of the Central Mountain of Leonesa during the celebration in Pedrún de Torío of a meeting of 25 groups and entities of the province, from different fields, both social, educational, sports and ecological that have decided to unite to “be able to work together against the installation of wind projects in the Leonese mountain” and that in today’s meeting they decided to “set a roadmap to work together”.

“We are not against wind energy, it seems very necessary to us, but in addition to being renewable we remember that it also has to be sustainable, for which it has to be an energy that cannot be located anywhere, but rather has to cause a minimum impact on the environment “, explained Sergio Diez, while pointing out that” the mountain areas in which the macro-wind farms are projected are not the ideal ones “, which is why” they have generated a rejection in the population very important”.

Campillo / ICAL

For this reason, he considered it “essential” that the administrations “take into account that if these projects do not arise from the inhabitants themselves, the territory must be very aware that they are multinationals that come to plunder the resources in some way”, which is why that “they do not have the approval of the inhabitants.”

An approval that is not available because, according to the representative of the Platform, “what is not wanted is to mortgage the mountains, one of the main values ​​that we have, during the 30 years that the concessions of the parks “, since in addition” the areas are used as economic use at the level of pastures, livestock and other types of activities such as tourism, which today generates a fabric that is true that it is small and should be promoted “, but” very diverse “which” is not to be replaced by a monopoly of multinationals that want to exploit a single resource and make the area exclusively dependent on a single company or a single resource “.

Diez recalled that “there are many cases at the national level and in the province of León itself of what in the end this type of monopolies suppose the day that companies decide to close and disappear because they are no longer profitable”, so that “the inhabitants They are once again in an empty territory and without resources “and” they would throw away the last 15 years in which they are working to diversify the economic offer “.

For all this, Sergio Diez set his sights on the actions taken by the Platform at the time the administrative process of the wind farm projects begins in order to present allegations. For this reason, from the Platform for the Future of the Central Mountain of Leonesa, informative talks are being held in different parts of the province, while keeping an eye on these deadlines to start the legal processes.

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