Peru's public investment will increase by 10% in the current year underpinned by a fiscal boost of S/3.75 billion (about US$1.14 billion).
The amount will be reallocated to sub-national governments, Finance Minister Alonso Segura projected on Thursday.
Resource allocation bill 5327/2015-PE was submitted for corresponding approval.
First Fund
The first fund comes from the reallocation of unspent resources linked to the El Niño climate phenomenon mitigation plan worth S/3.00 billion (about US$909 million). As is known, only S/150 million (about US$45.45 million) was spent for the purpose.
Finance Minister Alonso Segura supported the pledge before Congress' Budget Commission on Thursday.
"It's important to support this bill aimed at boosting sub-national governments' execution level […]," the official indicated in this sense.
The measure also establishes allocation of resources worth S/600 million (about US$181.81 million) to enhance sports infrastructure for hosting the Lima 2019 Pan American and Parapan American Games.
Second fund
The other fund is aimed at invigorating public investment. It is worth S/900 million (about US$272.72 million).
This financial resource has been recently approved by a supreme decree published in El Peruano official gazette.
Resources will be allocated to regional and local governments, with the purpose of executing national public investment projects.
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