Businesses to expand production amidst higher gov't spending

Thirty eight percent of the companies participating in the Economic Outlook Forum 2012, which is organized by the Venezuelan-American Chamber of Commerce and Industry (VenAmCham), expect to increase the production of goods and services, as the Venezuelan government is expected to increase public spending in this election year.

According to a poll conducted by the organizers of the event among the companies participating in the forum, 23% of the firms will increase their goods and services portfolio; 24% will increase imports, 18% are to boost advertising and 24% said that they will not take any of the actions mentioned above.

When questioned about the effect of the new Labor Law on their companies, 85.57% of businessmen said that there will be higher economic costs.

On the other hand, 72.82% of respondents said that they plan to implement investment plans in 2012; 20% said that they have no plans and 7.18% said that they did not know or did not answer.

mleon@eluniversal.com