Venezuela's public spending to underpin the socialist model in 2013
Public spending will continue to expand next year
As outlined in the bill, the socialist production paradigm will receive funds from ordinary and the so-called parallel expenditure, comprised by the National Development Fund (Fonden), the Chinese Fund, among others.
As suggested in the draft budget law for FY2013, "19.3% of the resources must be allocated to projects oriented towards the creation of the new production model." The bill adds that "the Chinese-Venezuelan Joint Fund and (the National Development Fund) Fonden will continue playing a decisive role in the execution of public works, the strengthening of small and middle-sized businesses, and the reinforcement of production chains."
The bill, submitted to the National Assembly last week, points out that "budget allocations are aimed at boosting the social economy." It also highlights, "The Government will continue developing and strengthening the endogenous production model, whose core comprises social production enterprises, family production units, cooperatives, and other social productive forms of organization set up in the very heart of the community."
In 2010, the Government enacted people's power laws providing for the creation of communal enterprises.
The goal is to let communities themselves to be in charge of the production of goods and services. In fact, the finance minister highlighted last week that "empowering people to manage means of production will lead to the expected results."
Translated by Jhean Cabrera
A group of some 60 Venezuelan economists from across the country and from different generations and backgrounds, has met regularly in the past couple of years and now has brought forth a document explaining the reasons of the current emergency and outlining specific proposals on how to address the serious economic crisis the country has plunged into over the last three years.