(QCOSTARICA) In simple terms, Comptroller General (Contralora General), Marta Acosta, explained that the economy of government of Costa Rica is like that of a family that monthly takes in ¢100 colones and spends ¢171.
“It is a family that spends ¢58 on food, rent, bills, but also spend ¢63 to help the married children and other family members, which it then needs to borrow obviously becausethe income is not enough,” was the down to earth explanation by Acosta, who, add that this family then needs another ¢50 colones to service (pay) its mounting debt.
“It is a vicious circle, one that is repeated year after year, and getting worse and worse,” said Acosta.
This is the first time a Comptroller General appears before legislators to explain the yearly document that provides a snapshot of the government’s economic situation.
Acosta warned the legislators and the government of the urgency to change the way of dealing with economic and fiscal policies, to prevent the financial decimation of the country.
The alert comes after the first year of the Luis Guillermo Solis, whose first budget marked a 19% increase in state spending, that is, almost five times the rate of inflation.