In the midst of the political discussion on the Omnibus Law that the Executive Power seeks to approve this week and after the ratification of the Minister of Economy Luis Caputo that the objective of reaching the zero deficit remains firm, the Argentine Chamber of Construction has warned about the paralysis situation that its sector lives and which affects 3,500 projects and “countless” associated companies and which affects half a million workers.
Camarco has convened his Federal Council next Thursday, February 1, to “define the lines of action”. “The meeting takes place in the midst of a general paralysis of public works, with almost 3,500 unfinished projects throughout the country, which put at risk the activity of the 1,400 associated companies of CAMARCO which They employ more than 500,000 workers,” The business association explained this in a statement.
“The sector also has a multiplier effect on employment and the general economic activity of over 140 production sectors, of great importance throughout the national territory”, underlines the communication.
The Federal Council of the Argentina Chamber of Construction is the supreme body of the institution, where more than 1,400 member companies of all sizes are represented. It is also made up of delegations spread throughout the national territory.
Camarco underlined that this meeting is “called in an extraordinary manner given the gravity of the situation: it is hoped that the councilors of each locality will present the problems affecting the sector, such as the paralysis of public works, the delay in payments, the impact of high inflation and high interest rates.
“This is an equation that puts the continuity of many companies at risk, with the loss not only of capital but also of the productive knowledge that this implies, and the consequent impact on employment,” the Chamber of Commerce warned.
The president of the organization, Gustavo Weiss, warned the sector in this direction a few days ago is going through an “unprecedented” crisis. “We have gone through periods of paralysis, but this crisis hits us with a lot of work in progress, with companies with many burdens, many debts. In 2001 companies had few contracts, so they managed to resist,” said the businessman .
“If there was money it would be easy. But it will be necessary to see whether the solution will be sufficient for 10% of the work in progress or for 70%. We already know that it won’t be 100%. But we know that the solution is not short-term. Without a doubt, the work will remain at a standstill in the long term,” the leader said.
Now we are trying to get “urgent definitions”. At Camarco they warn that “the breakdown of the payment chain puts companies on the brink of disappearing in a matter of weeks”.
“The invitation aims to open a space for dialogue and joint action between the actors of the sector, in search of strategies that will allow us to overcome this drastic situation and reactivate public works in Argentina”, concludes the communication.
Source: Clarin
