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Pledge of Recognition: MEF Considers ‘Very Likely’ to Submit Claim of Unconstitutionality to NC

A few months ago, MEF already complied with the bond recognition law. | Fountain: Andean

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The debate over the “Recognition Bond”, approved at the urging of a few weeks ago in Congress, continues, and the chances that the law will be judged by the Constitutional Court (CC) increase.

Head of the Ministry of Economy and Finance (IEF), Alex Contreras, indicated that it was “highly likely” that a claim for the unconstitutionality of the measure would be filed with the TC.

“At the moment the teams are analyzing and working on it, I can’t advance the position of the MEF yet (…) But, it is very likely, given that we have complied with the law and that it has been approved by perseverance,” he said during the presentation of the report on updating macroeconomic forecasts (IAPM).

As you know, this measure, aimed at transferring the contributions of members ON PAGE who had been transferred to the EPO since 2002 were under the supervision of the IEF.

According to the MEF, this measure has a high financial cost to the country and would signify a spending initiative by Congress, which approved the measure at its insistence.

For its part, ONP points out that the application recognition bonus in the first year it will be SGD 5,800 million and the overall cost is expected to be SGD 40 billion.

At the moment, the MEF has a period of up to 12 months for the issuance and establishment of requirements for the transfer of this economic contribution, from which it follows that in April 2024 they should begin with the first transfers.

Source: RPP

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