GOVERNMENT DEFINES GROWTH AND DEFICIT GOALS FOR 2003

Bogotá, October 23 (CNE) – The National Government defined the goal for economic growth between 1.5% and 2.5% for 2003.

The announcement was made by the Finance Vice-Minister, Juan Ortega, who assured that, even though the objective is conservative, it adjusts to the economic reality of the country.

Moreover, he revealed that, according to the Stand By Treaty that Colombia will sign on December with the International Monetary Fund, the goal for fiscal deficit for 2003 will be of 2.4%.

"This objective show us the size of the adjustment that President Uribe will realize to public finances," Ortega manifested.

The Finance Vice-Minister affirmed that the deficit will reduce from 4% (previewed rate for this year) to 2.4%. Consequently, it is necessary the Congress’ approval of the structural reforms presented by the Government.

Ortega emphasized the importance of approving promptly the pension, tributary, and administrative reforms.

Referring to growth and development, the Finance vice-Minister explained that it is better to be prudent when making projections of the economic behavior. He pointed out that, what is most important of the adjustment, is the reorganization of public finances, measurement that is destined to foment the private sector’s investment. "This generates employment and, perhaps, reactivates economy," he expressed.

Ortega affirmed that the Government is compromised with the country to reduce the debt to a 45% of its current amount. He said that this objective can be achieved thanks to the decisions the Government is making to encourage the private sector.

"The adjustment offers alternatives for the growth of the private sector. It generates employment," the Vice-Minister concluded.