translated from Spanish: Former Ministers of finance, Bachelet lash out against Pinera pension reform

“Not to you have something more solidarity we will transform into Venezuela,” said a few days ago Rodrigo Valdés against the reform that drives the current Administration to the pension system. Today, criticism, joined Nicolás Eyzaguirre and Andrés Velasco. The three share the past of being Ministers of Finance of Michelle Bachelet.
“The project of pensions, in the form in which is raised, it seems a totally irresponsible project,” said Eyzaguirre in conversation with radio Cooperativa. The former head of portfolio argued that his opinion is due to “the amount of tax expense that this implies in the future” and that “has been presented together with a tax cut to the richest that is tax reintegration, then frankly I don’t know how to fit”.
“Then I’m afraid that either are going to rush in an unsustainable fiscal condition or you are hiding future cuts that in the future we will hurt much, as in science and technology, University, health, infrastructure, rural, or drinking water because numbers not” they fit”, he added.
Eyzaguirre concluded compared Piñera with Donald Trump policy, calling it “populist”.
His words, joined the criticism of the former Hacienda Andrés Velasco, who pointed out that it is falling into a “fiscal populism, with a financial report that is not clear, because I’d like to know where they come from the lucas”, asked during his presentation in a seminar which addressed lessons learned after the financial crisis of 2008-2009.
The former Chief of the fiscal wallet questioned the financial statement of the pension reform, which establishes a cost of $3,500 million. According to Velasco, Chile lost the habit that the projects were accompanied by sources of financing, such as was done in 2008, also with a social security reform that was financed with the creation of the pension reserve fund.
“There is no who can replicate the projections of spending” and that generates a “very large institutional weakness and affects the quality of the debate, because Congress does not have the tools to challenge”, concluded the former Minister.

Original source in Spanish