REGIONAL GOVERNMENTS HAVE MORE THAN S/ 16 BILLION FOR WORKS FOR TAXES
Lima, April 22, 2024.- The Private Investment Promotion Agency (PROINVERSIÓN) informs that Regional Governments have S/ 16,127 million as a maximum limit to develop projects and Optimization, Marginal Expansion, Rehabilitation and Replacement Investments (IOARR) through the mechanism of Works for Taxes (OxI) in the country.
The maximum limits were updated for each region for the issuance of Regional and Local Public Investment Certificates - Public Treasury (CIPRL) and correspond to resources distributed by fee, excess fee, royalties, customs revenues, participations and the Regional Compensation Fund (FONCOR).
Through Works for Taxes, there are 97 projects under promotion identified jointly with 10 Regional Governments for S/ 6,742 million. Of this portfolio, 15 investments for S/ 361 million are expected to be awarded just in 2024.
In terms of projects and investments, the Regional Government of Cusco is promoting 35 initiatives for a total of S/ 4,276 million, the Regional Government of Ancash is promoting one initiative for S/ 1 billion and the Regional Government of Ayacucho is promoting 16 projects for S/ 626 million.
It should be considered that, in the last 15 years, since the creation of the OxI mechanism, the Regional Governments have awarded 107 projects for S/ 2,378 million in transport, education, health, sanitation and security.
In that period, five Regional Governments awarded 49 projects, such as Arequipa (S/ 409 million), Piura (S/ 351 million), Cusco (S/ 224 million), Ica (S/ 207.5 million) and Ancash (S/ 178 million).
The Works for Taxes mechanism is a form of public investment and PROINVERSIÓN, as a technical entity of the State, provides free advice and technical assistance to entities of the National Government, Regional and Local Governments, public universities, and articulates them with private companies interested in financing projects charged to the payment of third-category income taxes.
Source: Press Release – PROINVERSIÓN