March 10, 2014
CFK raises ANSeS funding for pension loans
President Cristina Fernández de Kirchner announced that ANSeS controlled funding would be raised for pensioner loans and that interest tax charged by private loan companies to pensioners would be limited, during a ceremony held at the inauguration of a new social security office in Lomas de Zamora today.
“I wanted to announce here at this event, the inauguration of this ANSeS office, that I have come to take responsibility of a problem that currently affects 2 million people. It has to do with the rules on discounts for pensioners, who have to pay user taxes,” stated the head of state over national television.
According to the head of state, there are 589 agencies entitled to give out loans, including cooperatives, associations and unions. Between January and June, 95% of what was lent, only 12% was given to these agencies. The total amount of credit granted comes to a total of $10,910 million pesos.
When she announced the fact that “certain agencies take advantage” of pensioners, Fernández de Kirchner also assured that they charged up to 122% interest, while the average taxation rate elsewhere is at 70%.
“The taxation rate for loans given by the ANSeS can only be 5% higher than what the National Bank charges for the same loan,” stated the President, also sustaining that the Total Financial Cost (CFT) should include the price of the social installment.
“Let’s not commit socialism with everyone else’s money, because in Argentina there are many people who accept this kind of treatment. We believe in giving loans, not the overcharging and abuse of the system,” underlined the head of state.
Furthermore, Fernández de Kirchner's speech took an emotional this afternoon, when she paid homage to the late Iván Heyn, who committed suicide yesterday.
The President spoke of the late foreign trade undersecretary, labelling him a “brilliant economist and tireless activist,” using him as an example for the young people of today.
Heyn yesterday committed suicide in his hotel room in Uruguay, where he was participating in the Mercosur Summit.
The head of state furthered that without the presence of economist, the Government would keep “strong, standing and without rushing.”
“We must keep ourselves strong and standing, without allowing ourselves to faint, without rushing ourselves. We defend the interests of the 40 million Argentines, and that’s where I will remain a soldier. Nobody will move us from that role,” expressed the President.
The ceremony began this morning in Lomas de Zamora, where ANSeS executive director Diego Bossio, Lomas de Zamora mayor Martín Isurralde, Cabinet Chief Juan Manuel Abal Medina, and Buenos Aires Province Governor Daniel Scioli were all present.
Fernández de Kirchner will later attend handing over of badges and delegations to the new heads of the Security Forces in the White Salon at the Government House.