Nicaraguas tax revenues surpass C$129 million in 2023 

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By LatAm Reports Staff Writers

Amid the tax harassment faced by companies, and which, for fear of further reprisals, almost no one dares to question, during 2023 Daniel Ortega a new record was scored by raising 129.437 million córdobas in tax revenues. The amount exceeds by 15.6 percent the 111.431 million it raised in taxes during 2022. In addition, the scheme also earned $10.12 billion through non-tax revenue, bringing total revenues in 2023 to 139,557 million córdobas.

According to the 2023 Budget Liquidation Report published this week by the Ministry of Finance and Public Credit (MHCP), the 129.437 million córdobas in tax revenues collected last year, account for 92.7 percent of total income. In addition, the amount raised reflects an over-quota collection of 9.518 million, equivalent to an increase of 7.9 per cent over the target updated last November, and exceeds by 18,005 million the amount raised during 2022.

These resources came mainly from the collection of the Income Tax (IR), which was the main supporter of the collection with a contribution of 58,692 million córdobas. The amount raised was exceeded by 7.977 million, representing an increase of 15.7 per cent over the $50714 million raised during 2022.

Despite the good performance of the IR, the MHCP report explains that in 2023 the IR showed less dynamic growth compared to 2022, since the IR trend rate showed a slowdown in the first six months of the year, reaching its lowest level in May with 9.9 percent, associated with a decrease in the income received from the annual IR collection in February 2023, compared to the previous year. However, in the second half of the year, the trend picked up a moderate increase, registering a rate of 15.7 percent at the close of 2023 degrees, the report explains.

In the detail of the origin of the 58,692 million córdobas collected last year under the Income Tax (IR), it specifies that the Job Income generated 10,674 million, equivalent to 18.2 percent of the total; Income from Economic Activities 35.8 million, representing 61.0 percent of the total; Capital Income 11,021 million, equivalent to 18.8 percent; and the gains and losses of capital 1,172 million, equivalent to 2.0 percent of the total collected in terms offrom IR.

Income from Labor grew by $1.396 million, equivalent to 15.1 per cent, compared to 2022. This increase is attributed to the improvement in wages. Labour revenue was favored by the increase in the wage mass, associated with the increase in average nominal wages during 2023 and formal employment. The average nominal salary of INSS members increased by 6.3 per cent over the previous year, the official report says.

In the second place of collection was the Value Added Tax (VAT) to Imports, which generated 30.999 million, followed by Internal VAT with 14.425 million córdobas. Net VAT collection reached $45,424 million; an increase of 7.3 million or 19.3 per cent over what was collected in 2022.

The post-tax collection list was the Selective Consumption Tax for Importation or Internment of Goods with $3.86 million; the fuel tax burden that contributed 7,099 million; and the Tariff duties to Import (DAI) that generated 4.753 million.

This shows that tax collection remains the main source of revenue, says the budget settlement report of 2023. According to the document, the dynamism of tax collection is associated with, the improvement in economic activity, the implementation of the tax reform measures approved in 2019 and improvements in the management of the tax administration, related in particular to the control and processes of automation of taxes.

With regard to non-tax revenue, the report details that the $10.12 billion raised was derived from the sale of goods and services 5,112 million; property income $1.564 million; transfers and donations from the public sector $278.5 million; other non-tax revenues 3,162 million; and capital income 1.8 million córdobas.

Collection revenue remains the main source that finances the General Budget of the Republic and continues to consolidate support for the strengthening of the country’s international reserves and macroeconomic stability, the budget liquidation report notes.

With regard to the entities involved, the report specifies that the Directorate-General for Revenue (DGI) raised 90,182 million of total revenue; the amount is higher by 12,043 million (15.4 per cent) compared to 2022.

For its part, the Directorate-General for Customs Services (DGA) raised $44,462 million, an amount higher at $6.453 million (17.0 per cent) than in 2022. This result in customs collection is mainly explained by the growth of imported securities during 2023, mainly non-durable consumer goods, transport equipment, capital goods for industry and construction materials, details in the report of the MHCP.

On the other hand, the Treasury Directorate-General raised 4.913 million. This one represents a growth of 364.1 million (8.0 percent), compared to the proceeds by this entity in 2022. And this amount completes the breakdown of the 139,557 million córdobas in total income, which the scheme received during 2023. 

This article has been translated from the original which first appeared in La Prensa NI

El Salvador generated more than 340,000 tons in fishery and aquaculture production in a five-year period

Between 2020 and 202, fish production fell by 1.1 percent in El Salvador.

El Salvador generated 340,072 tons in fishing and aquaculture production between 2017 and 2021, according to a report by the International Labour Organization (ILO).

The document, published in March and under the name of decent work in the fisheries and aquaculture sectors in Latin America and the Caribbean, notes that, between 2017 and 2021, El Salvador generated 287,060 tons of fisheries production, while in the aquaculture sector, 3,012 tons accumulated.

The data, which cites information from FishStat of the Food and Agriculture Organization of the United Nations (FAO), shows that fishing production fell between 2017 and 2018, and continued with this trend until, in 2020, it rose again.

Between 2020 and 2021, this sector produced 669 tonnes less, from 59,674 to 59,005 tonnes, generating an annual fall of 1%.

When comparing 2017 production with 2021, the reduction is 0.99 % (595 tons), from 59,600 to 59,005 tonnes.
Increase in aquaculture production

The trend in aquaculture production is different, since in the same period it went from 11,028 tons in 2017, to 12,749 by 2021, driving an increase of 15.6 %.

According to the ILO document, various pelagic fish, squid, jibias, octopuses, tuna, needles and pretty fish were caught in El Salvador. Similarly, shrimp, prawns, lobsters and lobsters are removed, among others. 

World Bank forecasts 2.5% growth for Panama

In the Central American isthmus we will be next to El Salvador, the countries that will grow the least, contrary to what has been experienced in recent years.

s been translated from the original which first appeared in Pan American