In a national broadcast, President José Antonio Kast announced on Wednesday night his first fiscal budget, which will register a spending increase of 1.5% and will focus on employment, security, and health.
And despite this expansion being greater than projected, the president emphasized that the focus was placed on fiscal responsibility. "Our first Budget starts from a simple conviction: taking care of Chile's resources is also taking care of Chilean families," said the head of state.
Thus, he reported that for the 2027 Budget, "each ministry had to project its spending not only for the next year, but for the next five years. Because promising is easy; the hard part is financing and fulfilling what was promised in 2028, in 2029, and in 2030."
In this regard, he stated that "we reviewed 632 programs in 23 ministries. The ones that work, grow. The ones that don't deliver results will have to improve before receiving one more peso," the head of state highlighted.
Later in his address, the president affirmed that work is being done on formulas so that the State stops making purchases above market prices.
"I want to tell you where we are going to stop spending badly," said Kast. "The State paid more than 8 billion pesos above the market price in purchases through framework agreements. Just by adjusting the rents of public offices to what the market charges, we can save up to 5 billion a year. That is why, from now on, we are going to measure..."
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PoliticsDespite the 2027 Budget showing a half-point spending expansion greater than projected, the president noted that for next year's treasury the emphasis was placed on fiscal responsibility. 30.09.2026
President Kast - National Address CommentsIn a national address, President José Antonio Kast announced on Wednesday night his first fiscal budget, which will register a spending increase of 1.5% and will focus on employment, security and health. And despite this expansion being greater than projected, the president emphasized that the emphasis was placed on fiscal responsibility. "Our first Budget starts from a simple conviction: taking care of Chile's resources is also taking care of Chilean families," said the head of state. Thus, he reported that for the 2027 Budget, "each ministry had to project its spending not only for the next year, but for the next five years. Because promising is easy, the hard part is financing and fulfilling what was promised in 2028, in 2029 and in 2030." In this regard, he indicated that "we reviewed 632 programs in 23 ministries. The ones that work, grow. The ones that don't deliver results will have to improve before receiving one more peso," the head of state highlighted. Later in his address, the president stated that work is being done on formulas so that the State stops making purchases above market prices. "I want to tell you where we are going to stop spending badly," said Kast. "The State paid more than 8 billion pesos above the market price in purchases through framework agreements. Just by adjusting the rents of public offices to what the market charges, we can save up to 5 billion a year. That is why, from now on, we are going to measure how much each service pays for what it buys, how much it pays in rent, among other management improvements," he said. More on:2027 BudgetJosé Antonio Kastfiscal responsibilityspending reductioncuts