Argentina Sends Budget 2007 To Congress

Argentina’s government sent its 2007 Budget proposals to Congress for approval Friday. The government foresees an increase of almost 15% in spending next year. The Budget forecasts economic growth of around 4%, average inflation of 7.7% and an increase in investment of 7.2%. So far this year the economy has grown at an average pace of 8%, following last year’s expansion of 9.2%. Meanwhile, following a meeting between Argentina’s President Nestor Kirchner and President Nicanor Duarte of Paraguay, in New York, Argentina has agreed to swap $8 billion of debt owed by Paraguay for 8,000 gigawatts of energy a year from the Yacyretá hydroelectric facility.