Análisis socioeconómico del impacto de la reducción del presupuesto general del estado en los GADS: Caso Nayon

Abstract

The general budget of the state is a document in which all the financial movements planned by the state are detailed, it has projected both income and expenditure, which is later converted into allocations which are directed in certain percentages depending on the strategic sectors andthe administration that is located, for Ecuador in 2023 there were several events that caused an unfavorable variation with respect to the level of income that had been obtained in previous years, COVID-19 was one of the main causes of this crisis in addition to international conflicts such as the conflict between Russia and Ukraine. Ecuador in this context had to face a significant reduction in revenues, thus affecting the budget for this year, which to face it, a restructuring of the budget was created, thus benefiting certain sectors such as the GADS (Decentralized Autonomous Governments), which had one of the highest budget allocations in their history. however, this affected budgets for aspects such as public works and generated pressure between administrations. Under this scenario, the parish of Nayon, located northeast of the city of Quito, in the parish of Pichincha, faced this variation that, despite being designated a greater disbursement in these entities, the reality presented a reduction compared to the previous year, so the administration was forced to consider strategies in order to obtain extra financing in order to meet the needs of its inhabitants who have been satisfied with how these resources have been used, letting us know the importance of the actions of local administrations, trying to stop being dependent on higher entities, which in this specific case is a clear example of how these decisions can help economic development, being a clear example of how the economy works at the local level with its problems and relationships between economic sectors. With which it can be concluded that although there was a favorable variation in the budget allocation for the GADS, this was not reflected in local administrations as is the case of the parishes, even decreasing the designation compared to the previous year, however, these are the opportunities for local administrations to show their commitment to the population through strategies in which priority is given to certain strategic sectors and options are being sought to cover this budget difference.