The AIReF (the EC office in Spain for monitoring the rigour of public spending) has published the data in which it issues a statement regarding the 2024 budget and compliance with the established objectives of budgetary stability and public debt of all Public Administrations and the Mogán City Council comes out well. It evaluates the budgetary execution, public debt and spending rule. In its analysis, it carries out an individual study of the estimates at the end of the financial year of each of these Local Corporations, pointing out those that are at risk of non-compliance, and proposing recommendations for them.
Anyone looking at these figures would say that Mogán is not the right-wing regime that Las Palmas portrays as this tourist town of utmost importance for the Canary Islands. The evolution of the budget balance is recovering after the Covid19 crisis and is close to the level that was in 2018, although far from the almost 6 million euros of 2017. But the truth is that its accounts are already in the green.
The list of entities at risk does not include the Mogán Town Hall, but it does include others such as Las Palmas, where they live in the south of Gran Canaria and are allowed to have retired civil servants remotely controlling confidential files, supposedly. Brussels highlights that basic services take 29 million euros, to which must be added 7,4 million euros in social spending and 18,4 million euros in health, transport and education.
Airef points out that Mogán has a surplus in the budget liquidation of 1,1 million euros, having income of 2023 million euros in 65,3 compared to 64,2 million euros in expenditure. The financial debt is 16 million euros but the payment period to suppliers remains balanced for SMEs and self-employed workers: 36 days of payment. Mogán has 2 million euros pending payment.
Looking ahead, AIReF notes that the expected easing of the economy's financing conditions, high household savings rates and the good performance of the labour market will allow for sustained high growth rates, although lower than those recorded in the first quarter of 2024 (0,8%). However, the decline in productivity and the reduced investment effort of the economy pose downward risks to the projection scenario.
