Kast opens door to exceptions in 3% ministry budget cuts

President José Antonio Kast said in his first radio interview from La Moneda that exceptions will be evaluated case by case in the 3% budget cuts ordered by Hacienda to ministries. He confirmed analyzing salary reductions for executive authorities amid the fuel price crisis. He also backed questioned ministers and defended his emergency government's priorities.

In an interview with the Asociación de Radiodifusores de Chile (ARCHI) on Tuesday, March 31, President José Antonio Kast defended not cutting the Security Ministry's budget, one day after reversing the initial measure affecting Carabineros and PDI.

"[The government] is seeing that everyone carries out the cut exercise and once that's clear, how to establish it, how to present it, we're going to see in which places the cut takes effect and in which not," Kast explained. He assured the 3% is even for all but opened the door to exceptions in key portfolios like Housing, Defense, Health, and Education, per meetings by Finance Minister Jorge Quiroz with the Budget Directorate.

He also confirmed evaluating salary cuts for executive authorities, distinguishing structural from transitory announcements, though changes to his pay require congressional approval, which he ruled out.

Kast backed Security Minister Trinidad Steinert on the removal of retired Prefect Consuelo Peña from PDI, attributing it to the top police authority, Eduardo Cerna. "The decision is of the PDI's top authority," he stated, despite criticism from lawmakers like Senator Iván Flores (DC), who questioned the "institutionalization of the lie." He also defended Women Minister Judith Marín over Priscilla Carrasco's exit from SernamEG.

The president prioritized social urgencies over cultural policies, ruling out ideological battles, and announced modifications to the state of exception in La Araucanía, with restrictions in Temucuicui.

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Jorge Quiroz presents president-elect José Antonio Kast's economic plan, emphasizing growth and microeconomic measures, to applauding Sofofa council members.
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Jorge Quiroz presents Kast's economic plan at Sofofa

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Jorge Quiroz, economic coordinator for president-elect José Antonio Kast, presented on Wednesday to the Sofofa council an economic plan based on freedom, return, and dignity, stressing that all ministerial decisions will prioritize economic growth. The focus is on concrete microeconomic measures to boost development, which drew applause from attendees. This takes place amid Kast's transition activities, including protocolary meetings with authorities.

Several Chilean government ministries are resisting the 3% budget cut ordered by the Treasury Ministry, following the exemption granted to Public Security. President José Antonio Kast admitted evaluating case-by-case exceptions, while portfolios like Education and Social Development argue a lack of room. Negotiations continue amid tensions.

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The Chilean executive presented to the Chamber's Security Commission a proposal to cut $72.669 billion from the Ministry of Security's budget, meeting Hacienda's 3% requirement. The measure mainly affects Carabineros and PDI, drawing cross-party criticism in Congress for inconsistency with the 'emergency government' narrative. Officials assure it won't impact sensitive areas.

José Antonio Kast's government held its first expanded political committee on Monday at La Moneda, where Segpres Minister José García announced urgencies for 20 bills, mainly on security and migration. Three initiatives received immediate discussion, including classifying irregular entry as a crime. The announcement comes amid internal criticisms over possible pardons and limits to free higher education.

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President-elect José Antonio Kast has selected economist Tomás Rau as likely Minister of Labor, lawyer Fernando Rabat for Justice, and former minister Catalina Parot for National Goods, as he finalizes his team for the January 20 announcement.

Following legislative elections, Argentina's officialism warned the opposition it will veto the 2026 Budget if it fails to ensure fiscal balance. Chamber of Deputies President Martín Menem stressed the need for rationality to avoid political chaos. The government aims to delay the debate until new legislators take office on December 10.

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