Guatemala, March 25, 2020.-
Given the actions implemented by the Central Government of Guatemala, the Legislative Body approved Decree Law 12-2020 called "Emergency Law", this in view of the events and effects caused by the COVID 19 virus (Coronavirus), of which a total of of 38 days, this temporary Law is intended to create the initial, sanitary, economic, financial and social measures necessary to address the crisis derived from the measures adopted to contain and mitigate the effects of the pandemic called COVID-19 within the territory national, and will be in charge of being implemented through the different areas and competencies that are described.
The content of the set of conditions specific to health security is described to provide the population and health professionals and workers with the appropriate and convenient means that allow us satisfactory results and the broadest preservation of life in all feasible orders. . The rules applicable to the economic policy that will be undertaken in this particular and singular crisis situation are developed; The means that will be available to serve and encourage people who are dedicated to their activity within small and medium-sized companies are established, as well as the supports for the general population in their relationship as dependents of the entities of the banking system and country's financial In the same way, a series of measures framed within the projects to be promoted as part of the social policy to favor and promote comprehensive care for families in vulnerable situations are proposed and described.
As a first point, the SANITARY MEASURES are described, where the Control of hoarding of medicines, services, food or cleaning supplies is prohibited, in charge of the Ministry of Economy, through the Directorate of Attention and Assistance to the Consumer -DIACO-, they will monitor that hoarding does not occur, ensuring the availability and stability of the prices of medicines, services, food consumption items, cleaning and contagion prevention, among others. Likewise, the Monitoring of Prices that the Ministry of Economy establishes, within a period of five days, the list of average prices as of March 34, two thousand and twenty, for each one of the thirty-four (XNUMX) products that make up The Basic Food Basket -CBA-, must also guarantee the supply of products and will sanction in accordance with the law those who engage in acts of price speculation and hoarding of products.
Likewise, it is established that as part of the collaboration of citizens, people residing in nearby areas where they maintain preventive quarantine or in hospital areas, have the obligation to collaborate with the health and public safety authorities, in order to preserve harmonious relations. of respect and solidarity within their community.
Regarding the economic, fiscal and social security provisions, in relation to compliance with tuition payments, during the validity of the State of Public Calamity and its possible extensions, decreed due to the COVID-19 pandemic, the collection of fines, arrears, administered expenses or interest, generated by arrears in payment of quotas corresponding to educational centers or universities; likewise, students will not be subject to expulsion or other sanctions. The benefit is applicable to those who are up to date in the payment of their installments, on the date on which this Decree enters into force.
In the economic part, specific funds and programs are created to address the economic impact on the population, this to counteract the economic-social impacts on the population, and which are the following:
- Emergency Fund -FEMER-. This fund is established with the amount of one thousand five hundred million quetzales (Q.1,500,000,000.00), which will be obtained from the budget readjustments carried out by the Ministry of Public Finance in coordination with the heads of the different state institutions, which will be executed as indicated, to attend to the following emergency programs:
- a) Program for the remodeling and infrastructure of hospitals and health centers, hospital equipment and health supplies, for care and coverage of the First and Second Level of Care.
- b) COVID-19 Food Support and Prevention Program. This program will be executed through the Ministry of Social Development -MIDES- in coordination with the Ministry of Agriculture, Livestock and Food -MAGA-; Both ministries together must coordinate the use of a single database of families in vulnerable situations, including older adults, as well as senior citizens who are in centers and nursing homes, in order to avoid duplication of information. beneficiaries and thereby reach the largest number of beneficiaries due to their high vulnerability to the crisis caused by the Coronavirus COVID-19 and the observance of the containment measures ordered by the Government of the Republic. This program is created with an allocation of seven hundred million quetzales (Q.700,000,000.00). The exchange will be carried out as follows: 1) in pharmacies, neighborhood stores and/or supermarkets for the acquisition of supplies that allow to counteract the spread of the coronavirus COVID-19, whose nominal value will be defined by both Ministries. 2) In pharmacies, neighborhood stores, supermarkets, food warehouses and others, for the acquisition of basic necessities of the basic food basket and medicines. The nominal value of these coupons will be defined by both ministries; Likewise, they will define and regulate the way in which said coupons will be collected by the pharmacies, neighborhood stores and/or supermarkets that receive them.
- Capital Protection Fund. The Capital Protection Fund is established, administered by the National Mortgage Credit -CHN-, which is constituted with an amount of Two hundred and fifty million quetzales (Q.250,000,000.00), destined to grant credits to: individual merchants, professionals, companies, and savings and credit cooperatives, which must be placed with preferential interest rates not higher than the average passive rate in force in the Guatemalan banking system. The National Mortgage Credit must prepare the specific regulations on credit requirements and conditions. This Fund will be financed with part of the BIRF 8962-GT CATDDO loan from the Inter-American Bank for Reconstruction and Development, which contemplates the use of said resources to attend to the effects caused by health emergencies.
- Fund for Micro, Small and Medium Enterprises –MIPYMES-. The Fund for Micro, Small and Medium Enterprises is created in the Ministry of Economy, through the Vice Ministry of Micro, Small and Medium Enterprise Development, to strengthen small and medium enterprises with a revolving amount of five hundred million quetzales (Q .500,000,000.00). The Central Government, through the Ministry of Public Finance, will manage a loan for the exclusive use and specific purpose of providing access to credit to MSMEs before international financial organizations.
- Waiting for credit obligations. The banking institutions, at the simple request of the interested parties, will be granting deferrals or granting waiting in the credits to the debtors that on the date in which this Decree enters into force, do not show arrears of more than one month. Said deferrals or waiting will be applied, as the case may be, to maturities of credit card installments, credits with fiduciary, pledge or mortgage guarantee for housing, for two-month installments; as well as those granted in micro, small or medium-sized companies, for three-month installments; payments may be deferred within a period of six months without default interest, from the end of the crisis of the public calamity of COVID-19.
- Guarantee Public Services. The National Institute of Electrification -INDE- will guarantee the supply of electricity to users of the target rate between 160 kws/month in Q.0.40/kwh, and for consumer users between 61-125 kws/month, in Q. 0.71 Q./Kwh. This subsidy mechanism will directly benefit the population living in poverty and extreme poverty. As part of the fiscal policy measures and social security payments, the Exemption for donations to non-profit entities is established. They are declared exempt from all import taxes and Value Added Tax, customs duties on all imports received as a donation in favor of the National Coordinator for Disaster Reduction -CONRED-, and churches, organizations and charitable associations duly authorized and registered in the Registry of Legal Entities of the Ministry of the Interior, while the State of Public Calamity and its possible reforms are in force.
Merchandise imported under this exemption must be used exclusively for non-profit and charitable purposes. The Superintendence of Tax Administration and the Comptroller General of Accounts will ensure the faithful compliance of this provision. Once the request for exemption from taxes and import duties has been submitted, complying with the registration requirements provided by the Superintendence of Tax Administration -SAT- and others that are in force as of the date of approval of this decree, the Superintendence of Tax Administration -SAT- is obliged to resolve within a period not exceeding three days. This provision is applicable to all the declarations that are presented for liquidation from the beginning of this Law. The imports referred to in this article are exempt from the technical opinions established in article 53 bis of Decree Number 101-97 of the Congress of the Republic, Organic Budget Law.
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