Debt-free council can invest more in job creation

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The Adeje councillor for good government and finance, Epifanio Díaz Hernández, accompanied by councillors Adolfo Alonso Ferrera and Andrés Pérez Ramos, presented the council’s budget estimates for 2017. The data was proof of the council’s statement that the local economic stability will allow for increased investment in job creation and the overall well-being of the borough.

The main objectives as outlined by the local government continue to be “job creation, improvements in competitivity, innovation, growth and improvement of the tourist destination, training, and above all the well-being of the people of the borough. Our main challenge and aim is to be with and beside the people of Adeje, working to offer the best conditions for growth in the borough, where people can live and develop, this is at the heart of all of our initiatives and plans”.

Prudent financial management has marked recent years, and the surplus, which in 2015 was €18 million, allowed the local government to ensure that all outstanding public debts were paid off and make sustainable investments, and today the borough has no debt whatsoever. Last year’s income gave the council an important margin that Epifanio Díaz explained can be used for emergency situations and for development investments.

Tourism, a key part of the borough

The finance councillor told press that tourism has continued to create wealth and “we are continuing to invest in improving and renovating the local offer, because it is the economic motor that creates wealth and allows our residents a better standard of life”. He stressed that training in the sector is vital and offered through a number of different borough programmes.

Department of Communications

Estimates: Job creation and social welfare 2015 priorities

adeje-rueda prensa presupuestos 2015 (2)

The mayor paid tribute to the high local tax and rates compliance as important to the borough’s welfare

Meeting all the requirements of the Canarian Financial Fund as well as the two economic adjustment payment plans means that the Adeje council is in a position to increase budget estimates for 2013 by 5.86%. The mayor José Miguel Rodríguez Fraga presented the annual estimates alongside the councillor for tax and finance Epifanio Díaz Hernandez and the local government spokesperson Adolfo Afonso Ferrera, the day before they were presented to the council for ratification.

The Adeje council budget estimates for 2015 calculated income at just over €89 million, a 5.86% on 2014, and a spending plan of just over €83 million, an increase of 4.49% on last year, “which allows us to continue to maintain and improve on basic services such as cleaning, lights, water etc, without touching any of the other services which we also see as essential, such as sports, culture and education”, explained the mayor.

He continued, “the healthy economic state of the council, as a result of the good financial management carried out in recent years, allows us meet all the targets of the Canarian Financial Fund, and we have also met the adjustment targets and reduced public debt by €14 million”. The mayor underlined “the importance part Adeje’s residents have played in their high level of compliance in paying local rates and taxes, with 88% of residents fulfilling their financial requirements voluntarily. This is hugely important and we also take it as a vote of confidence from our citizens in the way we are managing the public funds”.

While all areas will see some increase in spending, the mayor repeated that the areas of job creation (18%), social services (10.92%) tourism (7.24%) will benefit in particular with an overall increase in investment of 114%.

Rodriguez Fraga said that “for us it is fundamental and irrevocable that we concentrate on the creation of jobs as the main weapon in overcoming the financial crisis for many families. The second measure in this battle is the assistant we can offer, which will also see increased investment.” Regarding the increase in monies for tourism, he said that some of this would be used early in the new year to fund the project to reposition Costa Adeje in the international market place and “reinforce and strengthen this tourist destination which is the economic motor of the region”.

Responding to questions from journalists the mayor said that “we will continue to work with social commitments made as we believe it is absurd to separate social problems from the administrations which best know the local problems, in other words the councils”. In this regard he criticised the “fixation of the national government with councils…the councils are the bodies that are meeting their deficits, we are the best administrators of public money and the bodies that are giving the best local services”.