El Siglo reports on the concern of the business sector on recent government actions. The presidents of two leading business organizations, Ignacio Mendez (Federacion de Asociaciones Industriales) and Antonio Espin (Asociacion de Empresas Industriales de Herrera) coincided in their comments to the newspaper that in the past four months, since talks on increasing taxes started, sales have dropped as well as investments and the expansion rate of several sectors. Mendez and Espin said that if the situation continues several small and medium size businesses will go under. Mendez said that the fact that a law is passed today and tomorrow it is modified or a decree is issued that contradicts it creates uncertainty among businessmen and investors. He said that this problem is causing people to be cautious about spending. Espin said that stores are going through a slow period and that the government should do less talking and work to reactivate the economy. He said President Mejia’s role is to make the economy more dynamic so that poverty can be really confronted with the creation of new jobs. The governor of the Central Bank, Frank Guerrero said that the country will continue to be the fastest growing economy in Latin America with a 6-6.5% growth and 7-8% inflation rate.
