For almost two hours last evening, Finance Minister Dr Ashni Singh berated the parliamentary opposition for its “incoherent” and “inconsistent” criticisms of this year’s budget and said that the foundations of Guyana’s economy have never been stronger.
Wrapping up the 2011 Budget debate, Singh said that throughout the presentations by the opposition members there was the inherent contradiction that the budget did not have anything for the people, yet it was an elections budget. He said the opposition members “could not make up their minds” since they presented to the House “a veritable litany of inconsistencies.” According to him, from the budget presentations there appeared to be no clear policy which guided the positions the PNCR-1G took.
Singh noted, however, that several issues had been raised during the debate and he encouraged the subject ministers to look at these and fix them. He, however, stressed that these had nothing to do with the overall macro economic framework of the country, which was the real focus of the debate.
Responding to Opposition Leader Robert Corbin’s suggestion that the budget has been placed on a weak foundation, Singh said “the foundation of Guyana has never been stronger than it is today” and added that “Budget 2011 is solid as a rock.” Singh, in his address, chose to respond to several of the points raised by Corbin, who spoke for more than two hours yesterday when he made his contribution to the debate. However, Corbin and most of the PNCR-1G MPs were absent from the chamber as the finance minister concluded the debate.
Singh firmly rejected Corbin’s assertion that the administration’s policies often presented inequality in opportunities for some. “With no fear of contradiction, I would say that every aspect of our budget has the principles of equity and equality of opportunity firmly embedded in it. Every aspect of it,” Singh said, with the full support of the government side.
The finance minister also rejected assertions that the budget was compiled without consultations. Singh said that Corbin and others who made such statements had chosen to ignore the responses of key stakeholders. He pointed to the statement by the Private Sector Commission (PSC), which in praising the reduction of the corporate tax had noted that this had come after ongoing engagements with the government.
Responding to allegations of corruption, Singh said: “Our government has zero tolerance for corruption. And where instances of corruption are identified and proven they are dealt with and are to be dealt with in the most condign way possible. We demand nothing less as a government.”
While emphasizing that corruption should not be tolerated, Singh noted that even in the most mature of democracies corruption is evident. He, however, lashed out at the former PNC administration and said the party lacked the moral authority to talk on the issue. “I would suggest that the Leader of the Opposition does not have the moral authority to lecture this government on matters of accountability and transparency,” Singh said.
Meanwhile, speaking about the increase in pensions, Singh urged the opposition not to be “dismissive” of the $7,500 pension now being paid out. He said that the government never said it would sustain and meet all the needs of pensioners. According to him, the pension is to supplement the earnings of pensioners and help them to meet their needs. He said with the increase in old age pension and public assistance the government will now be paying out $4B to vulnerable persons. He said that this money will feed directly into the country’s economy, since the persons benefitting will most likely spend the money on goods and services. He said this would have a multiplying effect way beyond the $4B being paid out. He also spoke at length about the impact that the increased tax threshold and reduced corporate tax would have on the working class and businesses.
“Budget 2011 represents… the latest installment in this government’s policy continuum, a continuum aimed at the transformation of Guyana into the modern and prosperous country we know that it can be,” he said. He urged the opposition to partner with the administration as it continues to lead Guyana down the path of progress.
Two Mondays ago, Dr Singh unveiled the $161.4 billion budget—the largest in the country’s history. From today, the House will begin considering the 2011 Estimates of Expenditure in the Committee of Supply.
