Today marks the 70th day since Guyana held its 2015 national and regional elections. Prior to the elections the contesting political parties outlined their plans for the management, and economic and social development of Guyana, should they accede to the seat of power. They did so in the
form of manifestos. The APNU+AFC coalition won the elections, albeit by a very thin margin, and its manifesto listed 21 action items that it will address in its first 100 days in office. These are:
- Reduction in the Berbice Bridge toll;
- Significant salary increases for government workers, including nurses, teachers in primary, secondary and tertiary education, security personnel, and civil servants on the traditional payroll;
- Immediately implement a phased reduction of VAT and the removal of VAT from food and other essential items;
- Significant increases in Old Age Pensions;
- Reduction of the President’s pension and other benefits will be recommended and referred to a Special Select Committee of the National Assembly for determination;
- Establishment of passport and birth certificate licensing offices in Berbice, Essequibo and Linden;
Return of television station to Lindeners;
- Waiving of duties on fuel, tools and small scale mining equipment;
- Set date for early holding of local government elections;
- Establishment of the Public Procurement Commission;
- Establishment of National Cane Workers and National Cane Farmers Conference;
- Establishment of National Rice Farmers and Rice Millers Conference;
- Establishment of an Investigative Commission on Corruption;
- Establishment of a Task Force on Crime & Security and Road Safety;
- Holding of a national conference of women, and the establishment of a bi-partisan women’s group as part of the Healing the Nation and National Unity trust of the APNU+AFC. The Gender Policy will be collectively drafted by women from across Guyana as an output from the conference;
- Having a code of conduct for Parliamentarians, Ministers and other holding high positions in government public office to abide by, including mechanisms for demitting office if in violation of the code of conduct;
- Convening of the National Youth Council and developing its mandate, terms of reference and programme of action for endorsement at a National Youth Conference;
- Convening of an Indigenous Peoples Rights & Resources Conference and the re-assessment and depoliticisation of the National Toshaos Council;
- Liberalization of the Telecommunications and ICT sectors;
- Adoption of a long-term sustainable economic development plan to realize the vast potential of this country; and
- Implementation of an amended Anti-Money Laundering and Countering the Financing of Terrorism Act.
An ambitious action plan
It should be said from the outset that this is a very ambitious plan to be executed within such a short timeframe. It resembles more of an annual plan. Nevertheless, reasonable progress has been made so far. For example, the Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) Act 2009 has been amended to bring it in line with international standards. Similarly, a cap has been placed on former Presidents’ benefits. Several other items in the action plan will, however, have to await the outcome of the 2015 budget, the draft of which is expected to be presented in a matter of days to the Cabinet for its consideration before being laid in the National Assembly. These items include: the reduction in the Berbice Bridge Toll; salary increases for government employees; increases in Old Age Pensions; phased reduction of VAT and the removal of VAT from food and other essential items; and waiving of duties on fuel, tools and small scale mining equipment.
Under Article 219 (3) of the Constitution, the Minister of Finance has up to three months from the date of the first sitting of the 11th Parliament to present the national budget for 2015. Since Parliament first met on 10 June last, the Minister has until 10 September 2015 to present the budget.
However, the 100 days will expire on 19 August, but from all indications the budget will be presented to the Assembly before that date.
As regards local government elections, the Minister of Communities, while not fixing a date for the elections, indicated that such elections will be held early next year since the Elections Commission needs at least six months to prepare for such elections. In order to fulfill the new Government’s election promise, a date for holding of the elections needs to be announced.
Amendment to the AML/CFT Act
and former Presidents’ benefits
The anti-money laundering legislation has been amended to insulate the Financial Intelligence Unit (FIU) from political influence by providing for, among others: (a) the establishment of an Anti-Money Laundering Authority to provide oversight of the operations of the FIU; and (b) the appointment of the head and deputy head of the FIU to be approved by the National Assembly by simple majority. Previously, the Minister of Finance carried out these two functions. Certain definitions were also expanded and tightened, and new definitions are included in the new Act.
As regards placing a cap on former Presidents’ benefits, the now repealed Former Presidents (Benefits and Other Facilities) Act 2009 provided for unlimited benefits, such as local and overseas medical treatment; utility services; services of personal and household staff (inclusive of an attendant and gardener); services of clerical and technical staff; the provision of motor vehicles owned and maintained by the state; toll-free road and bridge transportation in Guyana; and an annual vacation allowance equivalent to the cost of two first-class return airfare tickets provided on the same basis as that granted to members of the Judiciary.
This column is on record as having stated that, given the size and state of our economy, and with a per capita income of US$3,410 (second lowest in the Caribbean), the benefits were indeed unconscionable. Even the tax-free pension of seven-eighths of the salary of a sitting President is considered exorbitant, considering the level of emoluments payable to the Heads of State of other countries that are far more economically better off than Guyana.
The maximum pension payable to an officer in the traditional Public Service is two-thirds of the average of the last three years of salary, and the officer has to have pensionable service of at least 33 and one-third years.
Under the new Act, household staff is limited to three persons; security personnel to two persons; and clerical or technical staff to three persons who must not be engaged in any political work. In addition, a former President is entitled to two vehicles to be owned and maintained by the State; and free medical attention and treatment or reimbursement of medical expenses incurred to $200,000 annually for self, spouse and children below the age of 18 years.
Establishment of the Public
Procurement Commission
The Public Accounts Committee has to nominate the five members of the Procurement Commission, and the National Assembly by two-thirds majority has to ratify their appointments. With the political Opposition not taking up their seats in the Assembly, it will take quite a while for the Committee to be constituted. In addition, the requirement of two-thirds majority is likely to pose a huge challenge in terms of agreement on the names of the five candidates.
This is likely to further delay the activation of the Commission. The next best alternative, therefore, is for the National Procurement and Tender Administration Board (NPTAB) to be reformed in such a manner that the public will place confidence in its work. Sadly, such confidence is to a large extent absent, considering that: (a) the Minister appoints the members of NPTAB; (b) the Chairman has a reporting relationship with the Minister who is a key member of the Cabinet that ratifies all contracts of $15 million and over; and (c) it is not publicly known when last the members were rotated in keeping with established norms.
One consideration is for the NPTAB to be given greater autonomy and flexibility, free of ministerial involvement and influence, while at the same time ensuring that the provisions of the Procurement Act are followed. Indeed, the Act provides for the NPTAB to execute the functions of the Procurement Commission until such time that the Commission is established. The reforming of the NPTAB could therefore be such that, in addition to its own functions, its operations could mirror those of the Commission. Of course, this is a temporary measure until the Commission is established.
Code of conduct for Parliamentarians and senior public servants
While highly desirable and urgently needed, the code of conduct has to be supported by a fully functioning and effective Integrity Commission. Surprisingly, the 100-day action plan has not addressed the fact that since 2006 when Bishop George resigned as Chairman of the Commission, there has been no sitting of the Commission since then. Compliance has also been uneven in terms of filing of annual returns of income as well as assets and liabilities.
Both the Inter-American Convention against Corruption (IACAC) and United Nations Convention against Corruption (UNCAC), to which Guyana is a signatory, emphasise the importance of having strong and effective mechanisms in place for not only such annual declarations and scrutiny thereof but also in relation to public procurement. On the brighter side, an Asset Recovery Unit has been established under the leadership of Prof. Clive Thomas, and a number forensic audits are about to be finalised.
Finally, we need to have anti-corruption legislation in place, supported by Whistleblower Protection legislation. In this regard, an Anti-Corruption Agency should be established, clothed with investigative and prosecuting powers, and an Anti-Corruption Court set up to deal expeditiously with cases brought before it. If these measures are put in place, they will demonstrate to all Guyana and the world at large how serious and committed we are in our fight against corruption. There will also be a significant improvement in our standing on the Corruption Perceptions Index which, like several other indicators, has consistently placed Guyana second lowest in the Caribbean.
