2019 Budget – ‘unfit and improper’

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Budget 2019 debate presentation of Komal Chand, M.P.

Cde Speaker, I rise to make my contribution to this 2019 Budget debate. The Budget, now several days old, has been digested by the Guyanese people who, at this time, are unable to see how it will make their lives better. Cde Speaker, indeed this fifth budget of the Coalition, like its predecessors, continues to push our people backward rather than taking them forward and upward. It is disappointing to say, Cde Speaker,the confidence in the future, the Guyanese people had prior to the Coalition taking office has all but evaporated.

While our people are uneasy, the Administration at page 19 of the Budget says it wants “…every family being able to afford a healthy lifestyle, with all the basic needs of sustenance,shelter and education being met, and… where environmental responsibility and personal safety are paramount”. Those indeed are lofty aspirations, but are we being taken there? We of the PPP/C, and very many Guyanese, are convinced that this is not the case. Our today realities are very, very different from the utopian paradise the Government seeks to paint. This obviously is a glaring indication of the Administration’s disconnect from the ordinary people. Cde Speaker, my colleagues on the other side need to step out from their ivory towers to see how the working-people are faring.  It is no secret that business has slowed to a near halt; our markets have more vendors than buyers;many of our children walk to school as their parents are unable to afford transportation;crime stalks the land and hardly anyone feels safe. Today, hunger is knocking on many doors and growing numbers can ill-afford to pay their bills. Such are our sad realities of today.

We are told too, that this is the largest budget in the nation’s history. Indeed, $300B is a large sum and if properly utilized it could do a lot for our heavily burdened people. The disturbing fact, however, is we, given our experience, have almost ‘no confidence’ that this will really be the case. Cde Speaker, in the life of this APNU+AFC Government, taking Budget 2019 into account, the Government would have spent an astounding $1.2T. To make a comparison, it took the last seven (7)budgets – that is from 2008 to 2014 – of the PPP/C Administration to spend a similar sum. But for that investment, the economy grew cumulatively by 28.2 percent; old age pensioners received increases in pensions apart from water and electricity subsidies; school-aged children benefitted from $10,000 grant; our hospitals and health centres had an adequate supply of medication; our workers were generally satisfied, apart from the all-round development, our people witnessed. Under the APNU+AFC, for that investment we are promised 15.7 percent economic expansion, and our pensioners have lost their subsidies; our children lost their grant; the hospitals and clinics are often out of drugs;thousands of Guyanese have been made jobless; and development has slowed tremendously.

Nothing for the workers

Cde Speaker from the workers point of view, Budget 2019 really has nothing for them to be excited about and is yet another indicator of the anti-working-class demeanour of the Administration. Cde Speaker, not even one sentence in the Minister’s approximate 260 minute address referred to any plan to enhance workers’ rights and protections.Indeed, they are quite a few matters to address some requiring legislation or amendments to existing acts.  By ignoring these realities, Cde Speaker,the Government is exposing, unfortunately, its lack of concern for the working-people.

Cde Speaker, the Administration also saw it necessary to allocate several million dollars to the Golden Jubilee of Republicanism in 2020. Indeed it is a memorable moment in our country’s history and one that will require celebration and reflection. But Cde Speaker, while monies are found to plan for celebrations more than a year away, I do not seethe same attention given to the centennial anniversary of Trade Unionism will be celebrated in our country in a matter of weeks. This, too, is a momentous achievement for our people, more so for our workers. The Administration’s silence, Cde Speaker, says a mouthful.

This Budget, Cde Speaker, is not worker friendly.  Of the twenty-eight (28) budgetary measures proposed, only one concerns a marginal improvement in our working-people’s well-being. At the same time, there are several measures aimed at assisting the business sector, which are important, but we should remember that thriving businesses rely on people who can afford their goods and services. The glaring absence of equity, among other factors, could, therefore, negatively affect the intended objectives.

The Government, Cde Speaker, is boasting about the adjustments to the income tax threshold as if the Scrooge-like improvement were some grand concession. The fact that the Administration has resorted to clutching at straws is yet another indication that the Budget lacks any substantive policy to really alleviate our people’s burdens. Cde Speaker,the increase in the tax threshold works out to workers receiving $47 more a day which cannot even take care of the increased minibus fare which, I must add,was increased by the Administration after it adamantly rejected calls to reduce the taxes on fuel. On this matter, I wish to remind the Government that in the AFC column appearing in May 03, 2015 Kaieteur News it was said that if elected,the APNU+AFC Government would “[i]ncrease the personal income tax threshold to $100,000 in a phased approach”. Cde Speaker, I wonder what has happened to that promise?

The Budget, Cde Speaker, on page 88 says“…the wages and salaries of public servants will be increased in 2019, after discussions with the respective unions”. Cde Speaker, permit me to emphasize collective bargaining is not an option; it is an obligation which was enshrined in our Statue Book by the PPP/C Government. It was among the several rights that the PPP/C gave the workers of Guyana. Cde Speaker, I also wish to remind the Minister that his Government on page 25 of its manifesto said it would “[e]nforce the Principles and Laws Governing Collective Bargaining”.Today, this commitment rings hollow. The Government really, Cde Speaker, has to stop putting its foot in its mouth.

The Minister also said on page 25 of his address that the Government is “…committed to continuously improve wages and salaries of all public sector employees”. That general statement must betaken against what GPSU President, Patrick Yarde said, reportedly, in the November 15, Guyana Times that “…public servants are receiving ‘poverty payments’ for salaries”. In fact, the Minister boasting about the $50,400 retroactive payment, works out to $138 a day barely the price of a pine tart!

Cde Speaker, for me it is sad to note that the sugar workers have received the worst treatment at the hands of this Administration. Not even the days of the Burnham Administration had the sugar workers been treated as disdainfully as they are now. Can you imagine, Cde Speaker, while the Government is trumpeting its paltry increases it didn’t even give the sugar workers that! These workers did not get one blind cent in pay increase since the APNU+AFC took office. It is baffling to understand, Cde Speaker, why are the sugar workers being treated so shabbily. One can only conclude that this is plain eye-pass and blatant discrimination by this anti-worker administration.

Our pensioners and vulnerable ignored

Another issue warranting attention is the increase in the old-aged pensions and public assistance. Cde Speaker, I wonder whether the Administration is not embarrassed to talk about its treatment of those entitled to such benefits. It seems clear to us, that the Administration shows scant regard for the country’s elderly and vulnerable. The$1,000 per month increase works out to $32 per day. What a shame! Is this all the biggest budget in our history can afford?

Redundant sugar workers non-existent in Government’s eyes

Cde Speaker, the Minister on the pen-ultimate page of his address said, inter alia, “…have taken the tough decisions…”. It appears that Minister Jordan, has borrowed his colleague Vice President Ramjattan often used quip, as he seemingly referred to the Administration’s short-sighted decision to close four (4) sugar estates and put 7,000 Guyanese workers out of work. Today, Cde Speaker, many of those rendered jobless have been unable to recover from that decision and are facing severe hardships. Interestingly, the Minister on page 61 of his address said the sugar sector “…has huge potential for growth, being pivotal to increasing household incomes, reducing unemployment and, ultimately, lowering the poverty rate”. So if this is the case, Cde Speaker, why did the Government close the estates and created thousands of new poor? Clearly, this further serves to demonstrate the callousness of the decision to minimize the industry.

Sugar industry downplayed

Cde Speaker, the sugar industry still plays a pivotal role and touches the lives of tens of thousands of Guyanese. It is, therefore, disheartening to record the obvious confusion in the industry.The Minister tells us by 2021, the industry will produce 145,000 tonnes of sugar, 48 per cent more than what the industry is anticipated to produce this year. While we of the PPP/C want the industry to succeed, the Government’s approach has been hopscotching to say the least

Cde Speaker, the Finance Minister now tells us that the massive production increase will be realized through there-capitalization plans contained in the Sugar Task Force three-year plan for GuySuCo. But Cde Speaker, apart maybe from a select few, no one has the plan that the Minister speaks about though we continue to hear about it. In fact,the sudden news of a plan is a surprise to many considering that President Granger in his address to the National Assembly on October 18, said a plan was being drafted. Cde Speaker this so-called plan must be made public and for there to be a full and comprehensive discussion of it by the stakeholders.

A new Demerara Bridge – another talking point

Cde Speaker, as an MP representing Region #3, I recognized that $100M has been allocated to evaluate proposals for the construction of a high-level four-lane Bridge. This latest allocation comes after reportedly $160M was spent on a feasibility study that the PPC pointed out was improperly procured. Cde Speaker, the new bridge, it seems, will come into conflict with Exxon’s shore base at Houston. In fact during a recent visit to the identified site, it appeared to me, that there is no space to accommodate the Bridge unless billions are expended to acquire private property in that area. Indeed, with these possible heavy costs before the first inch of the bridge is actually built, it seems the tolls will rival the charges that the Berbice Bridge was seeking to implement. 

Conclusion

Cde Speaker, Budget 2019 is ‘unfit and improper’ and will not inspire Guyanese that better days are ahead. Indeed, it was felt that the Government, recognizing the dire message from the Local Government elections results, would have woken up and recognized the dissatisfaction among Guyanese. Budget 2019 indicates that this is not the case and the Government has continued to perpetuate its unpopular measures, this is not an encouraging sign.

On this score, Cde Speaker, I, like my colleagues and all right-thinking Guyanese, cannot support Budget 2019. I urge the Government to recall the Budget and return with a more realistic plan.

Thank You

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