Too many irons in the fire right now, so can't spend too much time on this, but here are a few quick thoughts, comments and questions:
1. Where does government get the money they are supposedly giving away? You guessed it...from all Bahamians.
2. Is the duty break for hybrid vehicles is simply a PR stroke of genius and nothing more? Hybrids are not even offered to local suppliers by the manufacturers at this stage?
3. What impact could the drop of a 2% or 7% Stamp Tax have on food items? When spread over the population this makes no difference to ever increasing prices.
4. How much revenue is being lost as a result of all these so called tax breaks?
5. Bahamians are encouraged to become spendthrifts in tough economic times. The Government does exactly the opposite by supposedly cutting taxes and increasing expenditures. Doesn't sound like sound fiscal policy to me.
6. The so called green policies outlined are simply there to placate their critics. In other words they're just more sound bites, and finally,
7. The Opposition PLP are apparently upset because the FNM have stolen their ideas. Well that's enough to frighten me about the entire budget. Even Mr. James Smith, the former PLP Senator and Finance Minister could not get the PLP under control with their spending.
Regretfully, these annual exercises have become shows of symbolism over substance by successive Governments. It proves the theory, at least to my mind, that government is in over its head. They should concentrate their efforts on creating a sound investment policy so investors, Bahamian and Foreign, will continue to grow the economy, support the Courts and Police and maintain the roads.
For them to assume that they can "stimulate" the economy by ever increasing debt loads is hypocrisy in this not so humble bloggers opinion.
In the mean time, don't be too shocked at the numbers in the links to the budget below:
Summary of Recurrent Expenditure
