Congratulations again to the FNM for winning the government. The country badly needed a reset and now the rubber meets the road.
I keep telling myself I should not be disappointed with the new Government’s budget, after all they were only elected May 10, and had all of two weeks to take over and put their stamp on it. But I am.
There are bright spots from my perspective. Page 11 where they speak to “Strengthened Fiscal Discipline and Public Sector Accountability” and commitments to strengthen the office of the Auditor General on page 63 are important and noted with relief, but the language seems to have taken a turn toward bureaucratic speak rather than letting the chips fall where they may as the country was promised.
A positive comment was made that the new government will work with the private sector to improve economic growth. That said I note that no mention of changing business license tax from a percentage of gross turnover to a charge on net profit was made. Neither was there mention of removing the time wasting certificate of compliance nuisance.
The comment that State run enterprises might be privatised also piqued my interest. Need more details before I get too excited though.
Yes, I realize they can’t go in like a bull in a china shop, but I did not read anywhere about specific cuts to expenditures as they exist and hence they presented a budget that matches the 2016 - 2017 spending habit. I don’t think this is a good sign, but hope to be contradicted.
The task ahead of the new government is frightening and I applaud them for the reasoned tone they are attempting to set, but the Budget is a crucial instrument to convey a strong message and direction. I don’t think it went far enough with expenditure control and taking the first major steps at reducing spending where they can.
In the meantime though, we all need to be supportive over the next three to six months. By then, we will know if the Budget was just an effort that will reinforce the status quo or if they are serious about reducing and controlling expenditure among other promises of fiscal responsibility and government accountability.
After all, the more our governments have taxed over the decades, they have always spent more than collected and borrowed even more to boot. That's why the country is in the fiscal dilemma it's in.
I wish them Godspeed with getting this house in order.
The reset button has been pushed.
