National budget figures questionable; broad-based national budget consultation absent- Roysdale Forde

Last Updated on Monday, 22 January 2024, 16:01 by Denis Chabrol

Opposition A Partnership for National Unity+Alliance For Change (APNU+AFC) parliamentarian, Roysdale Forde on Monday forecast that government spending for 2024 would far exceed the budgeted GY$1.1 trillion because government would continue the trend of bringing financial papers for large amounts of money during the year.

He said the resort to seeking parliamentary approval during the year for more funds could be the result of misuse of funds, improper strategic planning, corruption and fraudulent conversion but House Speaker Manzoor Nadir immediately said the latter two reasons were prohibited in the House.

According to Mr Forde, the Irfaan Ali-led administration returned six times in 2023 for supplementary funds, raising serious questions about the transparency and accountability of the national budgetary process, inaccurate forecasting, imprudent financial management or intentionally downplaying them for optics. “The question that looms large on the minds of the citizen is which budget is the real one. Mr Speaker, this sleight of hand where the government habitually, ritualistically underclaims the financial requirements and later seeks supplementary funds raises serious questions about the credibility about the initial budgetary figures. It leaves citizens and policymakers grappling with a financial sense of disarray, unsure of whether the government’s budgetary projections are genuine or mere placeholders, so to speak, for the eventual plea for more money,” he said.

Records show, for example, that in August 2017, the then APNU+AFC administration had secured approval for GY$2.514 billion in supplementary financing, and GY$1.75 billion for the payments of severance to sugar workers.

Mr Forde, who is also the Shadow Attorney General and Minister of Legal Affairs, also criticised the People’s Progressive Party Civic (PPPC)-led administration for failing to hold national budget consultations with the opposition that represents about 50 percent of the population as well as elected local councils, business organisations, trade unions and representatives of marginalised groups. “The government is essentially sidelining the voices to provide valuable perspectives on how to create a budget that is truly inclusive and responsive to the needs of the society,” he said. Mr Forde said the lack of meaningful consultations with those who bear the brunt of fiscal policies would lead to the increasing risk of misallocation of funds and a financial plan that fails to address the real needs of people.

He pummelled the government for failing to allocate sufficient funds from the oil revenues to cushion the impact of rising food prices and rent. Bringing the budget down to brass tacks, Mr Forde said the increase in the income tax threshold by GY$15,000 to GY$100,000 as well as the GY$3,000 increase each in Old Age Pension and Public Assistance amounts to GY$100 per day comes as cost of living is increasing “exponentially.” He cited a spike in prices of among other things, a slice of pumpkin, that was now selling for GY$1,000 compared to GY$200 per slice about one year ago. Checks by Demerara Waves Online News at Georgetown’s two major public markets on Monday revealed that more than 98 percent of the slice of pumpkin was selling for prices ranging from GY$300 to GY$400. Celery was selling for GY$2,000 per pound. Mr Forde said a two-bedroom apartment five years ago was GY$60,000 per month but now is more than GY$120,000.