Maroc - NEWSDAY.CO.TT - A la Une - 14/Sep 06:02

Colm Imbert expects $15b budget deficit

PNM deputy political leader and former finance minister Colm Imbert says information reaching him suggests the 2025/2026 budget would see a deficit of $15 billion, the largest in the country's history. Responding to the Prime Minister's revelation on September 12 that this year's budget would see expenditure surpass revenues, Imbert warned that if his figure is correct, it would spell disaster for the economy. "I'm hearing it's $15 billion, could be $20 billion. If it's in that range, it means that our debt is going to skyrocket. It's not good for us, but I thought they had all the answers and they were going to balance the budget, so I'll wait and see. Maybe that's a rumour." He was speaking at the party’s post-general council press briefing on September 13 at the Pleasantville Community Centre, 2 Prince Albert Street, San Fernando. Asked about what he believes the maximum deficit the economy could withstand, he said: "I'd say anything above $4 billion or $5 billion. There's a standard rule of thumb, two to three per cent of GDP. Our GDP is about $180 billion, $200 billion probably $180 (billion) so you're looking at maybe three, four billion max. If you go to $15 (billion), as I said, you have to borrow all of that eh, and the local commercial banks are overexposed to the government so it's difficult. It's always been difficult so by having a budget with a huge deficit just creating more problems." To make matters worse, Imbert said his information suggests the $15 billion deficit did not take into account all the promises made on the campaign trail. "Like the ten per cent (wage increase for public service employees) for example. That runs into the billions, another two (or) three billion per year, $20 billion, $30 billion in back pay. That $15 billion deficit that I'm hearing about, hopefully it's not true, does not include back pay and wage increases. It's not a good thing. "Let's hope the rumours are untrue." At the mid-year review, just one month after being sworn in, Finance Minister Davendranath Tancoo said the deficit of the last budget had ballooned to over $9 billion. He accused the former administration of reckless spending and not meeting its commitments. Addressing concerns over the government's stand your ground bill, PNM chairman and former national security minister Marvin Gonzales urged the public not to "take chain up" from the Prime Minister, Attorney General and other government spokespeople as the bill paints a different picture than what they are saying. Referring to statements made by Defence Minister Wayne Sturge in July about it being permissible to shoot an attacker in the back, which the courts would understand given the circumstances, Gonzales said the citizen would need to be arrested and charged before reaching that stage. "This is not what the Prime Minister and key spokespersons of the government have been telling the people of this country, where this stand your ground bill is concerned." To make the determination, he said the bill directs the courts to consider if the force was reasonable, proportional and whether there were other means of defence available. Furthermore, he said the bill does not bring anything new to the legislative table. He argued that while it introduced a "home invasion" offence, this is already covered by the Larceny Act under burglary, house break-in and larceny and house breaking with intent. "The mere fact that you unlawfully entered someone's home is already captured in legislation in TT." Additionally, he said the bill seeks to remove a duty for retreat while maintaining that they must use reasonable force to protect themselves, something he said is already covered under existing laws. Gonzales said, “Citizens have to be very careful that they don't take chain up from the prime minister, from her attorney general and a key government spokesperson because these are matters that the court will take into consideration in determining whether or not disproportionate force has been used. And when one takes into consideration statements made by the prime minister about blow them into pieces.” He criticised the government for its public consultations on the bill for only being held in UNC constituencies. As a result, he said the PNM will hold their own consultations beginning next week. Although a location was yet to be selected, he said it would be in a constituency neglected by the government. The opposition also welcomed the news that the Republic Day celebrations would be held after the government cancelled the Independence Day celebrations due to security concerns. PNM deputy leader Sanjiv Boodhu interpreted this to mean that the state of emergency (SoE) security threat had been neutralised. [caption id="attachment_1165973" align="alignnone" width="1024"] Sanjiv Boodhu. -[/caption] On July 18, the UNC government declared a state of emergency owing to “a serious security threat.” The SoE was extended for three months by parliament on July 28. "(We're) very happy about that," Boodhu said. Speaking to reporters outside the Red House on September 12 about her attendance at the UN General Assembly later this month, in New York City, Prime Minister Kamla Persad-Bissessar said she would first participate in Republic Day celebrations, suggesting it would be taking place. She said she will address to the UN on September 26. "I would have liked to go because it's a whole week of high-level meetings, but I actually have to speak on the Friday and I stay home here to participate in Republic Day and the awards ceremony."   The post Colm Imbert expects $15b budget deficit appeared first on Trinidad and Tobago Newsday.