| Unlike at least three other occasions within some 18 months, during the current tenure of the AUM Government, when three budgets were not approved, the 2012 budget has won the approval of the British Government. |
This has enabled Chief Minister and Minister of Finance, Hubert Hughes, and his Cabinet, to take next year’s estimates of revenue and expenditure to the House of Assembly with a measure of confidence and to have it passed without any worry of disapproval in the run-up to Christmas. The 2012 budget is being supported by the imposition of a number of taxation measures, including the unpopular Interim Stabilisation Levy, which were introduced earlier this year. There are several additional new revenue measures which are now to be implemented. These include the Withholding Tax, an Education Levy; a three percent increase on the already seven percent Communication Levy; and increases in driver’s licences.
The Budget Address was presented to the House by the Chief Minister and Minister of Finance on Thursday, December 16. The debate commenced on Tuesday this week, December 20, with the opening speakers being Elected Member for Island Harbour, Othyn Vanterpool, and Elected Member for Valley North, Opposition Leader, Evans McNiel Rogers. The debate continued on Wednesday with contributions from the Government’s side of the House as the 2012 Appropriation Bill, incorporating the budget, moved towards its eventual passage. The figures in the Budget Address show that Recurrent Expenditure for 2012 is estimated at 181 .51 million dollars, while Recurrent Revenue is estimated at 187.65 million dollars. Provision was made for 29.21 million dollars for the Capital Budget.
The financing is expected to be sourced from the European Development Fund in the sum of 12.24 million dollars; grants from the private sector; 5.9 million dollars from the UK Government; CRRIF funds of 5 million; and from reserves of 5 million dollars. Meanwhile, according to the Budget Address, at the end of this year (2011) Recurrent Revenue collectionsare expected to total 194.23 million. This would represent an over collection of 16.54 million of the original 177.69 million dollars.
It has been pointed out that “the recurrent balance for 2011 is expected to be a surplus of EC$21.51 million; that projected capital expenditure totalled $10.81 million; and that the overall balance for 2011 is expected to be a surplus of approximately 10.70 million dollars. |
