One of the most important presentations this week, in relation to Anguilla’s Medium Term Economic and Fiscal Plan 2016-2018, was delivered by Mrs. Shantelle Richardson, Director of Economic Planning in the Ministry of Finance.
She outlined the Medium Term objectives as being: to promote a stable environment that fosters sustainable economic growth and development, private sector expansion and the development of human capital.
Among other matters, the economic objectives of the plan are to achieve sustainable economic growth; improvements in tourism; improving access to Anguilla; small business enterprise development promotion; economic diversification within traditional sectors as well as productive sectors that have shown potential for growth; tourism production development for niche markets; promotion of fisheries, agriculture and economic residency; restoring stability in the ailing financial sector; greening of the economy to ensure sustainability; development of an integrated coastal zone management plan for Anguilla; drafting and implementation of a modern physical plan and environment protection legislation; the efficient delivery of essential utilities including increasing the supply of water to a maximum of one million gallons per day; the privatisation of utilities such as divesting 50% of the Government’s shares in ANGLEC, and divesting the Water Corporation Authority.
In terms of social development initiatives, including education, the Medium Term plan calls for the development of the TVET Framework; improving the teaching and learning environments; improving the Literary Development Project in Science, Technology, Engineering and Mathematics; a review and redevelopment of secondary education provision and facilities; and the continued development of the Anguilla Community College.
The social initiatives also include youth development and behavioural programmes; the development of a national sports policy, the reintroduction of the sports award recognition system; and the improvement of health initiatives with particular reference to the control of non-communicable diseases.
In public finance and fiscal management, the Government is committed to maintaining a fiscal climate that is conducive to growth and development; and to pay attention to such matters as expenditure management and control, debt management and revenue enhancement.
Mrs. Richardson’s presentation also looked at the 2016 Capital Budget of EC$26,347,800. This comprises United Kingdom grants of $5,281,000 for a Control Tower and Fire Hall, and $4,000,000 for the Road Bay Jetty; a loan of $5,500,000 for the Anguilla Community College; a grant of $2,000,000 from the Caribbean Catastrophe Risk Insurance Facility for the Disaster Recovery and Mitigation Project in Anguilla; a grant of $120,000 from PAHO for a STEPS survey; and a proposed grant of $9,646,800 from the EDF for various other projects (BREXIT permitting).
The Medium Term presentation also looked at various revenue measures for the period 2016-2018. These comprise the following:
• Increase Marketing Levy from $1 per night per person to $3 a night;
• Implement Training Levy – 10% of the work permit fee
• Increase Communication Levy from 10% -15%
• Implement updated Property Tax Register
• Increase ANGLEC Licence by 150%
• Implement a 0.065% Gross Revenue Tax on ANGLEC
• Implement Petroleum Licence – bulk importers
• Implement a 0.085% Gross Revenue Tax on Petroleum bulk importers
• Increase Land Registry Fees by 100%
• Increase Drivers’ Licences by 25%
• Increase Vehicle Licences by 25%
• Increase Cruise Permits by 50%
• Introduction of Goods and Services Tax (GST) at minimum rate of 10%; and
• Introduction of a Social Development Levy (National Health Fund).
There are a number of additional reform measures. These comprise a reduction of revenue arrears; publication of a policy on the utilisation of windfall revenue concessions ; a review of the travel subsistence policy for Government Ministers and Officials; a consolidation of Public Financial Management Legislation for the Trade and Investment Unit and the Commerce Unit, clarify and publicise a policy on issuing of processes including alien landholding licences and work visas; and the introduction of a single Companies Act and Insolvency Legislation.
