The 2010 budget, as presented by Dr. Ashni Singh, the Hon. Minister of Finance is before this national assembly for deliberation and passage. Year after year we go through this process here, every time dealing with a budget exceeding the previous one by millions. This has been the routine.  It is not sufficient for this administration to just routinely run our country. They must build it as well. They must actively determine and shape the way forward for Guyana. It is the will of the people that Guyana moves forward. This is a $ 142.8 billion budget and represents a 10.8 percent increase over the 2009 budget. Inasmuch as we approve bigger budgets year after year most of our people live pathetic lives, have blighted hopes, and are unrelieved of their economic woes. We all know that by the time 2010 ends our economic standard will not increase by 10.8%.

 The few who live a life of cultivated pleasure and comfort here are:-

1. Those who have earned in foreign lands and are now back home on a decent retirement.
2. Those who are fortunate to have remittances coming their way from parents and/or relatives who reside abroad.  
3. Those who fall within the parallel economy of Guyana.

There is nothing in this budget to assure the Guyanese workers and average citizens that 2010 will be a better economic year for them. On the contrary the daily grind will be much harder.

 This budget comes to us under the theme “Consolidate, Transform, and Sustain”. This is an excellent vision to have. However a vision would be hollow and meaningless if there are no concrete goals, targets, and indicators for attaining that vision. By the end of 2010 which is just a matter of ten months away we will all realize that Guyana is no better off than where it was at the commencement of this year. Just as how the 2009 budget had to be supplemented by huge budgetary additions most likely this is what will happen again at the end of this year.

In 1995 at the Caribbean Conference of Regional Programme in Monetary Studies; Dr. Clive Thomas, who is a well known Caribbean scholar and economist, presented a paper on “Social Capital”.  He outlined ten economic principles which we must follow if we want to advance social development. We can build our future by following these principles:-

• It is humane. It elevates social concerns over individual gains/losses.
• It is sustainable. Its true horizon is oriented to future horizons.
• It is empowering. It is not based on exploitation.
• It is synergistic. It affects and is affected by all areas of social life.
• It is catalytic. It is an agent of change.
• It is mobilizing. It helps to develop the energies of society.
• It is accountable and responsible. It emphasizes sharing and trust.
• It is concerned with both development and the distribution of the benefits of development.
• Its accumulation is driven from below because of its social ladder.
• It is non-resistance. Voluntary action rather than external rewards or punishments drive it.

Many of these critical principles are absent from the economic administration of our country and were not considered in the crafting of this budget. We all know that we live in a country which conspicuously lacks the prudent and lawful management of state funds.

My first direct reference to figures in this budget is in to US $ 30 million which is an expected income from Norway as part of a five year forest saving deal. In his presentation the Honourable Finance Minister stated that this money will be spent on “infrastructural development, low carbon small business initiatives, and the cost of land demarcation and land titling for indigenous communities”. The AFC wishes to make it abundantly clear that it is not against Guyana receiving genuine financial assistance from the developed world. Neither are we against the harnessing of our natural resources in an environmentally friendly manner. We believe that this country will definitely flourish when our natural resources are managed for the benefit of all Guyanese. However, it seems as though the implementation of this LCDS deal will impact negatively on citizen’s accustomed practices of livelihood, in particular our already impoverished Amerindian brothers and sisters in Guyana’s hinterland. In order for these brothers to farm, harvest logs or mine; vegetation will have to be cleared. If this is curtailed the suffering and level of poverty among our first people will definitely increase. Of the many races which inhabit our land our first people are the only ones who have an entire Government Ministry designated for their welfare – the Ministry of Amerindian Affairs. Ironically, they still remain among the poorest of the poor in Guyana.

I visited the hinterland settlements and have seen the struggles of these citizens. Many live primitive lives and are virtually cut off from the civilized world. However I support what I just said by the following statement by Mr. Jorg Vereecke, Associate Expert on Indigenous People who prepared a “National Report on Indigenous People in Guyana” for the UNDP (Dec 1994). He stated “Many Amerindian communities are dependant on the remittances from migrant labour whereby men leave their families for work in mining or logging for long periods of time. A major reason for this is the weak nature of subsistence food production in many parts of the interior and the low purchasing power of the majority of the Amerindian families. A serious outcome of this situation is the existence of a rise in the number of female headed households and the implications for stability of the family unit, the neglect of children and excessive burden on women…Lack of human resources and the experience in community development result in the creation of a culture of poverty and dependence”. When I think of the extreme poverty facing our first people the words of Mother Theresa come to my heart. She said “We think sometimes that poverty is only being hungry, naked and homeless. The poverty of being unwanted, unloved, and uncared for is the greatest poverty. We must start to remedy this kind of poverty”. This is the kind of compound poverty that faces our first people. Rather than being dependant on aid and remittances focus should have been placed on the generation of internal economic growth by harnessing the underutilized resources of our land.

The sum of 21.4 billion is allocated to the Education Ministry in the 2010 budget. It was once said that in Guyana education is free from nursery to university. Unfortunately this has been slowly changing over the years as private and subsidized tuition is gradually integrated in our society. More and more students have to rely on extra lessons in order to receive a complete education. There was a time when only CXC and SSEE students underwent this tedious task but now you will find even six year olds required to take extra lessons, and even on Sundays. This comes at a steep cost to parents. In the case of secondary school students it is as high as $ 4,000.00 per subject per month. Later in this month a batch of fifth formers will travel all the way to Lethem to do their SBA. The cost per student is in excess of $25,000.00.  Here is a direct relationship between education delivery and poverty in our country. Sidone Gabrielle in an article titled ‘Timeless Thoughts on Poverty” said “Real poverty is the lack of knowledge. With knowledge comes power. Education is a way out of poverty”. This being an accepted truth one would have therefore thought that this budget would have better reflected policies and programmes that would be helpful to children living in poverty, that more money would have been allocated to improve learning environments, strengthen poor neighbourhoods, and even grant some relief to low income families and paying teachers a better salary.

Education and training is not an end in itself. We need to develop the kind of economy in Guyana which will have the potential to integrate those educated and trained so that they can be gainfully employed. I know of many who have skills in this country but who are without proper employment. In the village where I live there is a particular young lady who was taught knitting and she has knitted material beautifully crafted. Unfortunately she cannot find a market for her product and she still wallows in frustration, poverty and abusive situation. There are many others like this across our country. If people find it hard to find food for their bellies they will not spend money in other areas, and those who are trained cosmetologists, cake decorators, craftsmen etc will struggle to have their products or services sold. Therefore we must begin to address the issue of economic development by improving the purchasing power of our citizens. With persistent low wages offered in this country the very purpose of education and training is defeated and our trained personnel leave to other lands where they can earn a decent living. Simply stated we have been spending our resources in education to the benefit of other nations while we remain poor. 

 Prudence requires that we be guided by experts on this matter. On this note I quote some relevant words from a UNICEF report (2000) which touched on the value of our children. This report says “Poverty causes children to go hungry, missing out on school, or being forced into child labour. Poverty causes lifelong damage to children’s minds and bodies, perpetuating the cycle of poverty across generations. This is why poverty reduction must begin with the protection and realization of the human rights of children. Investments in children are the best guarantee for achieving equitable and sustainable human development. Breaking the cycle of poverty depends on investments by governments, civil society and families”. Notice that in this list of three stakeholders the government is listed first, a point which the present administration needs to carefully note. In most schools across our country the attendance is around 75%. The rest of children just struggle along in poverty missing the most important preparation for life.

The minimum wage remains in the vicinity of $30,000.00 per month.  To add to this misery many of our workers earn less than this. The sweeper/cleaners and security guards in Reg. 4, most of who are women fall in this unfortunate category.  Some are single parents while others work to supplement their husband’s meager income. I am reminded of the simple but yet profound words of Finley Peter Dunne who said “One of the strange things about life is that the poor, who need money the most, are the very ones that never have it”.

No consideration was given to reduce the 16% VAT which has been very burdensome to our people. The income tax threshold also remains at $ 35,000.00 per month. If the AFC had to bring a national budget to this assembly it certainly would have reflected more care and concern for the working class people of our country.

In Nov 2007 USAID presented an assessment of “Guyana’s Economic Performance” which was done by Nathan Associates Inc. This report said “Labour productivity has been stagnant in Guyana. Between 2001-2005 Guyana’s level of labour productivity barely budged, with an average annual increase of a mere 0.1 percent. Such poor performance may be attributed to lack of investment and high emigration rate among trained Guyanese. It is notable that 89% of Guyanese tertiary graduated live in OECD countries”. Three years after these words were written the situation in terms of investment and emigration continues to decline.

The AFC requests that this Budget be reviewed. While many may think that they will continue to ride on the backs of the toiling citizens of our country let us be warned by the divine words recorded in the Bible in Job 34:21 “For the eyes of God are upon the ways of man, and he seeth all his doings”. Let us be warned that Almighty God observes and inspects those who rule the human race. May Almighty God hear the cries of the poor and Bless.

Please follow and like us: