Published 19 July 2018
Buckie Got It, St. Kitts and Nevis News Source
Government in surplus: To fund the Social Assistance Support, advises PM Harris
BASSETERRE, ST. KITTS, July 19, 2018 (PLP PR Media Inc.) — Prime Minister and Minister of Finance, Dr the Hon Timothy Harris, at his monthly press conference held on Tuesday July 17 in the Parliamentary Lounge at Government Headquarters advised the Nation that his Team Unity Government is in surplus and will fund the Social Assistance Programme for Economically Challenged Households.
“The $500 support for families with incomes of less than $3,000 per month is one which has been high on the agenda of the Team Unity Administration,” Dr Harris stated in his opening remarks. “And as a government that has been steadfast in doing what we committed to do in our Inaugural Team Unity Manifesto of 2015, I am pleased to report that starting Wednesday, August 1, we will begin the registration of households with incomes of less than $3,000 per month.”
According to the Hon Prime Minister, the registration exercise will run for two weeks until Wednesday August 15. He advised that enumerators will be present in each of the community centres on St. Kitts to help fill questionnaires that need to be completed for each household as a first step in the process. Primary schools and other public properties will be used in areas where there are no community centres.
At question time, a media practitioner asked the Prime Minister how programme was going to be funded, and wondered out loud how sustainable it would be. In his reply, the Minister of Finance said that it would be funded entirely from the Government funds as Government has the resources that will be used on the people.
“When I report time after time that we are a government in surplus, it is excellent news and this is what surplus allows us to do: To find the fiscal space to implement what will be the most expensive social intervention programme ever in the history of the country of recent vintage,” reported Dr Harris.
“The excellent management of our country is redounding in tangible ways to the people. So everyone who will receive their $500 could say thanks to the excellent management of the country by Team Unity. It has never happened before and it couldn’t happen before because recall in the 2010 at least to 2013 period we were in a period of deficit and we were in a period of IMF austerity programme.”
The Prime Minister reminded that the then government had to go to the IMF and borrowed $224 million to be able to pay the wages for civil servants. But through Team Unity Administration’s prudent management over the last three years where it has been commended by every international and regional institution of note, “we have been able to put aside resources for the proverbial rainy day or hour of need. And at this particular juncture the buffer of resources is sufficient for us to embark upon this programme.”
On sustainability of the programme, Prime Minister gave his assurance that as long as the country continues with Team Unity Administration, the administration knows how to manage and to secure the resources. He noted that there have no significant movement in tax and no new taxes under his administration and yet it has been able, year after year, to record surpluses.
“So it is an excellent track record and if that continues there is no reason why this programme would not be sustainable,” observed Prime Minister Harris. “But equally we expect over time that there will be some natural attrition as persons find better jobs. Then certainly each year that number should be in reduction.”
The Prime Minister concluded by saying: “How significant will depend upon the rapidity of growth in the terms of the job market, because as people earn more, as households earn more it means that we do not have to continue where we started. Better days, then, are coming and we are doing this now in anticipation that the people of the country will allow the better days to be sustained by renewing their confidence in the Team Unity Administration.”
ENDS
Pix caption:
Prime Minister and Minister of Finance Dr the Hon Timothy Harris at the Press Conference on Tuesday July 17.
