Seeraj says Budget reflects realities
–         provides solid economic platform for sustained growth and addresses needs of all Guyanese
DURING the continuation of the 2012 budget debate last Thursday evening, after charming Deputy Speaker Deborah Backer with the subtly-veiled innuendo that she is the preferred choice as presiding officer in the National Assembly and an invitation to a private bilateral discussion, which elicited much humour in the House and set a tone of camaraderie he normally achieves in his engagements, PPP/C MP Dharamkumar Seeraj launched into his formal presentation with allusion to the new parliamentary dispensation, which he declared as a new experience for even government functionaries and members.
He congratulated Finance Minister Dr. Ashni Singh and his colleagues for the long hours, many days – way into evening, that they spent in preparing Budget 2012.
Seeraj reflected that he is sometimes inclined toward suggesting to Minister Ashni Singh to allow the opposition to prepare and present a budget to see how they will fare in presenting a budget of this magnitude, which the PPP/C has done since 1993.
It is taken for granted, he asserted, that it is an easy job because of a lack of appreciation and understanding of the complex nature of undertaking the presentation of such an all-encompassing Budget.
Greenidge not living up to expectations
Admitting that he looked forward to a profound and in-depth presentation by Carl Greenidge, because the member was once Finance Minister under the PNC regime, Seeraj lamented that he was sadly disappointed, and he recalled the fiery presentations by the late PNC stalwart Winston Murray, and current member Volda Lawrence, with a snipe at former PNC chairman Basil Williams that, although he tried once he did not “make it”.
Greenidge’s presentation, he averred, left a lot to be desired.
Seeraj pointed out that the Finance Minister, in his presentation, made several profound statements that have to do with positioning Guyana’s economy within regional and global contexts; because Guyana’s economy cannot be placed in isolation without global fiscal dynamics and its impacts being taken into consideration.
He said that according to the Finance Minister, real growth in Gross Domestic Product (GDP) averaged 4.4 percent over the past five years.  Last year it was 5.4 percent, with a projection this year of a 4.1 percent.
External balances are currently the highest ever, with external reserves increasing three-fold since 2006 to US$798 million.  The external debt has been reduced from 658 percent of GDP at the end of 1991 to 47 percent at the end of 2011.
Taken in isolation, these figures do not impact on the consciousness to convey the magnitude of Guyana’s performance when compared with the rest of the world, opined Seeraj.
Providing a comparison analysis, for instance, of growth figures close to home, he noted that the growth in the Caribbean region in 2010 was 0.2 percent; in 2011 it was 0.7 percent; with projections for 2012 being 1.7 percent; even while Guyana’s projections of growth rate at 4.1 percent.
Position Budget in right context
Reiterating that this is the context in which Guyana’s economy has to be positioned, Seeraj continued, stressing that all the figures are in the Minister’s presentation.  He went on to contextualize Guyana’s economic performance within a global landscape, stating “…global output expanded by 3.8 percent, which is down from 5.2 percent in 2010.”
Seeraj stressed that the advanced economies of the developed countries grew by a mere 1.6 percent, with projections for 2012 being a 1.2 percent growth rate.
Pointing out that there is nothing like perfection, Seeraj appealed to the House to view the Budget in the context of the foregoing figures.
He reflected that sustaining the infrastructural framework and developmental programmes of the country currently on stream is imperative, as well as initiating new programmes toward achieving the planned developmental goals.
While conceding that it is the right of the opposition to raise concerns about contentious issues, Seeraj rejected as unwarranted the constant criticisms and unrealistic suggestions for inclusion in or changing of the Budget.
Mentioning as an aside that beef is VAT-free – zero-rated, as an indirect reference to Member Allicock’s contentions in his presentation, Seeraj informed the House that it is important to let the public know that many consumer items, including most foodstuff, are not VAT-able, which is one of the measures the Government has put in place to achieve economic development and the well-being of the Guyanese people, especially those falling into the lower income bracket.
Life expectancy has climbed because of Government’s comprehensive healthcare
Explaining, Seeraj said: “If we look at the issue of pension, for example, and we take into consideration the life expectancy experienced in this country in 1991, we could easily raise the pension if we had maintained that life expectancy, if we had not done the necessary investments in the health of our people, in proper food security, in education, in providing an enabling environment that has caused life expectancy to move from 59 years to 70 years, and had we allowed it to remain at 59 years, we could have easily set pension at one million dollars, because people would not have been alive to receive that pension.”
Seeraj reminded the House that pension was set at G$211 in 1991 under the PNC government, far removed than that received today, and also noted that even before birth a Guyanese citizen is provided for by this government through the investments of the health sector in maternal care for expectant mothers.
He conceded that the current pension is not enough, but stressed that in every successive budget there has been continuous increases.   “From 2006  – $105 billion; $109 billion; $167 billion: Last year $154 billion, then $192 billion; which demonstrates continuous economic growth in keeping with our economy and solid macro-economic management by the government in terms of ensuring that Guyana stays on course,” he declared.
Alluding to the private sector’s stated and growing confidence in the performance of Guyana’s economy, Seeraj avowed that this is reflected in the volume of investment in the country’s various sectors.
Referring to the sector under his remit as General-Secretary of the Rice Producers Association – the rice industry, Seeraj emphasized that Guyana has been breaking records in rice production, which he ascribed to the enabling environment created by the government. He said that the record production in 2009 was broken in 2010, with the 2011 record superseding that of the preceding year.  Production in 2012, Seeraj noted, is expected to exceed that of preceding years.
Apart from investments in physical infrastructure, he explained, training has also been an important component of the sector; and he mentioned, inter alia, the Farmers’ Field Schools (FFS), exchange visits, with knowledge of modern farming technology imparted to farmers during practical sessions in their fields, where the farmers and scientists engage with each other in a mutual learning processes.
NOT PANDERING TO POPULAR THINKING
Seeraj contended that the Finance Minister could have played to the gallery with a budget that reflects the popular thinking; but he asserted that, instead, the Budget followed an inexorable trend set on a path charted by successive PPP/C manifestos, which outlined the PPP/C developmental trajectory.
He said, “The Minister continues to ensure that the budget follows a trend and a path that has been designed from the inception to provide a solid economic platform for this country to grow, and to sustain that growth; and he noted that this is reflected in the quality of life in the aging politicians in the opposition who are benefiting from Government’s investments that, among other benefits, are sustaining life beyond age seventy.
He stressed that government will not pander to the grandstanding in the new parliamentary dispensation and will continue to present budgets that ensure continuous growth on a sustainable basis.
“It is not by the wave of a magic wand…every single sector has improved,” he declared.
Listing some of the sectors, he mentioned healthcare, continuing: “…and for the people in this House who are approaching sixty-five and beyond sixty-five…I see some gentlemen across there, be comforted by the fact that the average life expectancy is now seventy, and with the good care provided by this PPP/C administration you’ll go beyond that”, which he reiterated is the nature of Budget 2012, which will ensure that the country stays on a course to continue economic development on a sustainable basis – a course that will enable investments in the Guyanese people: and here he listed accrual benefits to the nation in the various sectors.
He stressed, too, that Guyana is one of the few countries – developing or otherwise, that continues to provide extremely good healthcare, free of cost in every single village.
“… and if some doctors work their full stint at the Georgetown Public Hospital Corporation, as they are paid to, we will have even better care, especially better eyecare.”
This was an obvious jibe at opposition MP, Dr. Norton.  Seeraj contended that doctors are paid to work for eight hours, but they shortchange the treasury by turning up and then rolling out back to work at their private clinics without providing the requisite hours to the public institutions, preferring to refer patients from the public institutions to their private clinics.
In closing, he posited that impacts of PPP/C budgets are reflected in the lifestyles of the current generation, in juxtaposition to the older generation:  “The way I grew up is not the way my children are growing up; and I am certain that under the continued governance of the PPP/C administration, my children’s children will grow up even better than they are growing.”