DURING its meeting on Thursday, Cabinet examined the first two days of the Parliamentary debate on the 2013 National Budget, and reporting to the press at yesterday’s post-Cabinet media briefing, Cabinet Secretary and Head of the Presidential Secretariat, Dr. Roger

Luncheon, said it was felt that the debate was essentially about defending the most comprehensive financial plan that conforms with Guyana’s and the PPP/C’s ongoing developmental strategy.
Dr. Luncheon put forward Cabinet’s view that the opposition parties have objected as expected, “but so far they seem incapable of, or unable to respond to the major elements of the 2013 Budget. The major contention is about process as they resort to claims about constitutionality and abuse of the Consolidated Fund, to claims and reviews of legal challenges and criticisms of public expenditure and management under the 1992 – 2013 successive PPP/C administrations. Their occasional outbursts about content totally ignore the major sectoral considerations addressed by the minister. We have to judge their silence about macroeconomic stability as recognition of the PPP/C administration’s successful dealing with economic stability, a job well done.”
The HPS said that the opposition is busy cultivating confusion about their actual intention towards the 2013 budget.
“Cabinet wonders, are they talking to Guyanese when in parliament, during the debates they proclaim ‘sugar workers is your problem”. Cabinet wonders, are they talking to Lindeners, residents of Region 10 during parliament, when they inveigled against Rusal the bauxite company operating in the Berbice River and Bosai, operating in Linden itself, and in the same breath their MPs lamenting the lack of investment in Region 10?”
The mixed signals being sent by opposition members have also been observed with backbenchers pontificating and frontbenchers subjugating, he observed.
The HPS said that the budget maintains the macro-economic stability of Guyana and sustains the level of investment in the social sector, while paying particular attention to vulnerable populations in Guyana.
“It is a win-win proposition for all Guyanese,” he observed as, “The budget was fashioned to respond to the evolving needs of various categories of people.”
Cabinet ministers feel that total coverage and sustainability exist in the budget design, and most importantly, it is based on the interest of the future, recognising that the trend in economic growth and development must be encouraged and promoted, Dr. Luncheon said.
Budget 2013, totalling $208.8B, Guyana’s largest budget ever, was presented in the National Assembly by Finance Minister, Dr. Ashni Singh under the theme ‘Overcoming Challenges Together, Accelerating Gains for Guyana.’
It reflects seven prerequisites: a strong democracy, reliable and efficient institutions of state, long-term macroeconomic stability, economic diversification and growth, expanded physical infrastructure, high quality social services, and environmental responsibility and sustainability.
Among the measures in the budget are: 25% increase in pension bringing the total to $12,500 per month for the benefit of 42,500 senior citizens as well as assistance for pensioners of up to $20,000 per annum to pay GPL for electricity charges incurred; tens of thousands of Guyanese will be able to repay mortgages more quickly as first time home owners who are holders of mortgage loans of up to $30M granted by commercial banks or the Building Society will be permitted to deduct the interest they pay on such mortgages from their taxable income for the purposes of personal income tax; $1B support to help GuySuCo meet the financing requirements of its transformation plans; support through operating and capital transfers to GPL totalling $5.8B to help the power company meet its cash flow requirements, and  $5.4 billion to support key projects; $2.9B to meet the cost of maintaining the electricity subsidy in Linden and Kwakwani; property tax reduction  for small businesses; and personal income tax reduced to 30 %.