Dear editor,
I WISH to state from the onset that I find the budget to be unacceptable and unrealistic in our current economic situation in the country. I think that the budget is too harsh and will only bring chaos to the nation and the people. In my opinion, it is very unfair for the Government to pursue raising revenue solely through taxation.I have felt the pulse and mood of the people as I travelled through the streets, market places and the various regions in Guyana only to discover that they are in a state of bewilderment and confusion. Most people right now, are particularly interested in cursing down the Government of the day.
I, Roshan Khan am not anti-Government; as a patriot and a principled individual in this country I like to see Guyana progress irrespective of who leads it. My system of voting is for principles, for offerings of opportunity to youth and for development policies.
I must be fair to the Government; I do not believe that they truly wish to provide confusion, pain and depression to the people. I think they cannot see the error by producing such a budget, which will only cause destruction in our country as I see it. I was always an active listener to the Radio Demerara and the Voice of Guyana news; I was always hungry for the newspaper as I grew up. The Guyana Graphic, the Ratoon, the Mirror and others were favourites of mine. I was always in touch with the politics of the nation as I still am, but I never got myself entangled in the political profession. That love comes from my desire to see Guyana advance to a level ahead of our expectations.
I recall later during the period of high school, the late Prime Minister, LFS Burnham had asked the International Monetary Fund (IMF) to exit the country and refused to further negotiate. He said: “The IMF prescription for further loans was a recipe for riots.” He then went on to say that the only thing the organisation didn’t want to tax was air. With that he went about preparing the people to grow all kinds of foods on their parapets and on their open lands, everyone was encouraged to become tillers. In the not too distant future, flour was banned. Today I think there was more to the banning of flour than what we know.
It would appear that the Government of the day has accepted the IMF prescription to tax everything in the country that provides joy and happiness to our people. And who knows, maybe they will soon charge us for the air that we breathe. In my opinion, as a layman and political child, the Government has overdone it, the words used by some Ministers in parliament are vexatious and shows inexperience. To say that people who go to private hospitals have money and can therefore pay tax is not very wise. If all people were to go to public hospitals the service would be worse than it is and would be inundated with people. Many make sacrifices to go to the private hospital, not to miss more than a day’s work and many even borrow money for the medical services. This Minister needs to apologise to the nation.
Please note the following:
1) VAT – on water, medicine, electricity, sugar, salt and rice etc. is tantamount to cruelty and excessive torture. People are of the opinion that the decrease of 2% in VAT is a mere charade like pulling wool over the eyes of people.
2) Old Age Pension – To increase old age pension by a pittance is a good idea, but to give with the left hand and kick with the right foot is completely wrong and unfair. These people are compelled to pay VAT on all of the basic necessities of life. Many feel good about the increase but they do not understand that they need to pay Vat on their split peas, their flour and other condiments. In reality, they are losing instead of gaining.
3) Parents and school children – parents will now need to find more money for their children. The child has to pay VAT on the dhal puri and the lemonade. It is a major burden being added to the parents. I believe that the Government needed to go out with the opposition to listen to the concerns of the people before this budget was produced. Governments sometimes forget the power of the people through their vote. It was proven in the last election that no political party controls any population for too long. The Government should not forget that they were hired by the people and can be fired by the people. I do think that in the words of LFS Burnham, that this is a recipe for riot. Is it late? No it is not too late. The Government can turn around and win the hearts of all people in this country, such including the Private Sector and the Chambers of Commerce.
I appeal to the Government to revisit this Budget and withdraw the tenants of it which are dangerous, I appeal that they listen to the people of this country and work with the Opposition as cogent partners of development for this country.
4) Capital Flight- I believe if this budget is passed we will have an exodus of monies or a capital flight. I have never seen such uncertainty experienced in the history of Guyana. I have heard people talk about buying gold and storing it, also I have heard that persons plan on withdrawing hard cash and burying it.
5) Garnishing of bank deposits – garnishing of people’s money at a time such as this is a dangerous precedent to set. This can cause great fear in the financial system, persons will stop making deposits, and we will see a decrease in the liquidity of banks. This is a case as a layman in the financial sector where legal money can become black money for usage in the underground economy.
6) Increase in Demerara Harbor Bridge Toll – while this may be necessary for the maintenance of the bridge, it is too much, too quickly. It could have been put off for another time; with this increase another tax has been placed on the heads of the people. It is a requisite reality that all Guyanese must face.
7) 2% for contract workers – forcing the employers of people who are contract workers will create an unnecessary development of paper work and force many into doing illegal work. Some have said to me that they will move on or quit since my company is strictly lawful.
8) Workers who travel – to tax their travel allowance and out of town allowance is like rubbing salt in an open wound that’s already emaciated with blood and gore. This new development will cause these professionals to move to other Caribbean countries (Trinidad, Barbados), which have long attracted our educated people.
9) Beggars – Even the beggars are complaining that they are losing the pittances that they would usually get from charity and persons on the roadways because of the new tax measures.
As I said above, I see the budget causing trauma, I fear that it will turn investors away. It may also stymie the legal US currency being sent by legal means and turn people to do so illegally, leading to another problem. Guyana is our country and it is our home, we must protect it against such practices.
I wish to appeal to those self-employed persons and those who cheated the Guyana Revenue Authority (GRA) for many years, to understand that the Government needs your contribution to provide for the facilities and services that we all use. Citizens must aspire to pay their fair share of taxes so that the country can move forward into better things. So while I disagree with the taxes increasing so quickly, I will never encourage theft of Guyana’s resources.
Dear Government, if you have to institute these budgetary strangle-holds on the people, I advise that you do so on an incremental basis. I state again as I close that I wish to see Guyana prosper and I would like to see this APNU+AFC Government raise the standard of living, to implement policies that will attract investment and for entrepreneurs to use their resources for the development of industries that will aid my people and country. I pray for my country as I pray with the Government to partner with the Opposition and all citizens to advance the welfare of all our peoples.
Yours sincerely,
Roshan Khan