WITHIN the past few days, former President and current Leader of the Opposition Bharrat Jagdeo has been alleging that the PPP/C Government had left the Treasury with billions of dollars. This claim has been rejected by the APNU+AFC Government ministers, primarily the Minister of Finance, who said the government has inherited billions in debt.
The back and forth, allegations and counter allegations notwithstanding, what is evident is the system of government accounting has problems that need to be fixed. The argument as to who left what in the Treasury or placed what in the Consolidated Fund, only makes stronger the concern in the yearly Auditor General’s Report about the lax nature in recording and managing the State’s finances.

The problems further suggest that it was not only a matter of having different bank accounts that cannot yet be properly reconciled, but more importantly a departure from standard financial practices, which is inimical to the best interest of the State. The impression is also given, real or contrived, that such practices were deliberate to hide or siphon off money. In one specific case, as in the accounts of the CLICO transaction, the truth is being mangled somewhere among the accusations. It has been indicated that while the CLICO subsidiary, the Caribbean Timbers Limited have money, this cannot be accessed due to judicial reasons.
This aspect of governance whereby it was/is felt that the money of the State can be managed in a willy-nilly manner and with no regard for public accounting procedures, has cost the taxpayers tremendous losses. It is unfortunate that Mr Jagdeo seems untroubled with the manner in which his administration and the PPP/C managed the state’s financial affairs.

There can be no pride in claiming knowledge or arguing where money could be found, and in which bank account, when clearly the funds are dispersed in a number of satellite accounts, not in the Consolidated Fund where all belong. The act of having these various accounts gives credence to the view that the previous government had maintained slush funds to benefit the privileged and well-connected. This is not a situation that the Leader of the Opposition should be proud of, because these revelations do his credibility more harm than good.
The financial business of the State requires constructive and sustained management.

The current argument or banter as to how much money was left or not left in the Consolidated Fund brings this need to the fore. Clearly, the absence of prudency has hurt and will not help the growth and development of Guyana. As a matter of importance, serious attention ought to be paid to the Auditor General’s Report, including the inconsistent practices and recommendations to correct. This should also be followed up, where necessary, with judicial action. These reports offer a base not only to bring into compliance the accounts around the place, but also finding those hidden, who were involved in the misconduct, and putting the country on a footing of financial prudence.

The Government of Guyana can ill afford to continue along with the proverbial cake shop management — no offence meant to this small business sector– because government’s business is expected to confirm to parliamentary and international standards. This level of compliance is not only important locally in the sense of the citizenry knowing how their money is managed, but also at the regional and international levels, prudent financial management brings credibility to the country as a destination for doing business.