– House approves several bills to stimulate investment climate

By Rabindra Rooplall
MINERS tomorrow will benefit from the complete removal of the requirement for all vehicles used in the mining industry to be registered and have licence fees paid.

This was revealed by Prime Minister (PM), Mark Philips during his supportive speech for the Motor Vehicles and Road Traffic (amendment) Bill 2020, Bill number 10 of 2020, in the National Assembly on Tuesday.

Investors and operators in the mining industry, he said, have been crying out a long time for government’s support to foster economic growth and boosting investors’ confidence but their cries seem to fall on deaf ears in the coalition government.
“As they are well-known for being deaf to the cries of the people, the APNU+AFC Administration did only what they know to do best, ignore the loud cries of our people and turn a blind eye on issues affecting persons throughout our country,” the Prime Minister said.
The PPP/C Government, he said, will have a different approach to governance and will work in the best interest of the Guyanese people because it understands their challenges.

“Mr. Speaker, if we do not work to provide an investor-friendly environment, then we will be doing an injustice to the people of our country. We must create an environment that allows the private sector to be able to build capacity and increase employment across our country,” the Prime Minister said.
Phillips told the House that businesses and investors can only contribute to the country’s economic growth if the government provides the framework to support their operations and create an environment for investment.
“The miners have brought to our attention, the inconvenience that the requirements of registration and paying licence fees for mining vehicles have brought to them and their operations. We have listened to them and we will support our miners just as we pledge to support all other investors and businesspersons,” he noted.

This is one way which will create opportunities for economic growth and expansion in the mining industry, which will in turn provide jobs for thousands of people in the sector, Philips told the House.

AUCTIONEERS BILL OF 2020
Meanwhile, Public Service Minister, Sonia Parag, in proposing the amendment of the Auctioneers Bill of 2020, said the legislation will benefit the economy heavily because it will incentivise and create employment.

The APNU+AFC tax measures created a burden on the population, she said and informed the August body that the PPP/C Administration is committed to the welfare of all Guyanese and will “by reversing and reducing the draconian tax measures that were previously imposed.”

The business community was heavily affected by the tax measures.
Minister Parag pointed out that a quick scan of the records of the Guyana Revenue Authority (GRA) has shown that in 2019, there was one licence issued to an auctioneer and in 2020 that number was reduced to zero. Previous years, she said persons would have had a lot more but became less after the 2016 amendment of the Auctioneer Act by the then Finance Minister, who sought to put an exorbitant fee of 40,000.
The Auctioneers Bill 2020 was considered in committee clause by clause and was passed without amendment.

CORPORATION TAX

Further, in outlining the vision of the PPP/C Administration, Minister within the Ministry of Public Works, Deodat Indar said the Corporation Tax on education is not developing the sector.

Noting that Guyana has been behind the curve, Minister Indar said a lot of skillsets are missing and this can be remedied by taxing the educational facilities less so that students can benefit.

“If you are saving money from your operations, that money can be translated into a cheaper rate per child which helps parents regardless of whichever part of the education strata is being served,” he said.

He explained that the necessary skillsets needed in Guyana can be brought in by trade schools and universities, especially for the oil and gas sector.
Minister Indar said the bill incentivises the education sector which means good for investment.

“It will give prospective Guyanese the opportunity to go and study, to go and be trained for jobs we are not getting right now, jobs that are going to foreigners and that our people are not benefitting from,” he said.

The minister said business, medical, law, drilling, chemical engineering, mechanical engineering and civil works schools are needed in Guyana.
The removal of the 25 per cent Corporation Tax will allow schools to expand and reinvest in the students and will be effective from the January, 1, 2020.