Close to $4B to be invested in D&I upgrading this year – national budget
- continued efforts to deal with climate change
Georgetown, GINA, February 22, 2008.
Government’s interest in continued improvement of the country’s national drainage and irrigation system will heighten during this year, as it its projected that approximately $3.7B will be spent on activities in this regard.
D&I investments are particularly important as they form part of efforts to further strengthen the country’s capacity to confront the challenge of climate change which has resulted in Guyana experiencing greater intensity of rainfall over recent years.
Minister of Finance, Dr. Ashni Singh in his presentation of the 2008 National Budget in the National Assembly today, said the National Drainage and Irrigation Authority (NDIA) will continue its programme to rehabilitate and maintain drains and channels and excavate outfall channels.
In addition, works will continue on embankment and empoldering, construction and rehabilitation of culverts and kokers and structures and rehabilitation of drainage pumps. These activities are expected to be undertaken at a cost of approximately $2.1B and will benefit farmers along coastal and riverain areas.
Reference was made to the Conservancy Adaptation Project, “an important intervention by Government to reduce the vulnerability of catastrophic flooding in Guyana’s low lying coastal area, which is currently under threat from global warming and rising sea levels.”
It was noted that through this intervention, Government intends to develop a hydraulic engineering foundation critical for flood control management, identification of at least 10 key drainage regimes for follow-on interventions, and increase the current discharge capacity of the coastal drainage and irrigation system. Approximately $50M has been allocated in the Budget to commence these works.
Last year, Government spent approximately $3.4B to further improve the drainage and irrigation system. Among the main activities carried out were rehabilitation and maintenance of drains and channels, excavation of outfall channels, completion of embankment and empoldering works and construction and rehabilitation of structures. In addition, several pieces of heavy equipment were purchased and operated in various areas while new pumps were purchased and installed and others rehabilitated.
These activities, Minister Singh pointed out have minimised the incidence of flooding and improved the effectiveness of water management in agriculture areas.
As a result of the investments in this sector by the administration in 2007 and previous years, there have been significant D&I improvement in areas, which were previously prone to flooding especially along the East Coast Demerara, Canals Polder and several areas in Region Six.
Also, there have been enhanced monitoring and communication systems that cater for farmers and residents to report D&I issues observed within their respective areas especially during the rainy season. This allows for timely response and intervention by the NDIA, Regional Administrations, Guyana Sugar Corporation, Neighbourhood Democratic Councils and other local organs, which collaborate to ensure effective drainage and irrigation particularly during rainfall periods.
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More Bartica massacre victims laid to rest
- PM, Ministers attend Funerals
Georgetown, GINA, February 22, 2008
Prime Minister Samuel Hinds today joined family members and close friends to bid farewell to boatman Baldeo Singh who was among those who were slain in the massacre at Bartica on February 17.
During the solemn service which was held at the Robert Lyken Memorial Chapel on Norton streets, the Prime Minister offer words of encouragement and hope to the bereaved relatives.
The relatives explained that Singh of Montrose East Coast Demerara, only recently acquire the job as a boat operator plying the Essequibo river route to Bartica, delivering BANKS DIH supplies.
They said the job offer was made possible by Adbool Yasseen, another boat operator who was also slain at the Transport and Harbours Department Stelling in the attack which occurred at First Avenue Bartica.
Yasseen’s funeral service was also held today at Good Hope, East Coast Demerara, where Prime Minister Hinds attended.
Prime Minister Samuel Hinds speaking to relatives of Baldeo Singh during his funeral service
On February 17, Ashraf Ali Khan and Errol Thomas, who were slain during the Bartica attack were laid to rest in their respective communities. Minister of Labour Manzoor Nadir, Minister of Health Dr. Leslie Ramsammy and Chairman of the Ethnic Relations Commission (ERC) Bishop Juan Edghill were among those who attended the funeral.
Police Constable Shane Fredericks, another victim of the slaughter at Bartica, was also laid to rest today. Home Affairs Minister Clement Rohee, Minister of Human Services and Social Security Priya Manickchand, Minister with in the Ministry of Education Desrey Fox and Commissioner of Police (ag), Henry Green were among the persons who joined the family and friends to celebrate his life at the Brickdam Cathedral
In paying tribute to the fallen constable Minister Rohee said when he visited the Police Station and saw where the ranks were gunned down and learnt of their ages he felt disappointed that “these were three young men who were now starting out in the Guyana Police Force, killed before getting the opportunity to become aware of the world of police work and confronting the challenges that are inherent with policing and not having the Opportunity to expose their full potential.”
He said that he believed that good will always overcome evil, “People have always looked up to the Police Force … as being an organisation that they could be a part of to do some work to the benefit of their community.”
Funeral of Police Constable Shane Morris Fredericks, the Commissioner of Police and Ministers in attendance
Commander ‘D’ Division Assistant Commissioner Lakeraj in his tribute described Fredericks as a fighter who died as a hero. He said that the circumstances of his death have caused the force to reaffirm its commitment to seek out the persons who attacked the Police and civilians throwing the country into grief. He assured the family that they can call on the force at any time and they will be there for them.
Constable Fredericks’ brother Deon described his brother as a respectful individual who had a choice to pursue a career in teaching but choose to be a policeman. “He would not criticize, He counselled,” he said.
Amidst the anguish and grief government and other concerned bodies continued the call for good sense to prevail in society and has committed to strengthening the fight against crime.
President Bharrat Jagdeo recently summoned a meeting with civil society and Opposition Parliamentary Parties to work out ways to arrest the current crime situation.
A national day of mourning was announced for Monday, February 25 in remembrance of the victims of the Bartica killings.
Government also took a unanimous decision to constrain this year’s Republic Day celebration, Mashramani which is set for February 23.
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Finance Minister presents record $119.3B budget
- to maintain advancement, transformation, modernization of Guyana
Georgetown, GINA, February 22, 2008
Finance Minister, Dr. Ashni Singh today presented another record high budget of $119.3B in the National Assembly that reflects the administration’s ongoing work in the various sectors targeted at improving living standards and further enhancing the physical and institutional infrastructure required to promote growth, create wealth and generate employment.
Minister Singh in his budget speech which was presented under the theme Staying the Course: Advancing the Transformation Agenda said the task of government now is to sustain the momentum in advancing the transformation and modernization of the country.
“Our Government is firmly committed to maintaining and enhancing the physical and institutional infrastructure that is required to increase private investment, create jobs, improve livelihoods, and generate wealth.”
He said, “The policies outlined in this Budget aim to do just that, and in a careful, responsible, and sustainable manner. I believe that the goals and targets we have set ourselves can and will be achieved, both in the immediate and the medium-term.”
This, he said, will be done through several areas including: managing the economy responsibly, and avoiding short-term actions that can undermine the potential for long-term growth, accelerating the programme of infrastructure development, sustaining significant investments in the most important social services, particularly education, health, housing, water, and sanitation and ensuring that the justice and security sectors continue to accelerate reforms to deal with the current and emerging challenges.
In outlining his projections, Minister Singh said that the economy is projected to continue to grow in 2008 by 4.8 percent and that this growth is expected to be broad-based and to reflect expansion in both traditional and new and emerging sectors.
Government has zero-rated several more items for the purpose of the Value-Added Tax with effect from March 1. In relation to the specified food items, educational materials and services, medical services and prescription drugs, and the several other necessities which were included in the list,
Government’s initiative to zero-rate these items was aimed at ensuring that the introduction of the value-added tax would not contribute to an increase in the cost of the goods and services specified, the Finance Minister noted.
“These items, when added to the list of zero-rated items that were previously approved, comprise an even more comprehensive basket of basic goods and services which are now subject to no value-added tax. This measure is expected to result in the loss of over $1.2 billion in revenue, and is intended to provide additional relief to the consuming public,” Minister Singh asserted.
The following supplies will also be zero-rated for the purposes of the value-added tax with effect from March 1, 2008:
Wheaten flour; barley flour; plantain flour; oats; sago; dried chick peas (not including canned chick peas); dried kidney beans (not including canned kidney beans); dried pigeon peas (not including canned pigeon peas);cheddar cheese (not including grated, powdered, or sliced); cassava bread; casareep; farine; locally produced peanuts and cashew nuts; locally produced bed sheets, pillow cases, towels, rags, curtains, handkerchiefs, rugs, mats, table covers, shelf covers, blankets, and ribbons; laundry soap; diapers; toothbrushes; kerosene stoves; mosquito nets; liquid butane gas; bicycles, excluding racing bicycles; vitamins, minerals and tonics for medical or health supplement use (but not including energy drinks, food supplements and similar products); wheelchairs; crutches; hearing aids; glucometers (glucose blood test machines), and needles and glucose blood strips made for use with such machines; machinery, equipment or components used in the generation of renewable energy in the agriculture sector using agricultural by-products; paddy; hatching eggs; fish hooks, sheet lead, fishing floats, cotton, and styrofoam for use in the fishing industry; animal medication including animal vitamins; and all terrain vehicles used in the mining industry.
PROJECTIONS
- Gross Domestic Product (GDP) is expected to grow by 4.8 percent.
- Sugar production is expected to increase by 8.8 percent over 2007
- Rice output is expected to increase by 7.6 percent
- The inflation rate is expected to be 6.8 percent
- Current revenue is expected to grow by 1.7 percent to $81.6B
- Economy is expected to grow by 4.8 percent
Budget Highlights
Investment and Job creation
- The New Skeldon sugar factory’s output is projected to increase by 38.8 percent to 38,500 tonnes. The factory will be in operation this year. Some $7.6B will be spent to complete improvements in the field and the factory.
- Government is vigorously pursuing private sector investment in the alternative energy sector, specifically hydropower and biofuels. It is currently in receipt of 11 investment proposals for biofuel interest.
- Government will continue to work with a strategic private partner to finance the construction of the hydropower project at Amalia.
- The technical work that will inform Government’s deliberations for the possibility of establishing an offshore financial sector in Guyana has commenced and will advance during this year.
Enhancing Security and Justice
- $13.7B has been allocated for the strengthening of public safety agencies as reforms in both the justice and security sector will be accelerated to ensure urgent actions are effectively executed to make sure there is a safe and secure environment
- Immediate action is being taken to increase public confidence in the capacity of the law enforcement system through a number of measures including; - improving the capability of rapid response systems to serious crimes; upgrading communication systems and expanding access to police and other databases and improving intelligence gathering
- Over $900 million will be utilized to ensure that appropriate equipment/ gear are available for the joint services, including two helicopters.
- $65 million will be spent to expand and equip community policing groups to support crime fighting efforts.
- Crime fighting strategies and actions are complemented by crime prevention strategies under the US$22M Citizen Security Programme.
- Over $300 million is allocated for the completion, construction and rehabilitation of more than 30 police stations
- $1.5B has been allocated to the justice sector.
- $303M will be spent under the Programme for the Modernisation of Justice Administration System, part of a US$10.2M programme aimed at improving the quality, efficiency and efficacy of service delivery in justice sector institutions.
- $50M has been allocated to complement ongoing efforts to reduce the
backlog of civil and criminal cases in all levels of courts
Housing, Water and Sanitation
- A total of $1.5 billion has been allocated to improve infrastructure for existing and new housing areas.
- Infrastructural work for approximately 3,000 lots in housing schemes, will be completed while a further 2,000 low income and middle income house lots will be allocated
- Over $3.7 billion is allocated for the provision of potable water supply
- $323 million has been allocated to improve sanitation including to rehabilitate the Tucville septage receiving facility
Education & Training
- $19B has been allocated to the education sector with $3.4B to be spent on capital projects while $15.5 billion will be expended on the sector’s operations with almost $9 B to be spent on wages and salaries.
- $115M will be spent for the implementation of a nationwide Literacy Programme while $89 million will be spent to continue the training of master trainers, cluster advisers and cluster trainers so that teachers can be trained in literacy methodology.
- The Numeracy programme will benefit from a further $90M.
- Over $728M will be spent on teacher training to upgrade capabilities and curriculum modules.
- Over $2B has been budgeted for construction, rehabilitation and maintenance of schools and buildings in the education sector
Health
- $12.1B has been allocated to the health sector with capital expenditure budgeted at $3.3B and current at $8.8B.
- $1.2B will be spent to complete the new modern Linden hospital and the Georgetown Public Hospital Corporation (GPHC) inpatient facility.
- Health services will be offered in modern new hospitals in Lethem and Mabaruma as well as the Suddie, Leonora and Mahaicony Hospitals which have been rebuilt to accommodate diagnostic centres.
- $140 million will be spent to operationalise the Suddie, Leonora, and Mahaicony centres and the ophthalmology centre at Port Mourant, and to rehabilitate the Canje psychiatric hospital.
- $2.8 B will be provided for GPHC’s operation and maintenance of which $91 million will be utilized to upgrade the electrical and water supply systems.
- Over 70 graduates from the Guyana/Cuba collaboration will arrive in country this year to complete their final year of studies in Guyana. More training will also be done for nurses and other medical personnel.
- $340 M will be spent on the Basic Nutrition Programme, to continue manufacturing and distributing sprinkles to children and pregnant women through 79 centres catering for 44,000 beneficiaries
Youth and Sport
- $60M has been allocated for the expansion of the National Training Project for Youth Empowerment programme. Approximately 1,000 young people who did not complete secondary school will receive skills training.
- $35.7M will be spent to expand and maintain the Madewini Youth Camp, to purchase training materials and sports gear and to retool workshops along with general maintenance at Kuru Kuru, Smythfield, Vryman’s Erven and Sophia Training Centres, and the New Opportunity Corps.
- A further $20M is allocated for the Youth Initiative Programme for the establishment of additional facilities in Crabwood Creek, Calcutta and West Canje.
- $259M is provided for the construction of an Olympic sized swimming pool, for the rehabilitation of the Cliff Anderson Sports Hall and the National Gymnasium, and upgrading the Colgrain Pool, and for the purchase of sports gear and equipment.
New and Emerging Sectors
- US$20.9M will be spent to launch an Agricultural Export Diversification Programme
- The National Dairy Development Programme will provide partial material assistance to 130 individual farmers and 8 farmers’ groups for their resuscitation of 300 acres of pasture in seven regions.
- $35M will establish a new laboratory at NARI to consolidate all of the pest and disease management and quarantine services, as well as provide training to farmers and agriculture researchers and students.
Sea Defence and Drainage and Irrigation
- $2.2B to continue construction, rehabilitation and maintenance of sea defence structures.
- The shore zone management system will continue in Regions 5 and 6,
- $3.7B is targeted to be spent on drainage and irrigation.
- $50M is allocated the Conservancy Adaptation Project which will develop a hydraulic engineering foundation critical for flood control management.
- $2.1B will be allocated to the NDIA for rehabilitative and maintenance work
Targeted social protection interventions
- $2.5B will be spent on old age pensions from which 35,000 persons will receive $6,000 monthly which represents an increase of 63 percent
- $810M will be spent on public assistance programmes aimed at 15,000 beneficiaries
- $120M will offset the cost of water charges on behalf of the elderly
- $105M under the Amerindian Development Fund will be utilised for priority projects in Amerindian communities
- $100M will be set aside to establish a fund to provide support to vulnerable single parent
- $50M will be used to construct an Amerindian Hostel and allow increased access to educational opportunities for hinterland students
- $50 million will be spent to provide spectacles to persons in need
- $110M will be used to upgrade the Palms and meet operational costs
Energy and Power Generation
- US$21.2M will be provided to the GPL to advance its efficiency. Other initiatives to boost efficiency include implementation of a new customer information system, continuation of the meter replacement programme, and introduction of new metering technology.
- $220 M for the purchase of a diesel electrification system for Port Kaituma, and to construct distribution systems for Orealla and Siparuta, and install solar panels in hinterland communities.
Road and Bridges
- $6.2B has been budgeted for roads and bridges, of which $5 B will be spent on roads and $1.2B on bridges.
- $1.8B for the completion of Lot 1 from New Amsterdam Stelling to No. 36 Village and the commencement of Lot 2 from No. 37 Village to Moleson Creek.
- $857M for the rehabilitation of 54 bridges along the Timehri-Rosignol corridor.
- A further $980M will be used to complete the access roads to the Berbice River Bridge
- $160M has been allocated to purchase 4 fixed platform vehicle weight scales and 5 additional portable scales which will be installed at Lethem, Wismar, the western end of the Berbice River Bridge, and the western end of the Demerara Harbour Bridge.
Tax Reform and Tax Administration
- Government will conduct a study of the tax system to determine how it can implement further tax reform. Thereafter, it will proceed to implement a number of reforms aimed at simplifying the business environment and ensuring efficient tax administration and effective compliance.
- Government is in the process of implementing several other improvements in tax administration, including the complete roll-out of the Total Revenue Integrated Processing Systems (TRIPS) and the Taxpayer Identification Number (TIN).
Highlights of the 2008 budget
- Income tax threshold increased by 25 percent from $28,000 to $35,000 per month with effect from January 2008.
- $13.7B has been allocated to the enhance justice and security sector
- $1.5 billion has been allocated to improve infrastructure for existing and new housing areas.
- Over $3.7 billion is allocated for the provision of potable water supplies
- $12.1B has been allocated to the health sector
- Capital expenditure is budgeted at $3.3B and current at $8.8B.
- $19B has been allocated to the education sector.
- $60M has been allocated to ensure the expansion of the National Training Project for Youth Empowerment programme.
- $2.5B will be spent on old age pensions from which 35,000 persons over the age of 65 years will receive a monthly pension of $6,000 which represents an increase of 63 percent
- $6.2B has been budgeted for roads and bridges
- US$21.2M will be provided to the Guyana Power and Light to advance its efficiency.
- The new Skeldon sugar factory will be in operation this year; $7.6B will be spent to complete improvements in the field and at the factory. The factory’s sugar output is projected to increase by 38.8 percent to 38,500 tonnes.
The budget also makes provisions for the elderly, children and other vulnerable groups.
The debate on the $119.3 budget will begin on February 28.
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Education sector allocated $19B
Georgetown, GINA, February 22, 2008
Government has allocated $19B to the education sector for 2008 as it implements its education strategic plan for 2008 - 2012. This announcement was made when Finance Minister Dr Ashni Singh presented the 2008 budget to the National Assembly today.
The education strategy this year would focus on literacy and numeracy programmes, universal secondary education, teacher training, school health, nutrition and HIV/AIDS, science and technology, and the creation of a labour force with skills that match the needs of Government’s development agenda.
Capital projects will utilize $3.4B of the total allocation; $2B of this amount has been budgeted for construction, rehabilitation and maintenance of schools and buildings in the sector.
A total of $15.5B will be expended in the operations of the sector of which almost $9B will be on wages and salaries.
The nationwide Literacy Programme through the “Fast Track Initiative” is allocated $115M. This programme specifically targets low performing children, out of school youth and adults. It is expected to benefit 9,000 children and 4,500 adults.
The numeracy programme was allocated nearly $90M while the Innovative Radio Instruction (IRI) programme will benefit from $10M to be expended on classroom modules and teaching guides to support its expansion into higher grades.
Training of educators would receive an allocation of $89M which is to be utilized to continue the training of master trainers, cluster advisers and cluster trainers so that teachers can be trained in literacy methodology to support the “Fast Track Initiative” while $728M will be spent on teacher training to upgrade capabilities and curriculum modules.
Last year the education sector was allocated some $17B.
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