BU family member Inkwell has submitted the following graphs/information originally presented by economist Ryan Straughn in the local media in an article titled – Who Will Put the Genie Back in the Bottle?
2008/2009. The government spends $256 million more than it receives in revenue.
2009/2010. The government spends $557 million more than it receives in revenue.
2010/2011. The government spends $647 million more than it receives in revenue.
2011/2012. The government spends $284 million more than it receives in revenue.
2012/2013. The government spends $260 million more than it receives in revenue.
That is a total deficit of $2.004 billion, excluding the appropriation of $100 million of NIS funds. The facts speak for themselves. What would you say about any housewife who kept overspending her income by massive amounts. What would such spending do to the family’s bank account, provided it had a banker stupid enough to let her continue to do it.
Can this be considered prudent management of the country’s finances?
Can we continue to blame the world recession for Barbados’ financial woes? Or put the blame on the profligate spending of the Government.
Also note. Maximum revenue of the Arthur administration was $2.3billion in 2007/2008
Revenue of the DLP administration as per graph was as follows:
2008/2009 – $2.6 billion approx
2009/2010 – $2.3 billion approx
2010/2011 – $2.3 billion approx
2011/2012 – $2.5 billion
2012/2013 – $1.8 billion approx
Ask yourself. Where was the money spent and was it spent wisely? Clearly it was not spent on capital works, as the graphs show.
Now that revenue has fallen dramatically, despite desperate tax grabs, the government recognizes (or somebody has told it) that the spending spree has to come to an end. 2012/2013 expenditure shows considerable contraction, but more cuts must be made as revenue continues to plummet. The pigs at the trough are being brought to a fine market.