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Mia Mottley, Leader of the Opposition
Minister of Finance Chris Sinckler

The Barbados Estimates Debate for 2016 – 2017 is currently being debated in Parliament. Although many Barbadians are sucked into the theatrics of the annual budget presentation, the more meaningful debate about ordering the country’s finances is meant to be discussed in our system of government in the Estimates debate. It is now evident that the government through its agent the minister of finance has not been honest with the people regarding the finances of the country. Also disappointing in the last year has been to observe the the reputation of the Central Bank taking a huge hit. Further we have had our leading bankers who should know better supporting the charade of Pinokio politics.

Follow the debate on CBC 100.7 and Parliament TV.

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267 responses to “Barbados Estimates 2016 – 2017”

  1. Well Well & Consequences Avatar
    Well Well & Consequences

    Northern & Art…the next 12 months will tell the tale…no matter what they say, if they do not get that debt down.

  2. Artax Avatar
    Artax

    NorthernObserver March 14, 2016 at 4:28 PM #

    “You unnerstand what is declining? The RATE of growth of the debt. Once you have an annual deficit your overall DEBT is increasing.”

    @ NorthernObserver

    You are absolutely correct.

    A fiscal deficit results when government total expenditure exceeds its total revenue, excluding borrowings. Debt is basically an accumulation of annual deficits.

  3. Due Diligence Avatar
    Due Diligence

    Why did I think of Laff It Off when Minister Sealy talked about ensuring that the the benefits of tourism are felt in every nook and cranny of Barbados?

    I know

  4. David Avatar
    David

    Was Gline Clarke ever a minister of government in Barbados?

    #jesustakethewheel

  5. NorthernObserver Avatar
    NorthernObserver

    he served as Minister of Housing and Lands until 2003, and then as Minister of Public Works and Transport from 2003-2008.

  6. balance Avatar
    balance

    “of the overspend of the B.O.L.T contract ”

    The Edutech programme was a disaster and though conceived with the best of intentions was badly mismanaged and did not achieve the desired results but my understanding is that there were no cost overruns with respect to the construction of the prison.

  7. Vincent Haynes Avatar
    Vincent Haynes

    What we need at the end of this to and fro of comic relief with nuff salacious content,is for an independent financial guru….note did not say economist….to do a forensic audit and determine the viability of Bim on its present path.

    The MoF has rubbished both the Irish economist McWilliams and the Trini lady from the bank in his presentation as not knowing what they were talking about……..so who fits the role of an “honest broker” ?

  8. David Avatar
    David

    @Vincent

    The MoF is the Exchequer who is privy to ALL of governments finances and is better placed to implement relevant policies. How can an independent person do same?

  9. David Avatar
    David

    Minister Stephen Lashley’s contribution promised much more given its transformational tone but crashed with the usual political poppycock. Surprised he still is working on a sports policy.

  10. David Avatar
    David

    After all the long talk Barbadians will be subjected to over the next 3 now 2 days here is the bottomline, running a deficit has now become the norm.

    Lorenzo Harewood's photo.

  11. Vincent Haynes Avatar
    Vincent Haynes

    David March 14, 2016 at 8:37 PM #

    Which is why the “ALL” is guarded like the holy grail by both sides…..no IMF or WB needed here in Bim,we have this covered…….they may have a point as was stated before by someone the restructuring will cause serious damage to the middle class whereas their keeping us in the dark and massaging the finances is best for us…..the sheeple will decide.

  12. Bernard Codrington. Avatar
    Bernard Codrington.

    A budget is an estimate. The problem that Barbados faces is an economic problem not a financial nor accounting problem. That is why there is no solution so far. The political issues have to precede the economic issues. Do we want to continue the mixed economy model that was started in the 1850s where central government financed health services, education and public works ,including water supplies? If so ,the present population must pay higher taxes or pay for these services privately.Government also needs to reduce its bankrolling of the private sector with all these tax concessions. A cost /benefit analysis ought to be undertaken to assess the value of the National Housing Authority to housing the nation. Is the outsourcing of public road building cheaper than when the Ministry of Transport and Works built them and all major government buildings? These are fundamental issues which we need to have a national conversation about.Simply following the cronyism model from else where is not rational,

  13. Vincent Haynes Avatar
    Vincent Haynes

    Bernard Codrington. March 14, 2016 at 9:39 PM #

    A national conversation……..sounds nice……How will it be done and what will it achieve at the end of the day?

  14. Bernard Codrington. Avatar
    Bernard Codrington.

    The financing of the gap between projected revenues and projected expenditures is where public financing strategies are disclosed. A growing economy usually generates the incomes and profits .which when taxed closes the gap. The key to growth is an enabling government policy and a risk- taking and caring private sector

  15. Vincent Haynes Avatar
    Vincent Haynes

    Are we ready?
    ……………………………….

    Financial Times

    ‘We built a whole social infrastructure based on the concept of a job, and that concept does not work any more.’

    http://on.ft.com/1RJC6Ay

    Comment: A universal basic income is an old idea with modern appeal
    Developed countries have to reform their welfare states to adapt to technological upheavals.

  16. Well Well & Consequences Avatar
    Well Well & Consequences

    Where did they ever get the idea that spending more than you earn, would not ultimately sink them into a very deep hole…economics 101 for dummies.

    I am sure they have a way out of the very deep hole they so diligently dug for themselves…and learned a valuable lesson from that paro economics they are practicing..

  17. Artax Avatar
    Artax

    The economic reports government produces are analysed by the various international and regional rating and financial agencies as well as businesses that have made significant investments in Barbados.

    Royal Bank’s economist, Marla Dukharan, would have analysed the economic data compiled by the Central Bank and the Ministry of Finance over a period of time to make certain comparative economic determinations to test the bank’s performance and viability within the prevailing economic conditions (specific to Barbados)

    If Sinckler is suggesting the two economists “don’t know what they are talking about,” then he has essentially brought the credibility/accuracy of Barbados’ economic data and performance into question.
    +++++++++++++++++++++++

    @ Bernard Codrington

    You made a very interesting and though provoking contribution.

    The cost benefit analysis, if feasible, would also have to focus on wastage and “unproductivity,” which are endemic in the public sector.

  18. Bush Tea Avatar
    Bush Tea

    @ Vincent
    In the final analysis, EVERYTHING that is ‘welfare-based’ is counterproductive….. this includes national economies that seek to ‘provide’ for all their people. it is unnatural and unsustainable.
    Lotta shiite.
    Even worse is the attempt to do so by ignoramuses such as Stinkliar who seem to have no understanding of the difference between rate of change and absolute change.
    If you are already broke and bankrupt, it makes little sense to brag about a reduced RATE of deficient…. especially when it is really only because you can’t get anyone else to lend you money to spend in the first place…

    The NATURAL and sensible approach is to institute a national economy based on MERITOCRACY….. but conceptualising such a model is beyond brass bowls.

  19. ac Avatar
    ac

    what was Mia in her usual form quarelling about? Anyhow

    the govt has entered on a path of creating growth through deficit spending which in layman/s terms is referred to “good debt” as it increases revenue by the process of creating jobs and acts as financial stimulate through out the economy

  20. ac Avatar
    ac

    In the final analysis barbadians are going to have to come to terms as to whether they want to pay higher taxes as balloning costs can no longer allow the luxury of availing govt programs at no cost they are used to having or take the initiatives and pay for some share of cost
    The bottom line being that at the rate of a zero return for every dollar invested in these programs the decline in the deficit would remain unsustainable and inconsistent

  21. NorthernObserver Avatar
    NorthernObserver

    For a lesson in the brass tacks of budgeting, read this
    http://www.barbadosparliament.com/document/listall/7

    Only Bim could entitle this emoluments.
    Pay particular attention to the amounts and frequency of the unspecified category “Temporary Staff”

    If you think DEBT is an issue, then note the Ministry of Finance has a special section
    110. Budget and Public Expenditure
    Policy
    Subprogram 0108:
    DEBT MANAGEMENT

    The permanent employees ZERO. The unspecified temporary staff budget is $226,500

    You need read no other document to appreciate why our public expenditures are so high.

  22. NorthernObserver Avatar
    NorthernObserver

    @ac
    I wish to nominate you for the Nobel prize in economics.
    By the way….has it ever dawned upon you that cutting expenses is an option?
    Also, what growth number, either % or real dollar value do you estimate an overspending [deficit] of $1.6billion (good debt) should generate? The international idiots are saying <1%?

  23. millertheanunnaki Avatar
    millertheanunnaki

    @ ac March 14, 2016 at 11:16 PM
    “In the final analysis barbadians are going to have to come to terms as to whether they want to pay higher taxes as balloning costs can no longer allow the luxury of availing govt programs at no cost they are used to having or take the initiatives and pay for some share of cost”

    So this DLP administration is projecting to collect in excess of $2.7 billion in revenue.
    You would never believe this is the same administration which is always complaining about the previous BLP administration not doing anything about restructuring the economy or greater infrastructural investments when money was flowing into the treasury like a BWA burst main down Maxwell pond.

    It would be interesting to find out if $2.7 billion was ever collected as revenue under the previous administration.
    Maybe the statistician guy from the Brass tacks call-in programme reads BU and can do a comparative analysis of the amount of revenues collected during the BLP last 7 years in office compared to the current administration last 7.

  24. ac Avatar
    ac

    well the govt for starters cut some spending and u and others belly ache stating what the govt did was not fair. i hope you realized that cutting involves mostly govt programs that impact mostly ever individually
    this economy is heavily reliable on govt support and that includes private sector ,again one must realized that barbados economy is not multifacted and is limited in scope to attract viable investment outside of the tourism industries ..all of the many ministries/office in place are govt owned and have to be funded by govt / taxpayers monies totally… from wages to maintenance
    So the question to you where does the cutting begin? and who and what in your estimate should it effect and please do not tell me about the cars that the ministers are driving or some other off the chain idea.
    The fact remains that cutting like taxes results in pain and going forward their is still a country of 275 thousand people with social and economic needs that MUST be met

  25. millertheanunnaki Avatar
    millertheanunnaki

    @ NorthernObserver March 14, 2016 at 11:28 PM

    Now you have a good taste of the quality of leadership saddling Barbados.
    How does the JAs managing the economic and financial affairs of Bim intend to finance even 50% of the $1.6 billion deficit with the NIS almost cash broke and the Guv’s printing press at the Central Bank put out of commission by the IMF?

    Oh, yes! Borrow and beg from the Chinese!

    The fiscal deficit position is now one vicious cycle of circular referencing in a spreadsheet of fiscal mismanagement pointing to one incompetent cell labeled Stinkliar.

  26. ac Avatar
    ac

    miller what are you talking about the Blp had fourteen years in accumulative revenue which out runs what the govt projects in their short six and a half year period. yet as you say and is now proven that very little was done hence after fourteen years the govt has to borrow to repair broken water mains and bad need in repair infrastructure

  27. millertheanunnaki Avatar
    millertheanunnaki

    @ ac March 14, 2016 at 11:53 PM
    “So the question to you where does the cutting begin? and who and what in your estimate should it effect and please do not tell me about the cars that the ministers are driving or some other off the chain idea.”

    How about cutting the number of people in the Cabinet as a token of fiscal sacrifice? With a shrinking economy there is no need for such a bloated Cabinet, the largest in Bajan governance history.

    We can see you are coming around to taking the long overdue and necessary medicine call Privatization.
    Why not jump early onto the bandwagon and propose the sale not only of the BNTCL but also of the divestment of the GAIA and other commercial type entities the government still has a hand in like CBC?
    Are we going to hear another broken promise of restructuring of the Statutory entities currently sinking the government into fiscal quicksand?

    Or are you afraid of being labeled a turncoat and you are forced to change your moniker to “DC” the devil’s chum?
    Stinkliar might be good at cussing women and foreigners like the RBC people but he will never curse you,; right, ac?
    After all, you are the perfect yard fowl now ossified into a yellow old turkey which he will never touch just like Leroy the leper.

  28. NorthernObserver Avatar
    NorthernObserver

    @ac
    As a young boy I had to go to the doctor.
    On a nearby table was a lady, who had a nail jook in her foot, which was festering badly. The doctor told her he was going to have to cut it and drain the inflammation. She was not pleased. And wanted to refuse his treatment, she begged for a few pills.
    He told her.
    Listen I can give you a few pills, but that will only dull the pain. The foot is going to swell more and hurt bad. Don’t come back here, go to the QEH. They will put you to sleep, and saw off the leg just below the knee. But don’t worry, they have wolmanized lumber these days, the ants won’t even eat the wooden leg.
    The moral is…you have a choice: a little pain today, or suffer the consequences tomorrow.

    I will admit, this group in government have used every tool available to delay, hoping that growth will rescue the island’s finances. They have been creative. They have raided every cupboard in the kitchen, even the pantry and larder.

    The challenge is….the gap between these numbers…..revenue and expenses is getting so big, that even selling government assets is only a drop in the bucket.

    Yes cutting is pain. No question.

    Explain to me the options?

  29. Artax Avatar
    Artax

    @ millertheanunnaki

    Why do you continue to “argue” with the CONSORTIUM of ECONOMICS ILLITERATES?

    You should have quit while you were ahead when they wrote:

    1) “the govt has entered on a path of creating growth through deficit spending which in layman/s terms is referred to “good debt” as it increases revenue by the process of creating jobs and acts as financial stimulate throughout the economy.”

    Deficit spending occurs when government spends public funds beyond what is available in a budget. In other words, spending funds in excess of tax revenue earned. This spending has to be financed, not through taxation, but by printing money (which has been “no balled” by the (IMF) or through borrowing, which will increase the debt.

    It is important to note that, against the background of government’s mission to decrease the deficit, deficit spending actually increases the deficit. Debt does not increase revenue….. revenue is earned.

    Several of the projects outlined by government are short term, so too would be employment.

  30. balance Avatar
    balance

    ” If so ,the present population must pay higher taxes or pay for these services privately.Government also needs to reduce its bankrolling of the private sector with all these tax concessions. ”

    We have been paying the highest taxes in the Caribbean community since the expansion in the sixties of the policies promulgated since the 1850’s as you indicated(didn’t know it went back that far) and that is why Barbados is regarded as an expensive destination but the idea was that the taxes would take care of the deficit which as a consequence would arise out of the purported freenesses.So it isn’t that we do not pay the appropriate it is the mismanagement of the taxes collected.

  31. balance Avatar
    balance

    The below is reproduced for the Consortium from the posting” The slide in the Narbados Economy”

    .Public Finances of the Grantley Adams administration from 1955 to 1962. Note that in every year, current revenue exceeded current expenditure.

    Public Finances of the Errol Barrow Administration. Note that there was a deficit on current account in only two of the fourteen years and for relatively small amounts.

    Public Finances of the Adams/St John administration. Note that current revenue exceeded current expenditure in each year except 1977/78 and then for a nominal amount
    of the Barrow/Sandiford administration. Note that current expenditure exceeded current revenue in two years only and for relatively small amounts

    Public Finances of the Barrow/Sandiford administration. Note that current expenditure exceeded current revenue in two years only and for relatively small amounts

    Public Finances of the Arthur adminintratioin. Note that current revenue exceeded current expenditure in each of its fourteen years.

    Then along comes the Thompson/Stuart administration and this is what happens
    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.

  32. David Avatar
    David

    The Nation reported five persons were counted in the public gallery to listen to the debate. Just a few in the courtyard to greet arriving MPs. What do we make of it?

  33. ac Avatar
    ac

    Sir the money was spent to pay debt and inject money in the economy for social programs health! education transport housing etc
    Sir your figure gives a total accumulation of a five year period of about 1i billion approx and does not include the annual total debt necessary to run each and every govt enterprise which would be more than an average of i billion per entity annually to reach the desired requirements for fiscal effectiveness
    Sir certainly you understand that figures on paper says nothing but the reality is how those numbers can produce and delivered at a high rate or degrees fiscally and effectively and repairs the challenges being met

  34. David Avatar
    David

    To answer the question is says our present day crop of politicians are unable to excite the population with its policies. This has implications for the ability of the government to energize the population and thus to unleash the confidence of a people.

  35. Bush Tea Avatar
    Bush Tea

    @ David
    “..says our present day crop of politicians are unable to excite the population with its policies.”
    ++++++++++++++++++++++++++++++
    Excite shiite!!
    These people have PROVEN themselves to be a collection of useless, visionless, dishonest, lying, bribe-taking traitors to the country. All 30 of them….
    Even AC would stop supporting them – if only she was not so dependent on the fatted (now gutted) calf for her survival…

  36. Well Well & Consequences Avatar
    Well Well & Consequences

    AC….real commonsense dictates that it is all….UNSUSTAINABLE.

    In today’s screwed up world, there are no good debts, how many times would you have to keep proving yourself to lenders, what’s so good about debt if your are unable and unwilling to independently sustain yourself and have to repeatedly borrow.

  37. ac Avatar
    ac

    Bush shit u know nothing of me and my means of support. For your information and solely for purposes of having to correct your falsehood and untruths ac has never taken or asked of any govt for financial or domestic support of any kind.
    Thank God i have understood the meaning of independant financial responsibilty which has given me the freedom and capability of standing on my on own two feet and the luxury of owing no man or woman nothing
    However i will say that wherever and whenever possible i would do my best to be a good representative of this country with alterness and directives to stimulate the positive

  38. Bush Tea Avatar
    Bush Tea

    In case it was not clear….
    NO SYSTEM that is philosophically based on ‘welfarism’ will EVER be successful in the long term.
    Welfare is for pets.

    People are DESIGNED to thrive on independence, merit-based self-actualisation, and LOVE. The ULTIMATE methodology for creating a SLAVE-FOR-LIFE is to provide freely, the basics of existence to the victim….

    So we have TWO fundamental problems…
    1 – an unsustainable philosophy
    2 – a pack of jackasses trying to implement it…

    We may as well just arrange our national funeral…
    BBs…!!

  39. Bush Tea Avatar
    Bush Tea

    …oh sorry
    We have THREE basic problems…

    3- Jackass, moronic, ass-lickers, like AC who, though ignorant to the bone, and as astute as a rock, continues to spout forth torrents of shiite – enough to clog any toilet… in support of their political masters…

    …and to think that she claims to do it for nothing….
    Ladies and gentlemen, Bushie gives you the ULTIMATE shiite hound….. AC

  40. racehrse Avatar
    racehrse

    Tax & Spend DLP. Government has grown, and services cut. So, you see your officials in Armani suits, Ray-Ban Sunglasses, driving new SUV’s. You see citizens waiting on their tax refunds for ‘2014. The roads your traveling are beat up even though there’s a road tax. Your paying a service charge of $50 a barrel at the port. Your paying additional VAT on cell phone data. You see a new building for the BWA, although you see no water in certain parishes, and hundreds of broken lines. Go to St John and look at the new David Thompson Polyclinic, a Taj Mahal by all accounts. So asked yourself where has all the money gone to, and how has your life changed for the better over the last 8 years, compared to the previous 14.

  41. ac Avatar
    ac

    Bush shit…and to think she does it for nothing…

    Refutes your asinine claims that i am a yardfowl on govt payroll. You ass.hole

  42. Well Well & Consequences Avatar
    Well Well & Consequences

    Christ AC…..you do not want debt for yourself, but want it for the island and people.

    You do not want dependency for yourself, but want it for the island and people.

    Why dont you teach the politicians in parliament “the meaning of independant financial responsibilty which has given me the freedom and capability of standing on my on own two feet and the luxury of owing no man or woman nothing”…….so they can achieve the same for the island and people.

    What kind of unpatriotic yardfowl are you…..why would you always want to see the island in debt…no wonder you cheer the idiocy of DBLP…lol

  43. Old Baje Avatar
    Old Baje

    The hiring of Trinidadian mechanics instead of paying UCAL some money and allowing them to get ahead with some work is unconscionable. The government is so broke they will resort to desperate tactics to save a couple of dollars even if it means screwing UCAL.

  44. David Avatar
    David

    Why don’t some of you debate the issues and stop engaging ac to the extent it degrades the discussion. If ac makes a point challenge it on merit and visa versa. Think about those reading who are tired of the empty back and forth. We criticize the politicians and how do we lead the way?

  45. Well Well & Consequences Avatar
    Well Well & Consequences

    The government seem to be always desperate whether they are broke or not, what a bunch of idiotic jackasses, in barbadostoday, the clown Richard Sealy actually admitted to being stupid beyond recall.

    Who takes pensioners money, without their knowledge, buy a hotel, Almond Beach, then call up a crook like Butch and sell it to him for millions less than they purchased it with NIS money..instead of selling it for at least 20 million more…and like if that is not bad enough…

    Sealy could have told Butch, the hotel is for sale, call up Neal & Massy, then the jackass would not have had to dip into NIS pension money, at a loss, since the bank has to be paid interest on the loan and it’s not his blasted money to do any idiot thing he feels suits him.

    What more can they do to destroy the people.

  46. Well Well & Consequences Avatar
    Well Well & Consequences

    On top of that…Sealy turn around and gives Butch Stewart 40 years worth of concessions at the taxpayer’s expense…who does these things…and why is Sealy still a member of government, wait, dont tell me, they would all do the same thing….sell the country for nothing and give away everything for bribes.

  47. ac Avatar
    ac

    WW&C. Why dont u read and understand what Bush Shite is saying asking for initiatives that would slash spending for the poor and vulnerable.
    Instead of assuming that my fiscal independence should be an example for govt
    Needless to say my fiscal independence was govern and dictated by an unchanging family influence
    Cant say the same for govt whose policies are reflective of differing govts compounded by policies mostly reflective of the electorate choices

  48. David Avatar
    David

    Don’t some of you realise the time for blaming is over? The Estimates and those for the last few years under this government shows deficit financing is a problem. Barbados has not capture the reputation in the Western hemisphere has a country with the highest debt to GDP. Who would have thought Barbados would be in such a position having for many years been regarded as a model small island economy. The time for small-minded politicking and yardfowlism must surely come to an end and all of us realise it is time to position Barbados first.

  49. Hants Avatar
    Hants

    No one “punches above its weight”forever.

    Barbados needs to go in the gym and lose weight and add new training methods.

    You have an economy that depends on others CHOOSING ( not obligated ) to visit and others to pass their money through you low tax regime.

    Barbadians are not willing to sacrifice their conspicuous consumption of imported goods unless forced to do so.

    There will be more pain before their is any gain.

  50. Hants Avatar
    Hants

    there not their

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