Browne Administration to establish oversight committee to police new fiscal measures; but skeptics say it will be another waste of time

During the 2024 Budget Presentation last Friday, December 15, Finance
Minister Gaston Browne announced that – in a matter of weeks –
his administration will establish a Fiscal Resilience Oversight Committee
according to the Fiscal Resilience Guidelines.

However, some observers believe this oversight committee will be a
waste of time – just like the Economic Recovery Committee that was
established during the COVID-19 pandemic.
 
Since a number of new fiscal measures will take effect in 2024 –
including a 2 percent hike on the Antigua and Barbuda Sales Tax (ABST)
– the Committee’s mandate will be to assess and report on the
Government’s compliance with the general fiscal principles set out in
the Guidelines.
 
Browne says the Committee will comprise up to seven members drawn
from the public and private sectors, and will include Antigua and
Barbuda’s country economist at the Eastern Caribbean Central bank
(ECCB).
 
Opposition Leader Jamale Pringle is expected to recommend someone
to serve on the Committee, since Browne says the matter of fiscal
sustainability cannot be treated as partisan.

Reportedly, the new fiscal measures are being implemented to help the
Administration to meet several of its financial obligations, including a
salary increase for public servants. And in addition to funding this pay
raise, the revenues generated will ensure improved service delivery and
better infrastructure, Browne claims.
 
However, some residents say there has been no accountability, so far,
from the Browne Administration; hence, this Fiscal Resilience Oversight
Committee is nothing but a sham.
 
Meanwhile, according to the Budget Presentation, the Government has
allocated $15 million to advance the implementation of its strategy to
clear arrears.
 
According to the finance minister, while the Government intends to
remain current with creditors and suppliers, it recognizes the need to
develop and execute a credible strategy to reduce what it owes them.
 
“It involves negotiating new financing terms with some creditors – a
process that has already begun,” Browne claims.
 
He says that his administration will employ a combination of set-offs
with the tax authorities; write-offs where appropriate; cash payments;
and the issuance of bonds.

“Ho-hum,” one skeptical resident tells REAL News. “We’ve been
hearing similar plans for paying off the former LIAT workers since 2020.
Let’s see if the vendors are going to fall for this negotiation story,” she
says.