Budget 2008 - The Priority - Financing Debt!

[papaD]

Boardites

Hope you have had a good holiday period. I felt compelled to post following listening to Perkins and the Prime Minister's phone in (far too parochial - but has loads of potential). The PM needs to explain more as well as respond - too chit chatty for my liking.

JIS Budget

You will know doubt have seen and starting hearing the analysis of this budget and I have taken my source from here as I am curious about the recurrent expenses and the capital expenditure. The capital expenditure probably is the one that really shows where priorities are for this government right now.

Recurrent Total: $254billion Capital $150.6 Billion

These are all for capital...all billions unless stated
Ministry of Finance & Public Service $143.9
Ministry of Education and Youth $4.5
Health $1.2
National Security 7.51
Justice $492.1 million
Information $364.13 million
Agriculture $3.67
Industry, Investment, Commerce S228 million
Water $2.51
Foreign Affairs Trade $54million
Labour and SS $2.7 (Note more than recurrent!)
Tourism $56million
OPM $7.73
Local Govt $1.47

The figures unfortunately do not add up!!!

I find the financing of debt scary [img]/forums/images/%%GRAEMLIN_URL%%/70384-praying.gif[/img]

Even being apolitical the sad reality is that it is a miracle even having a budget that kills people getting any meaningful service because of the huge debt that has mounted. This needs to be highlighted so that the people really understand what is happening in terms that can be understood clearly.

Jamaica is living off the never-never and the reality is that it is difficult to govern and I have to say that the previous administration borrowed itself out of control and really cannot say much in the budget response as the governing party need to be firm as to where the problems lie.

National Security - throwing money at this ministry might help in renovating police stations but you need to pay people decently so that they are not influenced by corruption. Money with reform needs to be the order of the day.

Education - needs to be in double digits to even begin the meaningful turnaround ditto with health.

I am surprised agriculture gets more than Water!!! I would have done this the other way around. Pumping stations, sewage works etc.

Anyway, bottom line is that I think that in 5 years the debt must be reduced by at least a third as the biggest priority and that Education, Health, Water and Infrastructure would be in the double digit billions for a second JLP term presuming they get one. They need to however tell people the plan.

Comments please...

[bee_bop]

Re: Budget 2008 - The Priority - Financing Debt!

PapaD said:
<div class="ubbcode-block"><div class="ubbcode-header">Quote:</div><div class="ubbcode-body"> National Security - throwing money at this ministry might help in renovating police stations but you need to pay people decently so that they are not influenced by corruption. Money with reform needs to be the order of the day.

Education - needs to be in double digits to even begin the meaningful turnaround ditto with health.</div></div>

Littleman says:
<span style="color: #660000">I myself am shocked at the relatively paltry sum thrown at National Security, and Education; worse yet the miniscule amount tossed at health, even though they have to provide free health care.
With education, I think they need to determine who can pay and ensure that they do. Also they could save some money by forcing the parents of incorrigible kids to pay for them, especially parents who try to beat-up teachers.
With the state of Jamaica's National Security, one would think this would inspire more spending. Jamaica most likely needs improvement to police stations, etc.</span>

One good thing is that the value of the Jamaican dollar has risen from Ja$70.00 to approx. Ja$68.00, against the U.S. dollar. So the amount of debt should reduce accordingly.