The Tribune

By Lynaire Sweeting

Tribune Staff Reporter

lsweeting@tribunemedia.net

EAST Grand Bahama MP Kwasi Thompson said the Davis administration has again failed to release a fiscal responsibility report in time.

He said the administration is making a mockery of the principles of accountable and transparent management.

“The opposition notes the blatant disregard for legal timelines with the tardy publication of the April 2023 report, which, by law, was due in the first week of June,” he said in a press statement yesterday. “As is the unfortunate habit of the Davis Administration, this report was published two months late. The May 2023 report is now also overdue, as it was due in early July.

“The government still has not ensured the publication of the legally mandated 2021 and 2022 fiscal responsibility council reports on the government’s annual fiscal strategy.

“Despite another seemingly idle promise from the prime minister, Bahamians have still not received an update on the current composition of the fiscal responsibility council, nor a timeline for when the council will produce its delayed reports.”

Mr Thompson noted the government’s revenue expectations may require revision and that the deficit may increase.

“The slowdown in the pace of revenue growth must also lead the government to reconsider its lofty projections for revenue in the current fiscal year and the planned elevated expenditure that was tied to revenue numbers that may not materialise,” he said.

“The FNM reiterates its stance that this administration must take a cautious and prudent approach to public expenditure. Given the revenue trends, the government must now expressly scale back on unnecessary and extravagant expenditures so that its current deficit target of $131.1m is not put at risk.

“This is not simply an academic exercise. Local and international creditors –– as well as credit rating agencies –– are watching to see if the government meets its fiscal consolidation goals.

“If the government’s planned reduction in the deficit is not met, it will drive public debt higher than currently projected. This will undoubtedly place undue pressure on our country’s credit ratings and its ability to raise new financing on favourable terms.”