The Tribune

FNM chairman Darron Cash has hit out at businessman Franklyn Wilson over his accusation that the party was guilty of gross overspending while in power, claiming the opposite was actually the case.

But, despite PLP stalwart Mr Wilson being “dead wrong” in his account of recent economic history, Mr Cash said he and his colleagues are nevertheless prepared to be constructive partners with the government on tax reform.

“Wilson’s false charge of reckless spending was in fact the reverse,” he said. “FNM spending was a necessary effort to pull our economy from the brink of disaster.

“Thousands of Bahamians — including this PLP government — are better off today because of our aggressive actions. The PLP should simply say thank you.”

Mr Cash said the FNM welcomes Mr Wilson to the national debate on value added tax (VAT).

“He has suggested the need for the public to not see this debate as ‘a partisan thing.’ We agree with him. If only his opening contribution to the debate had not been a weak, hackneyed attack on the FNM.

“Had his opening words not been a partisan recitation of the standard PLP talking points about the FNM government’s ‘reckless’ spending, then his call for less partisanship would have more legitimacy.

“Alas, he has once again demonstrated that the PLP’s partisan Kool-Aid is too hard to resist,” he said.

Mr Cash said far from being reckless, everything that the FNM government did between 2008 and 2012 was aimed at minimising the pain inflicted on thousands of Bahamians by the “Great Recession”.

“Most importantly, the significant increase in debt that Mr Wilson and the current Christie Administration complain about was absolutely necessary to prevent the death of the Bahamian economy at a time that our largest trading partner, the United States, was experiencing job losses at a rate of several hundred thousand per month,” he said.

“According to the US Bureau of Labour Statistics, since the start of the recession, 8.8 million jobs were lost. This had an enormously negative impact on the Bahamian economy and aggressive action was needed to prevent economic disaster.

“Contrary to press reports, the FNM is in no way and never will be in denial about the significant increases in government spending and debt. It was necessary to avert disaster. The distinction between the FNM in government and the PLP is that after the increase in debt, the FNM is always able to show something tangible as evidence of what we did with the money. Prime Minister Christie cannot say that. And it is clear that he has not changed his wasteful spending ways.”

Despite the naysayers, Mr Cash said, no one can deny what the Inter-American Development Bank said about the New Providence Road Improvement Project: “Due diligence that was done in this case was very complete. It was viewed by many eyes, including independent eyes. The important thing is that at the end of that process, the benefits continue to far outweigh the cost — even the increased cost. That is the bottom line to why the IDB board approved it and that’s the bottom line as to why we are proud to be sitting here today to sign it.”

Since Mr Christie returned to office as Prime Minister, Mr Cash said, the government has borrowed more than $1 billion.

“Bahamians are hard pressed to identify something tangible for it. And before Mr Wilson and others regurgitate that discredited line about having to pay off FNM government bills, they should stop and present the facts before they talk. That ridiculous argument has already been disproven as nonsense,” he said.

“But consider the fact that the reality of waste, fraud and abuse that occurs so frequently in the PLP governments has not been addressed. Between $15 and $18 million spent on urban renewal and the benefits cannot be seen. Add to the ‘Crisis? What crisis’ mentality in this government is the million plus already spent on a useless opinion poll. Mr Wilson, who is the real reckless spenders?”

According to Mr Cash, the PLP can learn many things from the FNM, including:

• A focused, engaged and on-the-job-full time Prime Minister makes a world of difference. “A Prime Minister like Perry Christie who is literally and figuratively ‘all over the map’ is a recipe for disaster. Nothing of note will get done and the PM will frequently find himself admitting publicly that ‘I DON’T KNOW’ what is happening in my own government”.

• The FNM awarded contracts, especially small business contracts, to everyone on the basis on merit. Political allegiance was irrelevant. “Our philosophy was simple, everybody needs to eat!”

• Hubert Ingraham and Zhivargo Laing ran a tight ship at the Ministry of Finance. With Mr Christie the question is always, “who is in charge here?”

• In the face of tough times Prime Minister Hubert Ingraham led by example. He was honest. He told the people that times were tough and did ask them to make sacrifices. He then cut ministers’ salaries, cut discretionary spending and eliminated nonessential foreign trips.

• Contracts were not for the purpose of finding “jobs for the boys” but for the purpose of doing necessary work for the people and getting value for every dollar spent. “While nothing was perfect, value for dollar spent was the rule with the FNM. With the Christie government, value for dollars spent is the exception. That is the fundamental reason why he refuses to account to the people’s parliament,” Mr Cash said.

The one thing Mr Cash said he agrees with Mr Wilson on, is that it would be in the best interest of the country if the government and opposition could reach agreement on the best approach to tax reform.

“He and the Prime Minister have the FNM’s commitment to do just that. But the Christie Administration makes it very, very difficult to achieve that ideal; they refuse to take ‘yes we are prepared to engage in constructive consultation’ for an answer. But the FNM will keep trying.”