The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

Prime Minister Perry Christie has sought to defend the Government’s $100 million deficit projection for 2016-2017, arguing that it would be “simply ludicrous and irresponsible” to suggest it was trying to fool Bahamians about the country’s fiscal position

    “It bears repeating that the GFS deficit in 2016-2017, at $100 million, will be at its lowest level since the turn of the millennium,” the Prime Minister said.

“And, on current plans, a GFS surplus is projected for 2018-2019, the very first such surplus in at least 40 years.”

Mr Christie expressed amazement at charges brought by Opposition Finance spokesman, KP Turnquest, over his administration’s deficit calculations.

    Mr Christie said Mr Turnquest had assessed the fiscal results for only part of the 2015-2016 fiscal year, and then produced a forecast for the full year by assuming that the trends during the part-year would continue, leading to his full-year estimate of $446 million.

“The fiscal projections presented in the Budget Communication every year are subjected to careful and meticulous scrutiny, both at home and abroad. The international credit rating agencies, for their part, go over our fiscal numbers with a fine-tooth comb,” Mr Christie said.

“Thus, the projections for the GFS deficit that are presented in the Budget communication this year are fully supported by, and fully consistent with, the projections for recurrent and capital expenditure, as well as recurrent revenue that are laid out in plain view in the communication.

“It is simply ludicrous and irresponsible to suggest that any Government could imagine it possible to try to fool anyone about the nation’s fiscal situation.”