The daily grind will be much harder

Feb 28, 2010 AFC Column, Features / Columnists

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2010 Budget Speech

By LATCHMIN PUNALALL – AFC, MP

Introduction
It is not sufficient for this administration to just routinely run our country. They must build it as well as actively determine and shape the way forward for Guyana.
It is the will of the people that Guyana moves forward. Inasmuch as bigger budgets year after year are approved most of our people live pathetic lives, have blighted hopes, and are unrelieved of their economic woes.
We all know that by the time 2010 ends our economic standard will not increase by 10.8%. There is nothing in this budget to assure the Guyanese workers and average citizens that 2010 will be a better economic year for them.
On the contrary the daily grind will be much harder. Just as how the 2009 budget had to be supplemented by huge budgetary additions, most likely this is what will happen again at the end of this year.
Principles
Dr. Clive Thomas a well known Caribbean scholar and economist outlined ten principles which we can use to advance our social development in Guyana.
They are:
· It is humane. It elevates social concerns over individual gains/losses.
· It is sustainable. Its true horizon is oriented to future horizons.
· It is empowering. It is not based on exploitation.
· It is synergistic. It affects and is affected by all areas of social life.
· It is catalytic. It is an agent of change.
· It is mobilizing. It helps to develop the energies of society.
· It is accountable and responsible. It emphasizes sharing and trust.
· It is concerned with both development and the distribution of the benefits of development.
· Its accumulation is driven from below because of its social ladder.
· It is non-resistance. Voluntary action rather than external rewards or punishments drive it.
Many of these critical principles are absent from the economic administration of our country and were not considered in the crafting of this budget. We all know that we live in a country which conspicuously lacks the prudent and lawful management of state funds.
Indigenous People & LCDS
In reference to the U$30 million which is an expected income from Norway as part of a five-year forest saving deal. It is mentioned in the Budget that this money will be spent on “infrastructural development, low carbon small business initiatives, and the cost of land demarcation and land titling for indigenous communities”.
The AFC is not against Guyana receiving genuine financial assistance from the developed world. Neither are we against the harnessing of our natural resources in an environmentally friendly manner.
We believe that this country will definitely flourish when our natural resources are managed for the benefit of all Guyanese. However, it seems as though the implementation of this LCDS deal will impact negatively on citizens’ accustomed practices of livelihood, in particular our already impoverished Amerindian brothers and sisters in Guyana’s hinterland.
In order for these brothers to farm, harvest logs or mine; vegetation will have to be cleared. If this is curtailed the suffering and level of poverty among our first people will definitely increase.
Of the many races which inhabit our land our first people are the only ones who have an entire Government Ministry designated for their welfare – the Ministry of Amerindian Affairs.
Ironically, they still remain among the poorest of the poor in Guyana.
I visited the hinterland settlements and have seen the struggles of these citizens. Many live primitive lives and are virtually cut off from the civilized world.
However I support what I just said by the following statement by Mr. Jorg Vereecke, Associate Expert on Indigenous People who prepared a “National Report on Indigenous People in Guyana” for the UNDP (Dec 1994). He stated “Many Amerindian communities are dependent on the remittances from migrant labour whereby men leave their families for work in mining or logging for long periods of time.
A major reason for this is the weak nature of subsistence food production in many parts of the interior and the low purchasing power of the majority of the Amerindian families.
A serious outcome of this situation is the existence of a rise in the number of female headed households and the implications for stability of the family unit, the neglect of children and excessive burden on women…Lack of human resources and the experience in community development result in the creation of a culture of poverty and dependence”.
When I think of the extreme poverty facing our first people the words of Mother Theresa come to my heart. She said “We think sometimes that poverty is only being hungry, naked and homeless.
The poverty of being unwanted, unloved, and uncared for is the greatest poverty. We must start to remedy this kind of poverty”.
This is the kind of compound poverty that faces our first people. Rather than being dependent on aid and remittances, focus should have been placed on the generation of internal economic growth by harnessing the under-utilized resources of our land.
Education
The sum of $21.4 billion is allocated to the Education Ministry in the 2010 budget. However students have to rely on extra lessons in order to receive a complete education. We will find even six- and seven-year-olds taking extra lessons.
This comes at a steep cost and depression to parents. In the case of secondary school students it is as high as $4,000 per subject per month. There is a direct relationship between education delivery and poverty in our country.
Sidone Gabrielle in an article titled ‘Timeless Thoughts on Poverty” said “Real poverty is the lack of knowledge. With knowledge comes power. Education is a way out of poverty”.
This being an accepted truth, one would have therefore thought that this budget would have better reflected policies and programmes that would be helpful to children living in poverty; that more money would have been allocated to improve learning environments, strengthen poor neighbourhoods, and even grant some relief to low income families and paying teachers a better salary.
Labour and Tax
The minimum wage remains in the vicinity of $30,000 per month. To add to this misery, many of our workers earn less than this.
The sweeper/cleaners and security guards in Reg. # 4, most of who are women fall in this unfortunate category. Some are single parents while others work to supplement their husband’s meager income. I am reminded of the simple but yet profound words of Finley Peter Dunne who said “One of the strange things about life is that the poor, who need money the most, are the very ones that never have it”.
No consideration was given to reduce the 16% VAT which has been very burdensome to our people.
The income tax threshold also remains at $ 35,000 per month. If the AFC had to bring a national budget to this assembly it certainly would have reflected more care and concern for the working class people of our country.
In Nov 2007, USAID presented an assessment of “Guyana’s Economic Performance” which was done by Nathan Associates Inc. This report said “Labour productivity has been stagnant in Guyana between 2001-2005 and Guyana’s level of labour productivity barely budged, with an average annual increase of a mere 0.1 percent.
Such poor performance may be attributed to lack of investment and high emigration rate among trained Guyanese. It is notable that 89% of Guyanese tertiary graduated live in OECD countries”.
Three years after these words were written the situation in terms of investment and emigration continues to decline.
Conclusion
The AFC recognized and notes that this Budget does not meet the needs of our people.
While many may think that they will continue to ride on the backs of the toiling citizens of our country let us be warned by the divine words recorded in the Holy Bible in Job 34:21
“For the eyes of God are upon the ways of man, and he seeth all his doings”.
Let us be warned that Almighty God observes and inspects those who rule the human race. May Almighty God hear the cries of the poor and bless them.

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