VAT to be reviewed, SWAT team established

May 26, 2011 News

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…power sharing can’t work- Ramotar

The next government of the People’s Progressive Party/Civic (PPP/C), under Donald Ramotar, will work to establish a Special Weapons and Tactics (SWAT) team to tackle crime and review the Value-Added Tax (VAT).
Speaking to top business leaders yesterday at the Pegasus Hotel, Ramotar, the PPPC Presidential Candidate, also disagreed that the Office of the President has grown too powerful and had become like “lords of the land.”
Stressing that Ministers present at the forum will disagree, Ramotar said that under his administration he would not be unwilling to allow his minister more autonomy to make decisions to move Guyana forward.
The Russian-trained official, currently the General Secretary of the PPP, is the last of three Presidential Candidates to appear before business representatives in the historic forum organised by the Guyana Manufacturing and Services Association Limited (GMSA).
Already, Khemraj Ramjattan of the Alliance For Change (AFC) and Brigadier David Granger, of the People’s National Congress Reform (PNCR) have made their cases before the private sector to detail plans should their party win the General Elections slated for later this year.
Local Govt. elections
According to Ramotar, he will ensure that Local Government elections are held early in 2012 because not much work will have to be done on the Voters’ List and because it will cost more to do it later.
Arguing for VAT, the official noted that it had replaced several others with more than 100 essential items being zero-rated.
Guyana has probably the lowest VAT rate, 16 per cent, in the region with places like the UK up to 20 per cent.
According to Ramotar, his campaign will centre on the theme of continuity, and will be spoken more in detail during the unveiling of the party’s manifesto later this year.
Guyana will need to grasp the opportunities that will come from the development of the technology sector and the country should prepare to see more export-oriented policies.
While the traditional big earners like rice, sugar and bauxite will be reviewed, other areas will emerge to also become key to the development of the country, he told the gathering.

Ramotar dwelled at some lengths on the critical role of the energy sector, telling the business representatives that it will be a main focus for development.
While hydro power in Guyana remains a priority, there are other options like rice husks, bagasse from sugarcane and ethanol that will have to be explored.
On the issue of development, Ramotar still believed that the cost of capital is still high.
Local businesses will have to examine other ways to bring the cost of financing down.
The PPP/C official said that there is too much liquidity by the banks- some $50B of it.
He mooted the development of a stock exchange and a drastic change of attitude by some –family-owned businesses to seek financing by this means.
Ramotar also signaled his intentions for Guyana to use more locally-produced materials or as he described it…import substitution.
Citing one example, the official pointed to the enormous quantities of paper used. Guyana has the possibilities of making use of its wood waste locally and exploring the cultivation of fast-growing trees.
Deep water harbour
The Presidential Candidate also announced his intentions to continue exploring the establishment of a deep water harbour in the Berbice River, an area that produces 60 per cent of the rice and 60 per cent of the sugar in Guyana.
That area is also ideal for the establishment of a large agricultural processing center, he said.
This particular project will be a dream come true for many businesses, he said.
In the area of addressing the need for more cargo flights to Guyana, the Presidential Candidate disclosed that there are plans to build longer runways with the airports further modernised.
Ramotar was confident of Guyana’s attraction for investments. The country is blessed to have large sections of land that can become large scale farms and help feed the hinterlands.
The commissioning of the fibre optic cable from Brazil

will further provide more opportunities and jobs.
Under a Ramotar-led government, emphasis will continue to be placed on introducing more public-private partnerships.
Red Tape
According to the official, he is cognizant of the fact that some systems may not be working and are creating red-tape headaches for the business communities. This red-tape fosters corruption and delays. These are priorities to be addressed by the new government.
Yesterday, Ramotar also called on the business community to consider introducing more scholarships to bridge the shortfall in a number of key professional fields.
Government has not stood idly by and other initiatives like the One Laptop Per Family project are all designed to improve the livelihoods of Guyanese, he said.
In the area of crime, Ramotar admitted that it will take more than Guyana to tackle this issue. The country will have to be looking internationally for help.
The establishment of a SWAT-like team to tackle crime is imperative. The mistakes of past similar units are not to be repeated.
Questioned on whether he would consider power sharing, the official made it clear that past experiences did not work and his government in all likelihood would not consider this again. Ramotar, Ramjattan and Granger are expected to meet each other in a panel discussion before the business leaders ahead of the elections.

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