PPP/C is not opposed to cash transfers

Oct 07, 2019 News

Leader of the People’s Progressive Party, Bharrat Jagdeo, has stated that his party is keeping an “open mind” on the issue of cash transfers from the oil and gas sector.
During his weekly press briefing on Thursday, he said that at this stage, he will refrain from stating that the PPP/C will not consider cash transfers.
“The PPP/C has to keep its mind open to any method that would reduce poverty, that would get more jobs for people, get our children to school, getting the best quality education and healthcare,” he said at his Church Street office.
The Opposition Leader accused the A Partnership for National Unity + Alliance for Change (APNU/AFC) Coalition Government of spewing a “misleading narrative” to Guyanese about cash transfers.
He continued, “I was right in Sophia one evening and people said that we were told by some of the activists that from APNU that they will get money from the oil sector—every person will get some money when oil comes.
“[Clive Thomas] suggested that the implicating could be done almost immediately. We had to look at the number… and pointed out that it [was] unrealistic.
The US$5,000 per household would cost us in excess of US$1.5 B per year, and we were only going to collect, at maximum or so US$300M per year for the first four years. You can’t distribute per year, US$1.1B if you’re only collecting US$300M. That three times more that the amount,” Jagdeo explained.
He further stated that in some other countries, for instance the United States of America and Finland, they have been exploring the concept of a universal basic income, where every person in the country would receive a cash grant from the treasury.
Jagdeo said that this is done with the aim of alleviating and/or eliminating poverty, “and it would probably reduce crime,” Jagdeo added.
“The results of employment have not been great. It didn’t show any major shift in employment after the cash grant in some countries. Let us don’t be ungenerous to the results—The results have been mixed about universal basic income.
“Now Alaska gave people a cheque every year for a sum of money from the fund that they have, because they produce oil. Now the thing about Alaska is that sum is variable.
“If the oil prices are high in some years you might get a bit more, and it could get down to as low as US$700 or so if the oil prices are low.”
The former president went on to say that the political opposition is going to continuing look at all of the technical issues “to see that you have enough money to actually do this and that it is sustainable in the long term- that it doesn’t lead to the Dutch disease, that it doesn’t lead to the killing of work ethic,” he concluded.
However, the Government shares a different view on cash transfers the oil and gas sector. On October 2, Minister of Foreign Affairs, Dr. Karen Cummings, made is clear that educating is where the Coalition Government prefers to invest in.
Thus, they are not looking to dole out oil proceeds into the hands of Guyanese.

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