We are not borrowing to eat; we're borrowing to invest

We are not borrowing to eat; we’re borrowing to invest

Jan 28, 2024 Letters

Dear Editor,

I start with a quotation made by VP Jagdeo who stated “We are not borrowing to eat; we’re borrowing to invest,” and I would add one should not borrow to only spend, but to invest wisely.” The idea of borrowing or even earning money for that matter, just to indulge in wasteful spending is backward thinking and a practice that would eventually lead to greater poverty.

This fact has been proven time and time again, and I would begin with the foreign examples first. We are all familiar with the Trinidad example of COLA (Cost of Living Allowance) in the early years of their sovereign wealth; a monetary sum given to its citizens gratis. It was a well thought out programme, one which directly targeted those in the lower end of the income bracket. Many grasped on to that monetary handout, thereby benefitting from its proceeds, however there remains a sizeable group who never raised their standard of living index, instead, they sank even lower on the poverty scale.

The point I’m making is, this was a monetary handout open to all Trinidadians, irrespective of race religion and political affiliation, some succeeded handsomely and went on to lead successful lives, while others sank into poverty. One wonders why some succeed while others fail? And the answer lies in the choices they make, or simply put the uses that money was put into. The wise Trinidadians invested while others partied and engaged in extravagant spending which left them bereft of the goals COLA was meant to achieve in their lives.

We have both the Trinidadian as well as our own local experiences here in Guyana and I make mention of the gold and diamond seekers of our country. Here we had a group of people who became millionaires overnight, as commonly refer to “They became mud rich in an instant,” yet tragically many died in abject poverty, can you explain why? It is fascinating to know how persons who’ve acquired wealth or even inherited wealth can go on to lose it?

And the answer comes from the stark reality as to what was done with that money. Those of the gold and diamond seekers can be attributed to wasteful spending and a wild obsession with “wine women and song.” There can be no excuse that they were locked out of opportunities and were in any way hindered from living a comfortable life? No not at all, their problem lay in the realm of failure to focus on purposeful futuristic planning. You cannot live for the here and now and shut out your sights on a tomorrow, there must be a tomorrow in one’s planning or else you will fall into the same pit.

Another salient point sounded by The Vice President is, “Citizens should not expect to sit at home, receive a check from government and stop working'” it just wouldn’t happen. I guess he might have borrowed that quote from The Bible which speaks to laziness in II Thessalonians 3: 10- 13. The Trinidad experience of this principle, or should I say lack thereof, was seen when able-bodied men left their jobs only to live on COLA. The PPP/C has vowed never to replicate that form of backwardness here in Guyana, instead they are fashioning an economy in the letter and spirit of The Chinese proverb, don’t just give a man a fish, rather, teach him to fish, it is a common guide to progress and prosperity.

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