Then the Minister of State Joseph Harmon advances the recycling of used envelopes as the Government’s plan to save the economy, we know that Guyana is in trouble.
The Coalition should have thought of “saving” before it granted members of Government up to 50 % increases in their already huge salaries. It should have thought of saving before spending hundreds of millions on the beautification of Georgetown, a now ghost capital which is still overwhelmed by the stench of garbage and bad drainage and irrigation. Perhaps it should have thought of saving before splurging on the refurbishment of the Prime Minister’s residence to the tune of GY$20M, although former Prime Minister Samuel Hinds lived for years at the same address without ever complaining. Similarly, the Coalition should have thought of saving before buying new luxury vehicles for members of Government, including a $22M SUV for the PM Nagamootoo, despite having inherited vehicles in good condition from the previous administration.
Imagine this Government is telling us about “austerity” measures as though it’s Greece we’re talking about. This is Guyana, a country which for the ten years preceding the Coalition’s installation in 2015, benefitted from a sustainable economic growth that fluctuated between 3.5 % – 7.1 %, in pace with regional economic development. Unsurprisingly however, just a few months were needed for the Granger regime to contract economic growth to 2%. To justify this disaster, Harmon had the nerve to claim that the economic stagnation was due State funds being invested in GuySuCo, as well as to the dire situation of the rice industry.
However, his argument is unfounded considering that at any given period in the ten years preceding the change in Government, GuySuCo benefitted from State funding while the economy was booming. For instance, in 2006 and 2011, GuySuCo was receiving funds with a GDP of 7.1% and 5.4% respectively. When it comes to the collapse of the rice sector, blame must be directly attributed to the APNU/AFC which in 2015 refused to renew the PetroCaribe Deal that secured US$ 14 per bag of paddy instead of the then international market price of US$ 9, and removed State intervention which guaranteed that millers pay between GY$ 2200 – $3000 per bag of paddy. In so doing, the Coalition abandoned rice farmers to the mercy of millers. The result? Prices as low as GY$ 500 per bag of paddy in places such as Essequibo where families today can no longer afford to cover charges and are forced to give up their lands! The devastation of the rice sector by the APNU/AFC has a far-reaching domino effect on the economy not only because it’s the sole source of income for a significant portion of the population, but also because it is one of the traditional income earners and backbone of our countries. From local markets to supermarkets to mechanic parts suppliers, everyone’s suffering from the downfall of rice farmers.
The Coalition intends to revive the economy by launching a housing programme which imposes ready-made houses built by the Government on Guyanese, who would no longer have the choice of building their own homes as they’ve always done. The justification is that this would boost the local production of construction material whereas in reality, the State cannot be the sole or majority purchaser, sufficient to drive the sector (unless of course, if the Government intends to dole out contracts to APNU/AFC friendlies). And in light of the rotting D’Urban Park bleachers which were constructed less than two years ago, it’s hardly likely that the Coalition’s housing programme could meet quality requirements to convince Guyanese.
To revive the economy, this PNC-led Coalition must acknowledge its failures accept to reverse the harsh economic measures imposed on the country against the democratic will of the people. It needs to remove the taxes that are stifling all layers of the business community, reinstate the social welfare programmes which supported low-income homes, create a favourable environment to stimulate job creation, reduce crime and remove the absurd VAT that is killing both purchasing power and businesses alike. It needs, through these and similar measures, to encourage private investment instead of attracting the rightful distrust of the private sector.
Until then, the Coalition will continue to forge a legacy which in time will only serve to remind Guyanese of the PNC’s failures and dangerous ineptitude at governing.
