Transitional Budget 2023 will stabilise economy, address people’s needs – Pres Ali

Moments after the whopping $781.9 billion national budget was presented, President Dr Irfaan Ali stated that it addressed Guyana’s national goals and aspirations in the context of current international realities, making it one with a difference.
He explained that the policies and programmes outlined in the budget are geared towards the comprehensive and holistic development of Guyanese and the country.
Budget 2023, he stated, was framed in a very volatile international environment where there is a lot of insecurity around energy security, climate change, food security, cost of living, supply chain crisis and the continuation of a pandemic that has “wreaked havoc”. However, it showcased the phenomenal advancement in the country’s economy.
“It is a budget with a difference. It is a budget that points to the future aspirations of our country, laying out the bedrock and framework for an economy that must be built to be sustainable, resilient, and strong in a world of 2023 and beyond. It is one that seeks to stabilise all the productive sectors of our economy,” Ali positioned.
The Guyanese leader voiced that this year’s fiscal plans continue to give incentives and balance to the productive capacity of the country for enhanced growth while securing the vulnerable and increasing disposable income.

Transitional
The inclusion of the first carbon credit sale, amounting to $31.3 billion in revenue, also speaks to the transformative agenda of the Government as Guyana benefits from the “visionary thinking” through the LCDS 2030. It stands alongside the transfer of $208.9 billion from the Natural Resource Fund.
“Budget 2023 is that transitional budget as we start to work on a framework that utilise new forms of income, that utilise the new revenue stream that our country will be pursuing. Therefore, Budget 2023 is about achieving that middle ground, stabilising our economy, strengthening our system, and focusing on people’s priorities. A lot of Budget 2023 is about the priorities of people,” the Head of State reflected.
Some issues which must be rooted out, Ali shared, are at the community level. These must be addressed and will be in the Government’s financial allocations.
“These community problems must be addressed if we are to bring the type of improvement in living conditions, livelihood, and the ability of our people to live a fruitful life.”
Promised in the PPP/C 2020 manifesto on the campaign trail is that their five-year term in office would be focused on providing the best access to healthcare, education, water, social services, roads, and infrastructure. The President highlighted that this budget is knitting these together in the realisation of this goal.
Some $5 billion has also been set aside to cushion any issue in relation to the cost of living, thereby reducing the impact on the common man.
“It is important in a society that we support the weak and vulnerable, those who are in need. Successive PPP/C governments have always played specific attention to women, the elderly, children, the vulnerable, differently-abled people, and Amerindians of our country,” Ali stated.
Among the measures in the budget is the increase of the “Because We Care” cash grants, from $25000 to $35,000 per child.  This will place an additional amount of $2.1 billion in the homes of children attending both public and private schools.
Old age pension was also increased to $33,000. According to the Finance Minister, this will place an additional $4.4 billion of disposable income in the hands of over 73,000 old-age pensioners. In 2021, all old-age pensioners were given $25,000 on a monthly basis, and in 2022 that sum was increased to $28,000. Meanwhile, public assistance has been increased to $16,000.
The personal income tax threshold will also be increased from $75,000 to $85,000. This, according to the Finance Minister, will place an additional $303 billion into the hands of current taxpayers both in the public and private sectors.