{"id":69549,"date":"2019-10-02T12:28:39","date_gmt":"2019-10-02T16:28:39","guid":{"rendered":"https:\/\/antiguanewsroom.com\/?p=69549"},"modified":"2019-10-02T12:28:39","modified_gmt":"2019-10-02T16:28:39","slug":"government-blames-revenue-shortfall-for-delay-in-paying-public-servants","status":"publish","type":"post","link":"https:\/\/antiguanewsroom.com\/government-blames-revenue-shortfall-for-delay-in-paying-public-servants\/","title":{"rendered":"Government blames revenue shortfall for delay in paying public servants"},"content":{"rendered":"
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The Antigua and Barbuda government is blaming a shortfall in revenue for the delay in the payment of salaries to public servants last month.<\/p>

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Prime Minister and Minister of Finance, Gaston Browne, told legislators that traditionally September and October \u201care very difficult revenue months\u201d for the government.<\/p>\n

\u201cI am told that for September, all but six million dollars (One EC dollar=US$0.37 cents) of revenue would have been covered, or at least monies to pay wages and salaries had been covered,\u201d he said, adding that his administration had just given instructions \u201cto transfer another six million dollars from a CIP Fund\u2026in order to ensure that the remaining public servants are paid.<\/p>

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\u201cBut the reality is there has been a shortfall in the revenue versus expenditure and we have this structural problem Mr. Speaker in that two items of expenditure, salaries and wages and debt repayment, account for 110 per cent of all revenues\u201d.<\/p>

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Browne told legislators that the situation is not unique to his administration, but a recurring problem for successive governments for years.<\/p>\n

He said the government has turned to the CIP (Citizenship for Investment Programme) to relief the shortfall in salary payments.<\/p>

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Under the CIP, foreign investors are granted citizenship of the island.in return for making a significant contribution to the socio-economic development of the country.<\/p>\n

\u201cSo it is really the CIP that is keeping us afloat and again today we just had to transfer a couple million US dollars from CIP account\u2026.in order to cover salaries and wages,\u201d Browne said.<\/p>

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\u201cBut the reason why the salaries and wages may have been paid a day or two late for some individuals is because there was a shortfall in revenue and we may have a similar situation in October. But, whenever that arises we may have other funds to cover payments,\u201d Browne added.<\/p>

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Prime Minister Browne also dismissed a statement by an opposition legislator that the government\u2019s decision to abolish the income tax could have contributed to the situation.<\/p>\n

\u201cIn fact what the evidence would have shown is that whenever we had personal income tax the rate of growth would have slowed. So if you took out for example the revenue or the years leading up to Cricket World Cup where you had \u00a0exceptional growth, you would recognise that generally speaking the (Antigua and Barbuda) Labour Party years without income take, the economy grew at a faster rate.<\/p>\n

\u201cSo what you felt that we may have lost in terms of collecting direct taxes, we would have collected indirect taxes and that is helping to fuel stronger growth because disposal incomes are stronger, people could spend more so that consumption itself would have increased,\u201d Browne said, adding \u201cthat\u2019s why people could buy more cars\u201d.<\/p>\n

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The Antigua and Barbuda government is blaming a shortfall in revenue for the delay in the payment of salaries to public servants last month. Prime Minister and Minister of Finance, Gaston Browne, told legislators that traditionally September and October \u201care very difficult revenue months\u201d for the government. \u201cI am told that for September, all but […]<\/p>\n","protected":false},"author":3,"featured_media":13907,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13,5],"tags":[],"class_list":["post-69549","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","category-news"],"yoast_head":"\nGovernment blames revenue shortfall for delay in paying public servants - Antigua News Room<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/antiguanewsroom.com\/government-blames-revenue-shortfall-for-delay-in-paying-public-servants\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Government blames revenue shortfall for delay in paying public servants\" \/>\n<meta property=\"og:description\" content=\"The Antigua and Barbuda government is blaming a shortfall in revenue for the delay in the payment of salaries to public servants last month. 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