VIDEO: PM Rebuts Bowen’s Debt Claims, Calls Analysis Outdated

1. Whatever this financial Novice is trying to explain to his submissive followers is pure garbage to everyone else. Is he referencing refinancing high-interest debt like the high 1.5% interest rate to the IMF for a lower 7% from another lending agency? This guy is devoid of all reasoning. Funny that he never ever mentioned percentages, neither in Parliament nor on his Radio Station so whatever he tried to explain and nothing are quite the same. Mr. Bowen was explicitly eloquent in his delivery so it’s a done deal but the fact that the Novice has to do a double, says that he is really out of the realm of simple logics.

2. Gaston brown does not possess the qualifications to analyze or rebut Hon. Sherfield Bowen decisive analysis on Gaston cooked up guess figures meant to fool the semiliterate voters.

3. Rovi he is referring to things like the Airport loan undertaken during Lovell time as FM where the interest rate was some 13 percent…

4. Tenman U jus need dey hush U twiss up mouth fram sucking and kissing gaston ass. Tell gaston fu tap threaten de integrity commissioner and de FOI office and gee Bowen up to date information fu trap e dutee skunt

5. Bowen is absolutely spot on with his analysis.

   I said as much the very day I saw the budget speech, how it is one of the biggest con job in budget history..I said it was full of ” Flim Flam” and is writing like a text book Ponzi Scheme.

   Prop up the numbers to look good in one department, only to hide the huge deficit in other places. You call that ” slight of hand economics”.

   This man GB is a fraud, and the facts bare it out over and over and over.

6. You know I was not going to comment here because I waited to hear the rebuttal of the Prime Minister when he wraps up the budget. And now that he has done so, I’m not sure if this media house will address that or as usual pretend he didn’t say anything. Anyway. What I found even more sad is when I see the comments of some people here who as one can see have no knowledge of accounting and the principles guiding accounting and finance. When Bowen made the state I was disappointed as this was something I would expect only to have come from Pringle. Given his limited knowledge of many subjects. As Bowen said he is a trained accountant. Although he must also admit he has not practice accounting in years. Nevertheless things don’t change that drastically in the profession. But Bowen have ought to know that their is a difference between Government accounting (Public Sector Accounting), and private business accounting. The latter is more about Accrual Accounting Principle. While the first is what is called a Modified Cash Basis Accounting. Revenue in the public sector is all the monies that are coming in. Does not matter what way they come in. For example if you get monies because you take out a loan, in the public sector that is revenue. Not in the private sector. That is just recording of a liability. That is why it is hard for some to then reflect in the public sector the loans on the balance sheet. They then become a separate entry that should have a debit. The PM used the term Contingencies. So you have Contingent Assets and Contingent Liabilities. Any accountant with a degree from only a ACCA, CPA or CGA will have major problems working on a government account. It’s different than what you have learned. It is more of a cash basis accounting. They do not carry accounts receivable. Because revenue is recognize only when cash is received. Now those of you that know the Cash Flow template would know that you have three categories in the cash flow. The Operational Activities, The Financing/Investment Activities, and the Capital Activities. That is how the government has also made up the budget along these guidelines. You can therefore have in the category Operational Activity a surplus of cash inflow but when you get to the Financing and Investment activities you may be in a deficit. Bowen should have known all of this as this is not his first budget that he is debating. That is why I’m disappointed that he took such a stupid argument to try and attack the budget. In the end he is the one that looked stupid, because now he got a scolding from the PM as if he was just a young rookie in a class.
   And as I said earlier, it is sad that some people, because of their political bias will refuse to be educated and remain ignorant on issues such as this. Well call Bowen and ask him to rebut what the PM have said. I bet you he cannot do so. He just have to take his licks and go. Especially when the PM explained to him the switching of Old Debt which have a higher interest rate with New Debt that has a lower interest rate. This is finance not Accounts. And it warrant one to be able to think outside the box to come up with strategies like this. It will help bring down the debt burden. This principle people such consider also in their personal life. When you are in a mortgage for lets say 30 years and you have gone like 15 years at a high interest rate, it is best to refinance the balance of the mortgage with lower interest rate mortgages that are now being offered. This can safe you thousands of dollars for the remainder of the years and give you some financial space. Our PM is a financial Guru. Not an accounting. Actually he doesn’t know accounting at all. He can only read and interpret financial statements. But he cannot compile them. His latest mastermind was the Investment in the Jolly Beach and attach that to the Debt of Social Security. You can call it Killing Three Birds with One Stone. 1) Keeping Jolly Beach in Government Hands. 2) Taking care of the debt stock on the books of Government. 3) Putting Social Security investment portfolio on sustainable footing for the long-term.

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