00:00Planning, Economic Affairs and Development Minister Kennedy Swarad Singh told the Upper House today
00:06during his meeting with the World Bank one month ago, concern was expressed.
00:11The World Bank expressed concerns with the country's operations and sought clarification on procedures for state engagements.
00:20Swarad Singh visited Washington around May 15th, where he held meetings with both the IDB and the World Bank on behalf of the government.
00:29The visit was as a request of the Prime Minister, primarily to reset Trinidad and Tobago's development agenda
00:35and strengthening the relationship with the World Bank Group and the Inter-American Development Bank.
00:41The World Bank Group then came to TNT for a four-day visit.
00:45The purpose of the visit was to re-engage key multilateral development partners,
00:51the World Bank Group and the Inter-American Development Bank Group,
00:54with a view to advise them of the new strategy direction for economic transformation.
01:00The discussions were centered on presenting the government's economic reset agenda,
01:04which aims to reposition the government as an enabler and a regulator
01:09and crowding private sector investment for the development of non-energy revenue generation activities.
01:17He said both institutions responded positively and expressed strong interest in supporting this government's transformation.
01:25Our partners recognize the new trajectory and momentum to drive meaningful progress.
01:32It is particularly encouraging that this renewed engagement has occurred early in our term
01:36and in the term of this government, setting a promising tone for closer collaboration moving forward.
01:42While answering oral questions in the Senate, Minister Swarad Singh said aside from the TNT $2 billion bond
01:49on the domestic capital market for fiscal support for this year, issued in May,
01:56there have been no external borrowings by the government.
02:00When quizzed about the monthly overdraft, the minister explained.
02:03The maximum advances allowed shall not exceed 20% of the estimates of annual revenue
02:10as per the parliamentary approved budget.
02:14For example, the maximum advances for fiscal year 2024-2025 is $10,844,800,000.
02:23This represents 20% of the estimated annual revenue of $54 billion.
02:27He then proceeded to give a breakdown for 2025 thus far, which steadily increased from 40%
02:35of the maximum allowed amount in January to just shy of 80% in June.
02:41But the minister proposed what he said was a feasible reason.
02:45The former minister of finance had deliberately underfunded critical expenditure.
02:51Mr. President, the former government recognized that the revenue target
02:54was going to be substantially less than budgeted, so they simply stopped meeting the obligation.
03:00Mr. President, I once again emphasize on behalf of the Ministry of Finance
03:05that this was a deliberate action by the then minister of finance, a statistical conmanship.
03:13Swarad Singh says it gives a false narrative leaving the state in hundreds of millions of dollars
03:19in arrears which his government must now settle.
03:21The minister says the overdraft will be continually challenged
03:25and when the government assumed duties on May 5th this year,
03:30the net overdraft stood at $8,257,000 or 76% of maximum advances.
03:38Urvishit Wari, Rupanarayan, TV6 News.
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