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  • 2 days ago
The government's $2.93 billion mid-year budget review is drawing mixed reactions from economists, business leaders and technology advocates. While the administration says the additional funding is needed to meet key obligations, critics argue the package places too much emphasis on recurrent expenditure and not enough on long-term growth and development.

Sharla Kistow has more.
Transcript
00:00The Lions, a share of the government's $2.93 billion supplemental allocation is expected to go towards recurrent expenditure, including
00:08salaries and other operational costs.
00:11Former Permanent Secretary Vishnu Danpoll says while public servants must be paid, the allocation leaves little room for development projects.
00:21293, the majority would be used for recurrent expenditure.
00:26I think 2.8?
00:272.8, correct.
00:28Yeah.
00:28At recurrent expenditure, essentially, to pay the public servants.
00:33Now, on the $92 million, which is, if you're designating that to the development program, that is absolutely nothing to
00:43the development program.
00:44When you consider it costing the country about $450 million a month to run the country, $92 million as a
00:57development program is absolutely nothing.
01:01Danpoll also questioned the government's financing strategy, warning that borrowing to fund a recurrent expenditure is not sound fiscal policy.
01:11He says he would have preferred a greater use of reallocations within the budget rather than relying heavily on supplemental
01:17spending.
01:18Meanwhile, the business community is also calling for a stronger focus on economic expansion.
01:24But I do also believe that a larger portion should have gone into understanding how we do new developments, you
01:30know, how do we create more jobs in the economy, how do we prepare ourselves for what is going to
01:35probably come with this new gas windfall that we're going to see over the next 18 months.
01:39So I think part of that has to go towards that part of Trinidad and Tobago.
01:43How do we develop ourselves?
01:45How do we position ourselves to now capture what is going to happen in the next 18 to 24 months
01:50so that Trinidad itself benefits long term?
01:53Rampassad says upcoming gas revenues should be used strategically to strengthen exports, support manufacturers and create sustainable economic opportunities beyond
02:03the energy sector.
02:04Artificial intelligence specialist and criminologist Professor Rene Cummings says while she welcomed the funding for a national data center, she
02:14wants to see a broader AI investment strategy.
02:17A data center is critical to any country trying to stand up also an AI industry, but not seeing more
02:25information as to how this data center is going to be built, how it's going to be staffed, how it's
02:31going to really assist the country when it comes to really thinking about itself in a more global perspective, in
02:40a more AI driven world.
02:43Sharla Kistel, TV6 News.
02:47Sharla Kistel, TV6 News.
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