Antigua and Barbuda: Opposition hits out at ‘mismanagement’ of finances

Last updated: November 6, 2017 at 17:08 pm

The opposition party in Antigua and Barbuda has attacked the prime minister for “mismanagement” of the economy.

The United Progressive Party (UPP) said that Gaston Browne had turned the country into an “alms house” – instead of the powerhouse he was aiming for during the last election campaign.

The comments came after Browne spoke about the strong fiscal picture in the twin-island nation during his national Independence Day address.

The prime minister said that the Antigua and Barbuda Labour Party administration was presiding over the fastest-growing economy in the hemisphere, and was creating a “stakeholder society”.

In particular he highlighted the millions generated from the West Indies Oil Company (WIOC), and the fact that the country has the largest economy in the Organisation of Eastern Caribbean States.

But Demani Tabor, spokesman for the UPP, said that management of money had been poor despite higher revenues.

“The ABLP had consistently collected 200 to 250 million per year more than UPP’s highest revenue year,” he said.

“They have further declared dividends and corporation taxes of 5 and 8 million in the case of WIOC, and a 10 million state insurance dividend.

“That being the case what we see today is the result of a case of dual mismanagement. Mismanagement of their unprecedented yearly revenue and a failure to do basic preventative maintenance and associated safety audits.”

Borrowing on the horizon

The recent lowering of application fees for the Citizenship by Investment programme is an example of “pure desperation”, Tabor added.

The government last month announced that it will borrow a combined US$85.8 million from the World Bank and Caribbean Development Bank totally a combined US$85.8 million.

The move to borrowing is a concern, Tabor stressed, and a UPP administration would not be “begging” everybody for help.

“How can we hope to maintain the fiscal performance required to upkeep new infrastructure when the old is allowed to crumble?” he said.

“What is needed is a new fiscal administration, which leverages best practice managerial tactics and technology to reduce waste, maximise on what is delivered from current revenue and to preserve infrastructure to the satisfaction of workers.”