Budget review disappoints business groups
The Confederation of Regional Business Chambers (CRBC) has expressed disappointment that several key issues that have affected business and the economy appeared to be ignored during the mid-year budget review.
Coordinator of the CRBC Jai Leladharsingh said, “The IMF report indicates that growth is taking place, but to date, Trinidad and Tobago has not reached the benchmark of the 2019 GDP figures as yet.”
The Confederation however did side with the Minister’s stance on the exchange rate, as it said, “the CRBC agrees that any downward adjustment of the exchange rate would only serve to create severe economic stress and bring severe hardship to people of Trinidad and Tobago.”
But several of the member chambers expressed disappointment that the foreign exchange shortage was not addressed further.
Martin George of the Tobago Business Chamber, which is a member of the CRBC, felt the review fell short in terms of addressing crime, foreign direct investment and inter-island travel concerns.
George once again called for the repeal of the Foreign Investment Act.
He said, “This repressive and obstructive legislation represents a palpable absurdity, especially in the face of the severe scarcity of foreign exchange in T&T. Instead of facilitating direct foreign investment, (like so many other islands in the Caribbean are doing), this archaic and anachronistic Foreign Investment Act has us placing and maintaining hurdles and obstacles in the way of investors.”
Additionally, George suggested the government consider turning Tobago into a duty-free/VAT-free Exclusive Economic Zone.
“This would be a tremendous boost and fillip to economic activity and investments and would stimulate the creation of so many light industries and technology parks through which the young people of Tobago and the SMEs and micro-entrepreneurs can become involved and engaged. This would provide significant inflows of revenue into the economy of Tobago and by extension the overall economy of T&T.”
President of the Fyzabad Chamber of Commerce, Angie Jairam, stated her disappointment that no mention was made of the forex facility that will be constructed to assist the SME Sector.
She said, “Nationwide, the SME sector and family businesses are finding it very difficult to operate and survive, and few are facing possible closures because they are facing excruciating difficulties in accessing foreign exchange to continue the operations of their business enterprises.”
Earlier this week, economist Dr Vaalmikki Arjoon had similarly called for the facility’s status to be addressed to bolster the economy.
Samuel George, chairman of the Gasparillo Chamber, called for more focus to be placed on the repair of the road infrastructure as he also noted this had been a hindrance to commerce.
“These crumbling roads not only damage vehicles and other heavy vehicles, but it serves as an inhibitor for internal commerce, persons traversing the various national communities. Ignoring this national scourge by the Works Ministry shows an attitude of a lack of empathy and compassion for the nation’s citizens as a whole,” said George.
Ricardo Mohammed, vice chairman of the CRBC and president of the Eastern Business Merchants Association however was pleased the health sector received an increased allocation, but stressed that the CDAP should be untouched.
Mohammed said, “Where I operate in Arima, Sangre Grande and the communities within the entire eastern seaboard, there are many families who are financially challenged and cannot afford proper healthcare. The CDAP brings substantial relief to these families, as it does for other poor families that are stretched across Trinidad and Tobago.”
BY: PETER CHRISTOPHER
Budget review disappoints business groups
