ST. JOHN’S, Antigua, CMC – Prime Minister Gaston Browne says his administration is mulling over the potential of growing the Antigua and Barbuda Gross sales Tax (ABST) because it grapples with elevated monetary obligations, together with wage increments for public servants.
Browne stated that whereas a remaining choice on the potential ABST improve can be made subsequent week, it’s nonetheless the easiest way of accelerating the federal government’s annual income.
“If we improve the ABST by about one or two p.c whether it is two p.c, we are going to increase about EC$40 million (One EC greenback=US$0.37 cents).
“Now we’re confronted or can be confronted with elevated obligations to cowl the rise in pay to public servants, and we’re decided that they need to get their 9 plus 5, their 14 p.c improve, and that’s going to price us practically EC$40 million, and I say probably the most dependable means to make sure that is paid is to extend the ABST by two p.c.
“We’re mulling it over; we’ve not made any dedication, however I simply need to sign to the general public that we could have to try this to make sure that we are able to meet not solely present obligations,” Browne stated.
The federal government pays an estimated EC$38.6 million in wages, salaries, and emoluments yearly, and Browne stated present state obligations require greater than EC$60 million yearly.
Once you take a look at the obligations we’ve taken on, the college (4 Island Campus of the College of the West Indies), you’re looking at over EC$20 million a yr to maintain them. That’s an obligation we didn’t have three years in the past.
“Once you take a look at the monies we’ve spent on schooling,… the borrowing to help the repairs and enlargement of our roads, the borrowing for the college as effectively …we even have to search out cash to pay that EC$80 million mortgage”.
The federal government will current its subsequent funds to Parliament on December 5.
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