Opposition Leader, Aubrey Norton recently accused the PPP/C government of removing a provision for a Macroeconomic Committee in the updated Natural Resource Fund (NRF) so that it can spend sums unhindered by the concerns of advisors in that body.
The committee was first established under the 2019 NRF Act by the former coalition government to serve as advisory body on withdrawals from the NRF, ensuring that there was no misuse of the billions of dollars in revenue rake in from Guyana’s oil and gas sector.
The five-member committee consisted of a representative from the government, Bank of Guyana, the Private Sector Commission, Leader of the then Opposition and a leading international macroeconomic expert.
Norton emphasized that this committee was expected to play a crucial role in assessing the local economy’s capacity to absorb government spending funded by NRF transfers. Expressing his apprehensions, Norton warned that the absence of this body allows the PPP to inject larger sums into the economy without adequate consideration for potential consequences such as inflation, waste, and corruption.
“In removing the economic committee from the Natural Resources Fund (NRF), the PPP is attempting to inject even larger sums into the economy with little regard for potential consequences,” Norton declared.
On this premise, Vice President, Dr. Bharrat Jagdeo recently disclosed that the amended law which will be tabled on Thursday last will not contain this feature.
He said, “…In opposition, we had said the Minister of Finance was too directly involved in the management of the Fund and had too much of an influence in the legislation so we will insert a Board that will sit between the minister and the management of the Fund.”
Furthermore, Norton attempted to buttress his claim by referencing Transparency International’s recent lamentation about Guyana’s lack of progress in reducing corruption since the PPP returned to office. He highlighted the stark contrast with the Coalition Government’s years of improvement in the Corruption Perception Index and stressed the importance of ensuring that national resources benefit the people.
Norton also emphasized the need for visionary leadership to ensure Guyana avoids a natural resource curse.
