Doubt cast on government’s plan to plug $15bn deficit

[Lazie]

Doubt is being expressed about the Government's ability to fill the $15 billion deficit in the 2007/2008 Budget.

Opposition Spokesman on Finance, Dr. Omar Davies, has poured cold water on the Government's plan to mount a vigourous revenue collection drive.

According to Dr. Davies, the plan is unrealistic.

Speaking Tuesday in Parliament, Finance Minister Audley Shaw, announced that as part of measures to reduce the deficit the authorities will be trying to rake in more tax revenues.

But later on Beyond the Headlines, Dr. Davies said the revenue enhance measures will not be met.

He said tax agents were already facing challenges meeting the revenue targets which were set at the start of the financial year.

Other measures to be pursued to reduce the deficit include cutting expenditure on certain projects, freezing some tax waivers and transferring $2.8 billion from the Universal Access Fund.

The Government is forecasting that the measures will contribute $8.3 billion in revenues and reduce expenditure by $1.5 billion.

http://www.radiojamaica.com/content/view/1954/26/

[Lazie]

Dr. Davis criticizes plan to use UAF to fill $15bn deficit

Shadow Finance Minister criticizes plan to use UAF to fill $15bn deficit

Opposition Spokesman on Finance, Dr. Omar Davies, is questioning the Government's plan to transfer nearly $3 billion from the Universal Access Fund (UAF).

In a bid to plug the $15 billion fiscal deficit Finance Minister Audley Shaw Tuesday announced that $2.8 billion held by the UAF will be placed in the Consolidated Fund.

He said this is in keeping with a recommendation by the Auditor-General.

But Dr. Davies says Mr. Shaw's proposal is contrary to an agreement for funds collected by the UAF to be used solely for information technology development.

http://www.radiojamaica.com/content/view/1946/52/