Be mindful of approach

Government is being advised that introducing new taxes is not the answer to solving the country’s unfavourable economic situation.

Former Dean of the Faculty of Social Sciences, Professor Emeritus Sir Frank Alleyne, stressed that Government must put policies that will accelerate growth in place.

“You have to grow yourself out of this situation. If you tax, tax, tax, you are going deeper and deeper…,” he said.

Sir Frank made the recommendation, yesterday, when he appeared as a guest on a radio programme.

Sir Frank indicated that Barbados has not yet recovered from the global economic recession which started in late 2008, finding itself in a situation where the economy has been stagnant for some time.

He also indicated that the economy has only grown by one per cent. The country’s fiscal deficit has gotten out of control, noting that “we can no longer allow that to happen”.

“The only way that we can turn around this economy is by reducing that fiscal deficit. And in order to reduce that fiscal deficit, you are going to have to trim expenditure wherever possible,” he said.

However, the Professor Emeritus raised concerns about the extended time it takes to get business done in Barbados, using the long lines in commercial banks as an example. He noted management of banks have a responsibility to the people who do business with them.

“All I am saying is that no government wishes to be in the situation that we are in at this time. It has never happened in Barbados since there was an independent Barbados.

“I am saying that we got to step back a bit and recognise that since you are on an advisory committee, you advise, but you can’t determine. You advise, but you can’t make the decision,” he said. (AH)