Government receives benchmark extensions
OF the six structural benchmarks required to be achieved under the Extended Fund Facility, Government has been able to successfully complete one.
Senator Toni Moore, Co-Chairperson of the Barbados Economic Recovery and Transformation Plan (BERT) Monitoring Committee, reported this during a press conference that took place at Solidarity House last Thursday evening.
“It is important to highlight that there were six structural benchmarks, in fact at the signing of the Extended Fund Facility, there would have been four for this particular period but then during the last quarter two things happened,” she began.
“The Government of Barbados got permission from the Executive Board of the International Monetary Fund to have three of those structural benchmarks extended; there were three benchmarks that should have been realised according to target by the end of the June period but the Government of Barbados requested and the IMF agreed and so three of those benchmarks have been extended.”
She reported that the three benchmarks that Government received extensions for were, the Government was to conduct a comprehensive review of all tariffs and fees charged by SOEs (State Owned Enterprises ), the original deadline was end of June 2019 and has been extended to September 2019.
She stated that Parliament was enact an amended Central Bank Law aimed at enhancing the Central Bank’s institutional, personal, and financial autonomy and in particular, limiting Central Bank financing of the Government to short term advances; the revised BCC law, prepared in consultation with IMF staff, will also clarify the mandate of the CVV and strengthen its decision making structures; the original deadline for this benchmark was end of June 2019 and was extended to December 2019.
Finally, she reported that Government was meant to table a revised public pension law to enhance the sustainability of the public sector pension scheme; the original deadline for this benchmark was June 2019 and has been extended to June 2020.
She stated that two new structural benchmarks were introduced, the Governor General to proclaim the Financial Management and Audit (FMA) Act, which was to be completed by the end of June 2019 and Government was meant to conduct an actuarial review of the civil service pension system with a view to reform it, which is to be completed by December 2019.
The structural benchmark that was due to be achieved by the end of June 2019 and has been completed was, Government was to conduct a comprehensive review of the tax system, with inputs from IMF technical assistance. (CLF)