Transfers and subsidies a problem

Several state-owned enterprises need to be merged, restructured or closed.

That’s the view of Minister of Industry, International Business, Commerce and Small Business Development, Donville Inniss. He was delivering the feature address yesterday morning at the 43rd Annual General Meeting of the Barbados Institute of Management and Productivity (BIMAP) at the Bagnall Point Gallery. He explained that the country’s fiscal challenges also deeply relate to the levels of transfers and subsidies given to state-owned enterprises and he feels that a significant reduction in this burden can be achieved without major dislocation.

“We have to be bold and make firm decisions with respect to the role of the State in economic development and in so doing, be prepared to remove ourselves from some areas of endeavours that are just not socially or financially viable for society at large as currently structured and operated,” Inniss told those attending the AGM.

Now while the Minister is suggesting that change is needed, he is also indicating that it can be used to bring about greater economic empowerment of our people. To that end, he is adamant that as a matter of urgency, efforts must be made to move more of our citizens from being employees to being shareholders, and he said BIMAP can assist with the relevant training and guidance in such a transformational movement.

“If I was afforded the opportunity to meet with the trade unions, this is what I would be discussing – not just salary increases or the NSRL [National Social Responsibility Levy]. This is also how we work towards an expansion of our tax base and a reduction in taxes whilst at the same time creating intergenerational wealth. I want to see clerical officers talking about share value and dividends, the things owners talk about, not just about vacation leave, sick leave or pensions,” he stated.

Inniss insisted, “The new Barbados must be spending more time discussing dividends and less on taxes or salary adjustments. The new Barbados must see my generation passing real wealth onto the next generation, not just a motorcar and 4 000 sq. ft. of land.”

Admitting that things are rough and that there is hopelessness and despair among some, he gave his commitment to helping our nation “rise about at atmosphere of negativity and settle onto a plane of positive energy” where we can work together and achieve together. The Minister said to achieve this may call for radical thinking and action, but he contended that change does not come easy. (JRT)