Barbados government on spending cuts

The prime minister of Barbados, David Thompson has said that cuts in government spending are imminent.



Mr Thompson said he has already advised his Cabinet Ministers that they will be required to find ways to reduce expenditure in their various ministries.



The prime minister’s disclosure comes against the backdrop of a recent International Monetary Fund (IMF) assessment of the country’s economy.



The IMF recommended a number of measures that the Thompson administration is expected to implement to ride out the economic downturn.



Among the recommendations is moderate wages to lower the public sector wage bill, sale of government assets, broadening of the tax base and raising existing taxes.