St Lucia Opposition wants oversight of stimulus package

The opposition United Workers Party (UWP) Wednesday expressed concern at the absence of regulatory mechanisms for the government's recently launched economic package aimed at stimulating the local sluggish economy.

"The absence of such mechanisms creates the potential for the programme to be manipulated and we consider the absence of such mechanisms as grossly irresponsible on the part of the government," said Opposition Leader Stephenson King.

Prime Minister Dr Kenny Anthony said the construction stimulus programme would help address some of the worst financial conditions now being experienced in recent years and praised the private sector for contributing towards the reality of the fiscal package.

"If we are going to cause the turnaround in the economy, then every single one of us has to make a sacrifice. We need each other and we need each other badly.

"While government is taking the lead to forgo over EC$45 million (one EC dollar = US$0.37 cents) in revenue to execute this programme, I am heartened at the response and eagerness that has been demonstrated in particular by the banking sector, the Chamber of Commerce and the Bar Association."

He said the measure first announced in the 2012-2013 national budget is the first of a series of measures that his administration would adopt to reduce unemployment and to stimulate the economy.

LONG-TERM GROWTH

"Recognising the urgency of bringing bread and butter back to the table for many St Lucians, and the dire need to find a long-term solution which will provide sustainable growth of our economy, I proposed a multifaceted approach based on a bundle of measures," he said.

King said while the opposition welcomed the initiative, it is of the view that such massive concessions by the government without any assurances were ill-advised and risky.

"The UWP is of the view that the implementation of the stimulus package needs to be accompanied by appropriate mechanisms for monitoring to ensure that such a programme is not manipulated," King said.

He said the government must assure taxpayers that the construction stimulus package "will not be used to compensate and reward failed and aspiring politicians who have direct interest in the construction sector and as building supply dealers.

"These concerns abound as we are aware that some of these suspects are overseeing major construction/housing projects in which ruling party parliamentarians may have direct interest," King said.

- CMC