Legitimate Gov’t needed to tackle COVID-19 – Dr Irfaan Ali

It has been over a year since both a budget and the No-Confidence Motion were passed by and against the Government. People’s Progressive Party (PPP) Presidential Candidate, Dr Irfaan Ali has stressed the need for a legitimate Government to address current challenges, including COVID-19.

The Presidential Candidate made these comments during a broadcast message on Monday. In the message, he stressed the need for an emergency budget to be passed, which will cater for persons who have lost their jobs, as well as putting systems in place to directly confront coronavirus.
He explained that the COVID-19 Response Multi-Stakeholder Forum formed by his party has recommended a number of measures to be done. Ali further explained what they will immediately implement should elections be concluded and the PPP be deemed the winner.

“It is time the new Administration commences work in the interest of all Guyanese. These are the immediate plans of action. Rapidly increase capacity for testing. Investing in adequate measures to address hospitalisation.”
“Decentralising our response. Building capacity in every region. Provide adequate personal protection equipment and transportation for frontline staff. Testing for arriving passengers within 24 hours. Accommodation for health workers. Introduce additional treatment options.”

Financial measures
Meanwhile, Ali spoke about the financial measures that were recommended. However, these are predicated on the Government being able to pass a budget, something it has not done since November 2018.
The very next month, the Government fell to a No-Confidence Motion. And in keeping with the Fiscal Management and Accountability Act, the Government has had to curtail its expenditure for 2020 to just 1/12 of the previous year’s spending. This is expected to continue until a new budget is passed.

No major plans
In the meantime, Government has not implemented any major plans for COVID-19 relief for individuals and businesses, although it has embarked on spending over $1 billion to rebuild the flood-prone Ocean View Hotel into a hospital for COVID-19 patients.

“Among the recommendations are subsidies for distressed businesses, deferral of loan payments by at least six months. Address overdraft loans for businesses to have working capital. Waive import duties on COVID-19 medical supplies, while we zero rate taxes on sanitisation products. Defer tax filings deadlines,” Ali explained.
“Defer income, corporate, property and VAT tax obligations for six months. Reduce taxes on fuel. Waive tax on data. Speed up tax refunds by GRA. Consult with insurance companies to extend coverage.”

Social support
Meanwhile, he also spoke of the social support measures that will be necessary to combat coronavirus. They include support for vulnerable groups, cash vouchers for students, as well as the reduction of utility charges such as light and water. In addition, he also related the various recommendations made for workers.

“Relook at the threshold and increase it, to allow for reduced or no taxation for workers in vulnerable sectors. Removal of mortgage interest and property tax for six months. Work with commercial banks to reduce the spread; that is the difference between lending and saving rates.”

“Emergency support for small businesses at the risk of closure. Work with businesses to extend time to pay higher purchases. Notwithstanding the challenges being posed, we have had experience managing crisis situations.”
Here he referred to the 2005 floods, which caused damages to the housing and sugar sectors. Ali, a former Minister of Housing, noted that they were able to overcome all of this and rebuild the economy to one of the fastest-growing in the hemisphere.

It has been over a month of controversies since the elections were held, but a winner is yet to be declared. At present, however, the Guyana Elections Commission is working out the modalities for a national recount of the votes.
The latest controversy came after caretaker Prime Minister Noses Nagamootoo instructed the Guyana Elections Commission (GECOM), a constitutional body, that it cannot extend its recount into curfew hours.
Inexplicably, Nagamootoo also informed GECOM that observers granted special permission to oversee the recount must quarantine for 14 days after arriving, again delaying the exercise.

After an outcry from the PPP, however, these stipulations were relaxed. A decision was made for the 18:00h to 06:00h curfew to be relaxed and for foreigners coming here to observe the process to be pre-tested in their own countries as against being quarantined for 14 days upon their arrival here.

These changes were made following the intervention by caretaker President David Granger and same was communicated to the GECOM Chair, Retired Justice Claudette Singh.