How much is TT owing?

THE EDITOR: Several persons have dealt with the national debt as it stands at present. Some five billion dollars of the twenty-two billion dollars national budget for 2004 is to be spent on debt services. The Prime Minister and Minister of Finance gave the assurance that this was manageable.

Others have disagreed with this point of view. UWI economist Dr Mahabir was particularly outspoken about the dangers of the country’s indebtedness. He suggested that the debt position is in the vicinity of $40 billion. In this year’s budget further borrowings is envisaged, especially for the THA. Clearly the country is now in a serious position in terms of indebtedness with future generations having to pay for the expenditure of the present.

One should try to avoid this. Clearly, proper economic management should seek to reduce and eventually eliminate the country’s debt burden. What really is the true picture of our debt? The country needs to know since this is adversely affecting every citizen and even persons unborn. What is the accurate picture of our internal and external debt? An estimated national debt of $40 billion was not incurred by the Manning administration in two years. One recalls that the Panday administration was engaged in heavy borrowing, especially from external sources. The Ministry of Finance should publish information on the national debt, to whom the country is indebted, when were the loans taken, and for what purpose. This information can begin a greater discussion on the national debt.

KHASTRA SINGH
Couva