Lessons from ‘oil boom’

THE EDITOR: The “manufactured” oil crisis in the Middle East has given TT an unprecedented economic boom. Oil prices currently stands at over $44 US per barrel, the highest it has ever been. Along with oil and several other revenue generating business TT is in an enviable position. The temptation when money is flowing is to spend, and to spend recklessly. The lessons of the late 1970s and early 1980s must not be forgotten. Oil money ran perilously low during that period creating economic gloom.

One calypsonian put it this way “captain the ship is sinking.” The lessons of that period must not be forgotten or repeated. The government must practice prudent fiscal management. The $40 billion debt must be paid down. There is no reason to be in debt when the country is in boom times. The debt started during the period of economic gloom. The government must focus on diversification of the economy. Oil dollars must be used to ensure that a strong economic foundation is created. Sustainable development is the key word towards a prosperous future.

KHEM   HARRINARINE
Port-of-Spain