Walcott: Time for debt exchange
GOVERNMENT IS NOW spending so much money to service its debts that the time has come for it to consider some sort of debt exchange programme.
The Opposition’s lead spokesman in the Upper House, Senator Jerome Walcott, said this was the reality facing the Freundel Stuart Administration.
Responding to Government’s presentation of the Appropriation Bill, better known as the Estimates of Revenue and Expenditure, Walcott said the heavy dependence on the Central Bank and National Insurance Scheme (NIS) was unsustainable and that the commercial bank sector’s lack of confidence in long-term Government paper made the problem worse.
“Clearly we can see a dangerous trend where the debt service as a percentage of total revenue is above 65 per cent now . . . and that is worrying,” he warned. (SC)
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