Jagdeo highlights plans for Budget 2025

– Notes progress on delivery of PPP/C government’s promises

The significance of the upcoming year for the People’s Progressive Party/Civic (PPP/C) administration, was underscored by Vice President, Dr. Bharrat Jagdeo, who emphasised the Administration’s commitment to fulfilling the promises made during the 2020 elections.

Speaking during a high-level meeting with government officials and senior public servants, on Tuesday (September 24, 2024), Jagdeo stated that 2025 would be pivotal for the government to complete its electoral commitments. “This is a very important year for us because we expect to complete the list of promises we made to the electorate when we were contesting the elections,” he remarked.

The Vice President highlighted the PPP/C’s belief in the delivery of commitments, noting that “the promises you make to people have to be fulfilled.” While the administration has made significant progress, particularly in the areas of tax relief and social measures, he acknowledged that some tasks remain outstanding. However, he expressed confidence that these remaining objectives would be achieved soon.

Addressing agency heads, responsible for managing 95 per cent of the country’s public spending, he stressed the importance of remaining focused on serving the people and managing resources efficiently.

He referenced a recent government circular outlining expectations for improved efficiency and cautioned against expecting substantial increases in the recurrent budget annually. Jagdeo emphasised that while wages and salaries have already seen a substantial boost, with the wage bill having been increased by $90 billion, further expansion of recurrent expenditures should be monitored closely. “We are going to pay careful attention to any significant growth in the recurrent expenditures, outside of wages and salaries,” he said.

BEYOND THE MANIFESTO

Jagdeo explained that the PPP/C’s election promises were crafted conservatively to ensure they were financially feasible. “Our promises, although they seemed a lot, were very conservative…we did not make promises we could not fund,” he noted. He contrasted this approach with that of the previous administration, which, according to Jagdeo, made numerous promises that could not be realized.

Despite the conservative nature of the manifesto, Jagdeo revealed that the government has already gone beyond those promises, implementing additional measures aligned with a broader, long-term strategic vision for Guyana. “All the measures we have implemented beyond the promises were guided by a strategic vision…they are all leading to the completion of the end goal for Guyana,” he said.

He pointed to key government strategies such as the Low Carbon Development Strategy (LCDS) and the National Development Strategy, which serve as blueprints for the nation’s future.

While the country is set to benefit significantly from oil revenues, he urged caution, noting the volatility of global oil prices. “The best days for oil revenues are ahead of us, particularly if the current prices hold globally… but there is a real risk of a price collapse,” he warned. Jagdeo emphasised the need for fiscal prudence in the recurrent budget to avoid locking the government into unsustainable spending commitments in the face of unpredictable oil markets.

PREPARATIONS FOR BUDGET 2025

Budget 2025, expected to be presented early in the new year, is already in the preparation stages.

Senior Minister in the Office of the President with Responsibility for Finance, Dr Ashni Singh, echoed Vice President Jagdeo’s remarks on the budget’s importance, indicating that it would continue building on the progress outlined in the 2024 budget.

The 2024 budget, which amounted to $1.146 trillion, set out a comprehensive plan for improving the livelihoods of Guyanese citizens.

The meeting was attended by Permanent Secretaries, Regional Executive Officers (REOs) from all ten regions, and Chief Executive Officers from key public sector entities such as the Guyana Sugar Corporation (GuySuCo) and Guyana Power and Light (GPL). The continued focus on fiscal responsibility and strategic growth was emphasized throughout the discussion, signaling the government’s commitment to sustainable development as preparations for Budget 2025 advance.