Sunday’s edition of Kaieteur News blared out loudly a headline stating that the PPP/C Government only accounted for US$15 million out of the more than US$400 million received under the Petro Caribe arrangement. In fact, nothing could be further from the truth.
As has been explained umpteen times, the financing received under Petro Caribe was used for two perfectly legitimate purposes.
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Firstly, Petro Caribe financing was used to fund certain projects all of which were reflected in the national budget over successive years.
These included investments in GPL (including Kingston and Vreed en Hoop), the Northern Relief Channel (Hope Canal), and the Housing Fund. As at the end of 2014, these investments amounted to over US$140 million, and were fully reflected in the national budget estimates of expenditure presented each year to the National Assembly.
Secondly, after the rice trade arrangement was concluded, the Petro Caribe financing was used to purchase rice and paddy to be shipped to Venezuela.
Under this arrangement, Petro Caribe financing would be used to purchase rice and paddy and periodically Venezuela and Guyana would reconcile the value of rice and paddy shipped and, based on this reconciliation, conclude a debt compensation agreement under which Petro Caribe debt equivalent to the value of rice and paddy shipped would be written off by Venezuela. As of last year, six such agreements were concluded at a total value of over US$550 million, reflecting the total amount of Petro Caribe funds used to purchase rice and paddy that was shipped to Venezuela under this arrangement up to that time. In keeping with the highest standards of public accountability, all six of these agreements have been tabled in the National Assembly.
In light of the fact that the public record reflects over US$140 million of Petro Caribe proceeds being used for projects that were fully reflected in successive national budgets, and over US$550 million being used to purchase paddy and rice shipped to Venezuela as evidenced by debt compensation agreements concluded with Venezuela and tabled in the National Assembly, the suggestion by KN on Sunday that the PPP/C Government only accounted for US$15 million is absurd.
The campaign of lies, distortions and half-truth peddled against the PPP/C while in office, continues today.
The military bureaucratic elite who run this country should begin to focus on economic and social progress instead of its concentration on witch hunting and attempting to denigrate PPP/C ministers and others in the executive
K.N. needs to become professional in its reporting.