August 23,2016 Source

December 5, 2016 is Budget Day, a decision that is consistent with the policy of the government to have an early Budget.It took more than three months for the new government to produce its first Budget; five months later another one came. The government is now aiming for a December Budget.It makes practical sense, but will it produce practical results?An early Budget allows businessmen, investors and workers to know at the start of the year what the plans of the government are, and how this will impact on them.A December Budget permits the government a longer period to implement its programmes for the fiscal year. That, unfortunately so far, has not helped the government to have an impressive project implementation ratio, something that the PNC governments in the past have struggled with.

A December Budget gives the taxman more time to collect the higher taxes. But conversely if taxes are reduced, it gives him headaches.
A December Budget could see workers get a full year’s benefit from any increase rather than what has happened in 2015 when the increase which the government boasted about was only paid for half of the year. No increases have been paid so far for this year, and if and when it does happen it is not likely to be retroactive to January, which results in workers being shortchanged.

An early Budget is not a novelty. The government of Trinidad and Tobago produces its Budget as early as October in most years. The Guyana government, however, should be commended for breaking with the PPPC’s tradition of presenting the Budget either in the first quarter of the year or at the start of the second quarter. It is progress to have a Budget in December.Or is it? A Budget speech read on December 5 means that the actual debate on the Budget will begin probably by December 12. This leaves only about ten days for the various speeches plus the consideration of the Estimates.

All aspects of the Budget presentation and debate are important. The debates allow the various Ministers to explain what they have done in the past year and what they plan to do. It is a way of holding them accountable. It gives the opposition a chance to critique the Budget, the performance of the government, and to present alternative proposals.The Consideration of the Estimates gives the opposition a chance to dissect the numbers that are presented and to question the government before having these numbers approved by the National Assembly. This process is done in what is known as the Committee of Supply.

Recently the government presented a financial paper for approval to the National Assembly. It is because the opposition had the chance to finely question some of the amounts for which approval was being sought, that the issue of the bond in Sussex Street was exposed.
If the Budget is read on December 5, it means that there are only ten days for debate and for the Committee of Supply before the Assembly breaks for Christmas, say on December 15. This is too short a time for the Budget to be adequately debated and scrutinized.

A December 5 date sounds like progress, but it is really a backward step that will result in an abbreviated debate and a hurry-up consideration of the Estimates. Transparency and accountability will be the losers because the opposition simply will not have enough time to dissect the Budget and question the government as to the numbers in the Budget.Perhaps this is why the government wants a December 5 date – to prevent a serious examination of the Budget. It should, if it is serious about oversight, bring forward the Budget by one week, and have it read on November 28, 2016.