Government sources are saying Prime Minister Patrick Manning will lead by example when it comes to spending, starting with a cut in entertainment expenses for Christmas. But the prime minister will still hold three big Christmas parties at his residence, including his traditional children's party.On Friday opposition leader Basdeo Panday challenged Manning to show the country that he is tightening his belt, not just asking citizens to do so.
One question that Panday wanted answered was whether Manning proposes to reduce his travel by private jet. The Trinidad Express quotes government sources as saying yes to that issue.
The paper said government sources confirmed that "the Government will no longer be pursuing the acquisition of a private jet, in view of the deteriorating financial situation", adding that Manning would "limit the chartering of private jet services, restricting it to those occasions where commercial connections are difficult or inconvenient."
And the paper's sources said government ministers won't be getting any pay increases "until the situation improves". That is something that would be applied across the board in the public service because of the worsening economic situation.
The big-budget projects already started would continue because the government doesn't want to have to deal with the cost of shutting them down and then having to restart them. And government won't be breaking contracts for projects that have hefty penalty clauses. The government plan is to continue work on the Brian Lara Stadium at Tarouba, the Centre for the Performing Arts, the Waterfront Project and the Government Campus.
The government won't touch the expenditure for the Summit of the Americas in April and the Commonwealth Heads of Government Meeting in November. The 2008-09 budget allocation for the two international conferences is about half a billion dollars.
The conferences have generated some controversy, especially the cost of providing 200 VIP vehicles for heads of delegations and their officials.Government in initially announced plans to buy the vehicles for about $100 million, then reneged on that and this month Manning announced that he had blanked the local auto sector and negotoated a lease arrangement with BMW in Germany for the 200 vehicles. He didn't put a cost to it, but auto industry experts suggested it would be around $50 million.
Manning himself was on tour in his constituency Friday, dressed casually with a ball cap and driving himself. And he announced that despite the worsening economic situation he plans to expand the Community-Based Environmental Protection and Enhancement Programme (CEPEP) and the Unemployment Relief Programme (URP) to create employment opportunities.
"Unemployment will rise because of the loss in the private sector, so Government intends to expand social programmes, including CEPEP and the URP," Manning said.
He advised citizens to be careful with their spending and noted that he does not "live an extravagant lifestyle, by any means."
He assured his constituents that while he is reviewing government projects he is clear that some of them would continue. These include a refinery upgrade at Petrotrin, establishment of an offshore industrial estate at Otaheite and the billion-dollar rapid rail system.
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