Rowley told a meeting of his People's National Movement (PNM) over the weekend that with the exchange rate $6.44 and the US dollar in high demand there is a good chance for a currency black market to develop.
He said that is a sign of a coming develuation and blamed the government, saying the People's Partnership is not managing the economy effectivtely.
“That is coming as a result of our economy grinding to a halt, with no semblance of any policy or programme of any activity that will treat with the ailment," the PNM leader said.
He also spoke of a finance bill to be presented to Parliament this week. "I haven’t seen the bill as yet, but it might be a request from the Parliament to approve more money for expenditure...It might very well mean that we need to expand the expenses side of the budget,” he said.
Rowley claimed that the revenue side of the budget is not doing well, which means government will have to borrow.
His claim that the government's policies are wrong is in conflict with international financial institutions like the World Bank and the International Monetary Fund (IMF). Both have stated that after years of stagnation and negative growth, the T&T economy will grow in 2011 beause of the fiscal measures taken by the new government.
Read the story: IMF projects growth in 2011 due to 'expansionary' budget, praises plans for structural reform
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