First PP budget to focus on people, scrap mega-projects

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Media reports say the first budget of the People's Partnership (PP) to be presented in the Trinidad and Tobago Parliament Wednesday afternoon will show expenditure of around $45 billion with a deficit of about $5 billion.

The reports, attributed to government sources, say the government will scrap the smelter project in La Brea that was stopped by a court order last year pending a new environmental assessment report.

They also say mega-projects such as the Rapid Rail proposed by the previous Manning PNM government would either be dropped entirely or put on hold indefinitely. Instead, the government will give priority to development of the country's infrastructure.

The media reports say the budget will put emphasis on fighting crime and in funding projects that provide direct benefits to people, such as agriculture and health care. They quote the sources are saying the intention of the fiscal package is to appease citisens who are uneasy about how the government is conducting its affairs.

The reports also say the finance minister will announce an increase in minimum wage, which is currently $9 an hour, and offer some relief for shareholders and investors in CL Financial and the Hindu Credit Union.

Finance Minister Winston Dookeran has stated that there will be no "magic" in the budget. However government sources have said the focus will be on people.

Prime Minister Kamla Persad-Bissessar has already announced that there will be no new taxes and she was emphatic on Tuesday that her government will kill the hated Property Tax, which the Manning administration passed earlier this year.

The budget is being presented at a time when the price of oil on the world market is more than US$70 a barrel.

For a live update on the price of oil, click on the LIVE OIL PRICE MONITOR