Opposition warns Gov't on proposed increase in borrowing ceiling

The Opposition is slamming the proposed move by the Government to increase its borrowing ceiling from $70 billion dollars to $120 billion.

Finance Minister Colm Imbert signalled his intention to do so last month at a public meeting in Belmont, and he will be bringing a motion to Parliament on Friday which seeks to amend three key pieces of legislation.

Under the first motion, Government will be seeking Parliamentary authorisation to raise the loan ceiling from $30 billion to $45 billion dollars under the Development Loans Act.

The second motion seeks approval under the External Loans Act to raise the ceiling from $15 billion to $30 billion dollars.

The third motion seeks to raise the $25 billion limit under the Guarantee of Loans Act to $45 billion.

However, Opposition leader Kamla Persad-Bissessar said the move will put the country in even deeper debt, which in turn can lead to job losses and increased taxes. The opposition leader warned that social programmes were at risk and Government would have to eventually look at areas to cut spending in order to service the debt.

Top Stories