The American Chamber of Commerce of Trinidad and Tobago (AMCHAM T&T) has called on the government to provide full transparency regarding the CL Financial bailout to ensure the public is informed about the facts and details.
AMCHAM T&T made this appeal in its official response to the national budget.
During his budget presentation, titled “Steadfast and Resolute: Forging Pathways to Prosperity” in Parliament yesterday, Finance Minister Colm Imbert announced the government’s decision to sell its 49% shareholding in Colonial Life Insurance Company (CLICO), stating that it was no longer considered of strategic importance.
“With regard to the CL Financial bailout, we urge the Government to provide details so that the public is aware of the facts and details. We support divestment of assets that would be better managed by the private sector,” it stated.
Imbert also revealed that an additional $13 billion is still owed to the government in relation to the CL Financial bailout.
“In this regard, I have noted a false narrative circulating that the Government has been repaid all that it is due for the 2009/2010 CLICO bailout. This is entirely untrue, since the CLICO bailout involved not only the insurance company, but it also involved the bailout of CL Financial and its subsidiaries, as well as companies like CLICO Investment Bank, British American Insurance and so on. Far from being fully repaid, the Government is still owed over at least a further $13 billion in taxpayers’ funds injected into CL Financial and the other related companies,” he stated.
AMCHAM T&T also expressed gratitude that Imbert committed to addressing outstanding VAT refunds.
“We are grateful that the Minister has committed to clearing up outstanding VAT refunds and has acknowledged that the manner in which this was done for the major energy companies in the past had unintended negative effects. We trust that in clearing these debts for the energy companies, prior consultations will be held so that the eventual solution will achieve the desired results,” it stated.
“We are excited by some strides being taken to digitize government services such as the announcement of e-passports and e-immigration forms, the introduction of electronic health records and the D-Hub and the move to create a social services wallet linked to a unique National Identifier. We look forward to seeing these initiatives move into implementation early in fiscal 2025,” AMCHAM T&T stated.
Overall, AMCHAM T&T stated that it appreciated Imbert’s continued efforts to “craft a budget that strives to balance economic revitalisation with the challenges of prolonged reduced revenue while ensuring the preservation of an adequate social safety net.”
“On the positive side, the acknowledgment of the magnitude of the impact that crime is having on the economy and the focus on reducing home invasions and crimes on businesses is welcomed. We are encouraged by the focus on enhanced training for the TTPS. This is an area where there are opportunities for collaboration with the private sector and we stand ready to assist,” it stated.
“More broadly there is recognition that for national economic and development goals to be achieved it is essential to address and combat crime with a pragmatic plan that includes clear targets and deliverables. AMCHAM T&T is encouraged by the proposed measures announced by the Minister to tackle violent crime and criminality, including the implementation of body cameras, speed guns, and advanced fingerprinting technology, along with the acquisition of two search-and-rescue surveillance aircraft, and other surveillance measures announced to bolster crime prevention and detection. We look forward to the expedited implementation of these measures, under the appropriate procurement laws to provide much-needed relief to the business community and citizens,” AMCHAM T&T stated.