With the Central Committee of Parliament set to debate the draft 2017 budget today, Monday (see related story), there’s a chance of actually having a budget signed into law before the start of the year it covers, as is obviously the intention. The total amount has gone up by some 20 million Antillean guilders compared to the 2016 “shotgun budget,” while its 10 per cent across-the-board cut in subsidies was reversed.
The latter is undoubtedly good news for the foundations and other organisations involved. All seven ministries as well as Parliament and the High Councils of State will also see varying increases.
But whether next year’s draft budget now on the table meets the required approval of the Committee for Financial Supervision CFT remains to be seen. Judging by the most recent reports, that is by no means a foregone conclusion.
In fact, CFT concluded in its August 25 advice that St. Maarten’s 2016 budget was no longer in compliance with the Kingdom Law on Financial Supervision, having deteriorated by NAf. 11 million in the first six months and with income lagging behind. In addition, insufficient content was given to the instruction by the Kingdom Council of Ministers in The Hague to solve the payment arrears, compensate the 2010-2014 deficits and include the full cost of pensions and health care in its budgets.
Finance Minister Richard Gibson voiced his disagreement with CFT’s conclusions regarding disappointing collections. He mentioned NAf. 9.2 million in dividends from the Central Bank and a NAf. 17 million “windfall” of amassed revenues from the water company.
Remarks from the Council of Advice on the proposed 2017 budget were to be answered and processed where needed before the draft went to Parliament, so CFT should be the only remaining obstacle at this point. However, its concerns expressed over the execution of the current budget may well have an impact on how next year’s version is evaluated, so getting the “green light” might well take quite some doing.
