GIS: The Grenada Government is forging ahead with plans to ensure it sticks to its fiscal targets.
A meeting of the House of Representatives has amended the Fiscal Responsibility Act, which will result in an expansion of the Oversight Committee.
Sections 7 and 8 of the Fiscal Responsibility Act seeks to ensure the wage bill remains at 9% of GDP, primary balance at 3.5%, debt to GDP ratio 55%, and expenditure control to 2%.
The Fiscal Responsibility Amendment Bill was brought before the House by Leader of Government Business Hon. Gregory Bowen.
He says to ensure transparency; the Fiscal Responsibility Oversight Committee will be made autonomous, and should meet at least four times per year.
“we accept this Mr. Speaker, because we realize we have to do things and the monitoring exercise is good, the nation must know that when we do things following a certain path we are out of the doldrums with respect to our fiscal stability, but we must maintain the coast and the law is in place to ensure we do,” said the leader of Government of Business.
Trade and Economic Development Minister Hon. Oliver Joseph welcomed the decision to expand the Oversight Committee which will ensure that Grenada is sticking to its fiscal targets.
“I think this is good for the state, as I repeat we do not want to go back to the situation that we found ourselves in,” said Joseph.
“As indicated by the leader of Government Business this committee will be an independent committee that will give the report on monitoring and compliance to make sure that we comply with the target set in section seven(7) and section eight (8)”.
The Fiscal Responsibility Oversight Committee shall comprise five members, instead of three, and a Chairperson is to be appointed by the Governor General.
The cost to maintain it will be borne by the Consolidated Fund.