Trinidad Budget: A bag of mixed goodies

Trinidad and Tobago Finance Minister Colm Imbert has presented a TT$57.6 billion (One TT dollar=US$0.16 cents) budget to Parliament, providing for a tax amnesty, increase in fuel prices, inter-island travel and those exempt from paying income tax among other incentives.

During a four-hour presentation, Imbert said while the local economy is showing signs of recovery after two years of the coronavirus (COVID-19) pandemic, the government’s fiscal measures came remarkably close to being a balanced package.

He said based on the consideration of all international forecasts for the price of a barrel of oil, the 2022-23 budget has predicated a price of US$92.50 cents per barrel and a natural gas price assumption of six US dollars per Metric Million British thermal unit (MMBtu).

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“As a result of these assumptions for fiscal 2023, total revenue is estimated at TT$56.175 billion. Total expenditure is estimated at TT$57.685 billion and based on these assumptions and estimates, we are projecting …that oil revenue will contribute TT$25.19 billion and non-oil revenue will contribute TT$30.15 billion” to the total revenue

He said capital revenue such as the sale of assets will contribute TT$1.006 billion. Colm Imbert said with revenue estimated at TT$56.175 billion and expenditure of TT$57.685 billion “if all goes according to plan, our fiscal accounts in 2023 will be close to balance with a deficit of TT$1.51 billion or 0.8 per cent of GDP (gross domestic…