Fiscal transfers formula not being used for local gov’t subventions

 

Parliament’s Committee of Supply yesterday approved the budget estimates for the yet to be gazetted Ministry of Communities amid howls of disapproval from the opposition PPP/C that the APNU+AFC government had not applied the Fiscal Transfers Act to determine allocations to local government bodies.

The Fiscal Transfers Act had been long sought by both APNU and the AFC while they were in opposition and it had been used by the PPP/C for budgetary allocations in the 2014 budget.

Minister of Communities Ronald Bulkan in reply to the criticisms said that due to the degradation of the current local government entities they lacked the infrastructure necessary to operate under the Act and that the holding of Local Government Elections (LGEs) was needed prior to