It is the government that decides the overall sum that will be allocated for local government authorities in the national budget and the formula in the Fiscal Transfers Act will then be used to determine how much of this sum each local government organ receives.
This was recently emphasised to Stabroek News by Minister of Communities Ronald Bulkan. In recent times, persons had raised questions about the fiscal transfers to local authorities.
According to Clause 6 (1) of the Fiscal Transfers Act: “The annual subvention or fiscal transfers, from central government to local authorities shall be based primarily on a set of conditions and stipulated performance indicators so as form an
