Imbert: $6.2 billion for PSIP

AS was the case in fiscal 2023, Government has again allocated $6.2 billion to the Public Sector Investment Programme (PSIP).

Finance Minister Colm Imbert made the announcement on Monday while delivering the 2024 fiscal package in the House of Representatives.

Imbert said the sum will be distributed among 1,232 programmes and projects. He added $3.2 billion will go towards the Consolidated Fund and $3 billion to the infrastructure development fund.

Last year, $3.2 billion from the Consolidated Fund was assigned to programmes carried out by government ministries, local government bodies and the Tobago House of Assembly.

On that occasion, the balance was to be disbursed from the Infrastructure Development (IDF) for use by special-purpose state enterprises.

The PSIP focused on diversification, improving institutional capacity, the expansion of business into foreign markets, foreign investment and information-driven transformation.

This included the restructuring of the Central Statistical Office into the National Statistical Institute of TT; and investment in the creative sector, agriculture, tourism, manufacturing and youth development and health, with emphasis on HIV/Aids healthcare.

On Monday, Imbert also gave an update on the Heritage and Stabilisation Fund (HSF), saying its value of the fund was currently US$5.50 billion, after reaching US$5.60 billion at the end of July 2023, owing to the strength of the equity market in that month.

“Our fund has achieved this resilience, while other sovereign wealth funds lost up to 20 per cent of their value,” he said.

“Madam Speaker (Bridgid Annisette-George), it needs to be emphasised that in the seven years since 2016, the net asset value of the Heritage and Stabilisation Fund has remained in the vicinity of US$5.5 billion, virtually the same level as in 2016.But he said withdrawals over the last seven years for fiscal contingency has amounted to US$1.9 billion – for financial support of the population during covid19 and for fiscal stabilisation during periods of extreme petroleum-revenue decline. Imbert added, “On the other hand, US$346 million has been deposited for the benefit of future generations by this government into the fund, arising from the 2022 oil revenue windfalls.”

He said despite “loose and unfounded ole talk from the other side,” under the government, the HSF maintained its value, despite withdrawals to deal with unforeseen economic shocks

Imbert assured the fund, which was established in 2007, was being properly managed.

“I am therefore confident that the Heritage and Stabilisation Fund will continue its good performance under careful and astute management and continue to meet the purposes for which it was established.”