THE GOVERNMENT has increased its 2000/2001 Budget by approximately $21 billion, more than half of which is for FINSAC-related payments.
The First Supplementary Estimates, tabled Tuesday by the Minister of Finance and Planning, Dr. Omar Davies, shows an increase in the 2000/2001 budget from the $167.38 billion announced last April, to a new total of $188.3 billion. The increase includes $16.1 billion in Capital expenditure and $4.8 billion in Recurrent spending.
Exactly $13 billion is a grant to the Bank of Jamaica. The Estimates explain that the adjustment is to reflect sterilised funds in the Consolidated Fund at the BoJ, "to be used to eliminate a portion of FINSAC's debt obligations to the Bank".
Approximately $2 billion was provided to cover interest charges, $2.5 billion to meet salary increases in the health sector and $3.3 billion for miscellaneous expenses.
The Police Department is also allocated $290 million for allowances and salaries for the regular force, $14 million to purchase passports, $49 million for special constables' salaries and $28 million for district constables' salaries. The Correctional Services is allocated some $90 million.
Salaries and allowances in the Ministry of Education and Culture will be covered by $719 million plus $22 million for purchasing fresh milk for the school feeding programme.
The Ministry of Local Government got $370 million to cover shortfalls in the Social and Economic Support Programme (SESP), as well as the Local Development Programme (LDP).
Just over $11 million has been committed to a new project to develop capital towns/areas, as a support through cultural heritage by providing the infrastructure facilities to support growth in tourism.
Other provisions are:
$130 million provision for overseas tourism marketing;
$42 million for Kaiser Jamaica Bauxite Company's land restoration;
$24 million to the Caribbean Development Bank (CDB):
$101 million additional requirement for a loan to the Jamaica Dairy Farmers Association's milk marketing project;
$85 million salaries and allowances for Customs and Excise Department staff;
$51 million for Inland Revenue Department salaries and allowances;
$29 million for Government pensioners' health insurance.
