Multimillion $ transfer from Development - To help cover airport divestment consultancy fee Fund approved THE HOUSE of Representatives has approved the transfer of $100 million from the Capital Development Fund (CDF), to help cover consultancy fees relating to the privatisation of the Donald Sangster International Airport in Montego Bay. Minister of Finance and Planning, Dr. Omar Davies, told the House of Representative on Tuesday, that the sum will be given to the National Investment Bank of Jamaica (NIBJ) to help defray the cost of the consultancy fees. He said that this had become necessary, because the sum collected from the payment of departure tax was inadequate to meet the expenses. Dr. Davies said that both international airports were benefiting from massive refurbishing and expansion work. He said that the withdrawal could be accommodated because as at May 31 there was approximately $317 million in the CDF. This is the fourth withdrawal from the CDF since the start of the year. Previous withdrawals were for payments to the NIBJ of $360 million, $2.9 billion for the Consolidated Fund which finances the budget, and $45 million for the Jamaica Bauxite Institute (JBI). The CDF is financed by the Bauxite Levy. Opposition Spokesman on Finance Audley Shaw asked for a time frame for the divestment of the airports. Dr. Davies said that the bids were currently being examined and that he had been informed by the Prime Minister that selection of the lead bid will take place within a few months, after which the negotiations will proceed. Mr. Shaw asked if any specific requirement for further capital works was included in the divestment procedure and the type of capital work to be done. He noted that Jamaica is lagging behind the region in terms of the standard of its airports. Dr. Davies said a part of the assessment of the bids related to the capital investments which will follow divestment. He also agreed that the facilities, especially at Donald Sangster, were "woefully inadequate".
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