by Linda Straker
- 437 approved new citizens under Citizenship by Investment programme for 2021
- Income from CBI programme at US$30.6 million
Finance Minister Gregory Bowen has disclosed that there have been 437 approved new citizens under the Citizenship by Investment (CBI) programme for 2021, with Government’s income from the programme at US$30.6 million.
The main source of Capital Grants for 2021 was EC$152.7 million from the National Transformation Fund (NTF).
Despite a sluggish start this year, performance under the CBI programme strengthened significantly in the second half of the year and interest in the programme remains strong. “As at the end of October, 437 applications were received, compared to 303 for the corresponding period in 2020,” Bowen said while presenting the 2022 Estimate of Revenue and Expenditure last Friday at the Parliament session.
“The majority of these applications are based on approved projects, while 170 are related to contributions to the National Transformation Fund. Total receipts under the CBI Programme as of October 31, was US$30.6 million.” Bowen provided clarity on the use of the funds. “Before I delve into the list of projects, allow me to address the serious misinformation around the use of the National Transformation Fund. There is a concerted effort to create the perception that there is no accountability and transparency in the use of NTF resources. This is very far from the truth,” he said.
“All NTF spending is approved every year in this Honourable House and is included in the Estimates of Revenue and Expenditure. In elaborating on some of the major public sector projects, I will also highlight those that are funded by the NTF,” he told the House. “Further, Mr Speaker, the NTF regulations are clear on the setting aside of 40% of all NTF resources for emergencies and debt reduction. It begs the question, therefore, is there really a lack of transparency and accountability in the use of the NTF resources or is there an ulterior motive to discredit the astute management of the country’ financial resources?”
Section 8(3)(f) of the Fiscal Responsibility Act mandates that 40% of the monthly inflows into the National Transformation Fund (NTF) shall be saved for general budget financing purposes including contingency spending, natural disaster and debt reduction.
Recently, Dickon Mitchell elected leader of the main opposition National Democratic Congress (NDC) expressed the view that there was no transparency from the funds’ gains through the CBI.
Bowen said that despite the challenges anticipated globally because of the Covid-19 pandemic, Government will continue to make determined efforts to improve the performance and operations of the CBI programme, ensuring that its integrity and reputation are maintained.
“Improved operational efficiency will reduce processing times for applications and generate greater financial resources. Additionally, Government will take on board the recommendation to expand the priority sectors supported under the CBI Programme,” the Finance Minister said.
A reasonable put together budget but, one based on borrowing from the National Transformation Fund, derived mainly from the selling of passports.
We now understand why this fund was not raided for Covid relief, the purchase of additional respirators, the retrofitting of our second hospital for Covid patients only.. It was set aside to fund the now declared capital projects, just before our approaching general election.
The election of a new dynamic leader for the opposition party (NDC), does indeed focus the mind of the incumbent on what needs to be done when in government.