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2020 Budget Speech Government of Grenada 2020 BUDGET SPEECH Towards Vision 2035: Empowering our Communities, Growing our Economy, Protecting our Environment, Strengthening our Institutions Presented by DR. THE RT. HON. KEITH C. MITCHELL Prime Minister and Minister of Finance, Planning, Economic and Physical Development To The House of Representatives Grenada Parliament Building Mt. Wheldale St. George’s November 20, 2019 Table of Contents 1. INTRODUCTION…………………………………………………………………………………...8 2. GLOBAL AND REGIONAL ECONOMIC DEVELOPMENTS…..............................................10 2.1 Global Economic Performance and Prospects ............................................................................ 10 2.2 Regional Economic Performance and Prospects ........................................................................ 10 3. DOMESTIC ECONOMIC PERFORMANCE AND PROSPECTS .................................................................. 11 3.1 Economic Performance and Prospects ....................................................................................... 11 3.2 Fiscal Performance ...................................................................................................................... 11 3.3 Public Debt .................................................................................................................................. 12 4. ESTIMATES OF REVENUE AND EXPENDITURE FOR 2019 .................................................................... 13 4.1 Budget and Financing Summary ................................................................................................. 13 5. EMPOWERING OUR COMMUNITIES ................................................................................................... 13 5.1 Empowerment Through Education ............................................................................................. 13 5.2. Empowerment Through Youth Advancement .................................................................................. 15 5.2.1. MPower ............................................................................................................................. 15 5.2.2 Youth in Agriculture ........................................................................................................... 15 5.2.3. The New Imani Programme………………………………………………………………………………………..…15 5.3. Empowerment Through Targeted Interventions…………………………………………………………………..…16 6.0 STRENGHTENING OUR INSTITUTIONS ........................................................................................ 19 6.1 Public Expenditure Reform……………………………………………………………………………………………………19 6.2 Ministry of Health ....................................................................................................................... 20 6.2.1. Human Resource Strategy................................................................................................. 20 6.2.2. Inadequate Dialysis Services……………………………………………………………………………………..….20 6.2.3 Inadequate Facilities .......................................................................................................... 21 6.2.4. Universal Health Coverage ................................................................................................ 21 6.2.5 Management of the Healthcare System………………………………………………………………………..22 6.3 Gender and Family Affairs ........................................................................................................... 22 6.4. Modernising the Public Service ....................................................................................................... 23 6.4.1 Master Governance Platform ............................................................................................ 23 6.4.2 Digitising Government Services……………………………………………………………………………………..23 6.4.3 CARCIP……………………………………………………………………………………………………………………..……23 6.5. Integirty Commission………………………………………………………………………………………………………………….24 6.6. National Security………………………………………………………………………………………………………………………..24 2020 Budget Statement Page 5 6.7. Her Majesty's Prisons………………………………………………………………………………………………………………….25 7.0. GROWING OUR ECONOMY..............................................................................................................25 7.1 Small Business Development ............................................................................................................ 25 7.1.1 Small Business Development Fund .............................................................................. 25 7.1.2. Small Business Support Services……………………………………………………………………………..26 7.1.3. OECS Partial Credit Guarantee………………………………………………………………………………..26 7.1.4. Trade Readiness Support………………………………………………………………………………………..26 7.2 Rural Development……………………………………………………………………………………………………………….…..27 7.3. Agriculture……………………………………………………………………………………………………………………………….27 7.4. Tourism………………. ………………………………………………………………………………………………………………....29 7.5. Culture and the Arts………………………………………………………..……………………………………………………..29 7.6. Sports……………………………………………………………………………………………………………………………………..30 7.7. Infrastructure Development (Major Government Projects)………………………………..………………….30 7.7.1 Government Buildings…………………………………………………………………………………………...30 7.7.2 Agriculture Feeder Roads Phase III Package 1……………………………………………………….30 7.7.3. Grenda Education Enhancement Porject (GEEP) Phase 1………………………………………31 7.7.4 Integrated Solid Waste Management Project………………………………………………………..31 7.7.5 OECS Regional Health Porject………………………………………………………………………………..31 7.7.6 Natural Disaster Rehabilitation / Gouyave Extreme Rainfall Project……………………..32 7.7.7 Emergency Operation Centres in Grenada and Carriacou……………………………………...32 7.7.8 St. Patrick's Road Rehablitation Project…………………………………………………………………32 7.7.9 Western Main Road Corridor Upgrade Porject………………………………………………………32 7.7.10 Grenada Climate Resilience Water Project…………………………………………………………..33 7.7.11 Grenada Water Supply Expansion & Sewerage Improvement Project…………………33 7.7.12 New NAWASA Headquarters………………………………………………………………………………33 7.7.13 Integrated Physical Adaptation & Community Resilience Porject……………………..33 7.7.14 Basic Needs Trust Fund IX…………………………………………………………………………………..34 7.7.15 Solar PV/Battery Hybrid Project………………………………………………………………………….34 7.7.16 Refurbishment of the Kirani James Athletic Stadium………………………………………….34 7.7.17 Japan Caribbean Climate Change Project (JCCP)..………………………………………………..34 7.7.18 Road Map of Cooperation Initiative…………………………………………………………………….35 7.7.19 Climate Resilient Agriculture for Integrated Landscape Management Project..……35 2020 Budget Statement Page 6 7.8 Major Private Sector Projects……………………………………………………………………………………………………..36 8.0 OTHER BUDGETARY MEASURES…………………………………………………………………………………………………..40 9.0 ACKNOWLEDGEMENTS………………………………………………………………………………………………………………..41 10.0 CONCLUSION…………………………………………………………………………………………………………………………….43 ANNEXES Annex I: 2019 Economic Review and Medium-term Outlook 2020 Budget Statement Page 7 1. INTRODUCTION Mr. Speaker, I beg to move the following Motion standing in my name: “Whereas it is necessary to provide for the State of Grenada for the year 2020 by means of an Appropriation Act; Be it resolved that the Estimates of Expenditure for the year 2020 be approved.” Mr. Speaker, as this is a Money Motion, I wish to signal to this Honourable House of Representatives that I have the consent of the Governor-General to proceed. Mr. Speaker, in compliance with the Fiscal Responsibility Act, and Regulations for the Public Finance Management Act and the Public Debt Management Act, I wish to advise that the following five reports are being submitted to this Honourable House: 1. The Medium-Term Fiscal Framework Document 2020-2022, in accordance with Section 9 (2) (a) of the Regulations for the Public Finance Management Act No. 17 of 2015; 2. The Progress Report on Compliance with the Fiscal Rules and Targets, in accordance with Section 12 (1) (c) of the Fiscal Responsibility Act No. 29 of 2015, as amended; 3. The Budget Framework Paper 2020, in accordance with Section 13 of the Regulations for the Public Finance Management Act No. 17 of 2015; 4. The Medium-Term Debt Management Strategy 2020-2022, in accordance with Section 5(1) to 5(3) of the Public Debt Management Act No. 28 of 2015, as amended; and 5. The Fiscal Risk Statement, in accordance with Section 12 (1) (e) of the Fiscal Responsibility Act No. 29 of 2015, as amended. 2020 Budget Statement Page 8 Mr. Speaker, as this administration continues actively engaging with all stakeholders to chart the future of this beautiful country, I am moved to commence the 2020 Budget Presentation with a few words from the Holy Scripture taken from Galatians Chapter 6, Verse 9 “Let us not become weary in doing good, for at the proper time we will reap a harvest if we do not give up”. This biblical quote advises us to continue to work in partnership to do what is good in the interest of this country, so that tomorrow we can all reap the benefits. It is often said that alone we can do little, but together we can achieve much. Mr. Speaker, I am encouraged by the efforts of our people to participate in meaningful public discourse on the National Sustainable Development Plan, 2020 to 2035. It is instructive to note that this plan provides a blueprint for the developmental agenda for Grenada, for the next 15 years, outside the scope of partisan politics. The plan represents a cumulative effort as Grenadians from all walks of life, both home and in the diaspora, contributed to the consultation process. Achieving the vision enshrined in that
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