Private Sector Commission happy with Budget 2022; Calls it "balanced"

The Private Sector Commission has commended the government’s $552.9B budget which was presented to the National Assembly last Wednesday saying that the budget is a balanced one.

The PSC in a statement said the budget also lays the foundation for massive economic growth, expansion of the private sector, and the creation of jobs for all Guyanese.

“The PSC notes that in addition to the wide range of public investment projects and initiatives to stimulate economic activity and generate incomes, Budget 2022 proposes measures aimed at improving business competitiveness, promoting local content and ensuring tax parity. The Commission is pleased to see that some of the measures proposed during consultations with the Private Sector Commission on the national budget were considered and reflected in the budget for 2022,” the PSC said in a statement.

According to the Private Sector Commission, in addition to its proposals which were taken on board, it has also taken note that that the infrastructural developments outlined in the budget will also drive private sector investments, but it is even more pleased that no new taxes were introduced.

The PSC has also lauded the elimination of the 2% withholding tax on resident contractors, the removal of the 10 percent excise tax and 14 percent VAT on commercial trucks, the removal of the 14 percent VAT on the importation of new haulers, the removal of excise tax on the importation of new double and single cab pickups among other measures.

It is also fully supportive of the extension of the freight cost to pre-pandemic levels, the lowering of the excise tax rate on gasoline and diesel and the allocation of $420.5M to train unskilled Guyanese for jobs in the oil and gas sector.