Page 10 - GMSA 2017 AR Print for flip1

Message from the Minister of Finance
Hon. Winston Jordan
Minister of Finance
Government of Guyana
eflecting on the progress made in 2017 by our Government, the relationship
fostered with the GMSA is worthy of notable mention. During the GMSA’s Annual
RDinner engagement, I mooted the idea of an inter-ministerial working group, which
received a warm and positive response. Subsequently, the Cabinet readily endorsed the
idea which gave life to an InterMinisterial Roundtable Working Group with the GMSA. To
support the work of the ministerial working group, an Inter-Sectoral Technical Working
Group was formed to support the Inter-Ministerial Roundtable, which collaborated
extensively with the GMSA to address the identified areas of concerns.
The creation of this Roundtable is a direct reflection of this Government’s recognition
that a more practical approach has to be taken to support the growth and diversification
of the economy. Expanding the manufacturing and services sectors is critical to
the development of value added chains and moving away from our historical over-
dependence on a primary commodity base. Hence, the decision to engage the GMSA in
this mechanism was a logical step. What is unique about the engagement is the sectoral
focus of the Roundtable discussions and the method of dissecting the challenges, at
both the macro and micro levels, that allow for more effective identification of targeted
solutions. Of note too, is the fact that it is the private sector that pre-identifies and
prioritises the sectors of focus for the inter-ministerial engagement.
In addition to the suite of reforms and tax measures implemented by this Government
since 2015 that is aimed at supporting the private sector, the Inter-Ministerial Roundtable,
comprising four Ministers and chaired by the Minister of Finance, dedicated its time to
examining an agreed fourteen point agenda put forward by GMSA. As a result, the
following were achieved: an increase in the CET from 5% to 40% on pine lumber;
a resource allocation of $120M for forest inventory; a $50M allocation for equity in
a consolidated stockyard, which is intended to be a partnership with GMSA that will
result in dimensioned kiln-dried lumber being more easily available; exemptions from
VAT of several forest products along the value chain, and established participation by
GMSA Hinterland Inter-agency Committee within the Ministry of Public Infrastructure
that addresses roads and infrastructure prioritisation in hinterland locations.
I commend the results-oriented partnership between the GMSA and the Government
and I thank those involved for their dedication in following up and following through to
ensure we made a difference in record time. The results in the immediate years will
be reviewed to validate the initiatives undertaken.
Already the GMSA has identified the next two priority sectors to be agroprocessing
and information and communication technologies. Both critical to driving the economy
forward. It is my hope that the ongoing engagement with the GMSA will continue to
be productive and redound not only to the benefit of the manufacturing and services
sectors, but, ultimately, to the growth and development of our nation, as we continue
the journey to deliver the Good Life.
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