It’s time to cut spending
Re: Family struggles to budget $200 a fortnight
I certainly understand the struggles our people are facing based on the cost of living and the huge inflation caused by stagnant wages and the govt. run away debt that compounded this phenomenon.
This vicious cycle happens when the govt. borrows too much money from these financial institutions for projects that suppose to stimulate the economy but it wreck havoc to an economy that rely heavily on Tourism as the only bread winner of a country.
So when their balance sheet are highly leveraged to that extent, the govt. raised taxes to fill that void and the domino effect passes down to the producer, raising their prices and finally trickled down to the consumers.
The very poor and the destitute are the ones highly affected by this injustice.
My suggestion to the govt. is to deleverage and cut spending and buy time on the Tourist Industry to see if it will yield any return on investment before allocating anymore resources on developments.
We cannot afford austerity measures dictated by these financial institutions when we become insolvent.
Leituala Roger B.