Tobago’s historic allocation

In a historic move, Finance Minister Davendranath Tancoo has allocated 5% of the national budget to Tobago, amounting to $2.96 billion. This marks a significant departure from the past, where Tobago consistently received the bare minimum of 4.03% to 6.9% as recommended by the Dispute Resolution Committee in 2000. The allocation is not only higher in percentage terms but also in real value, surpassing previous budgets under both the current and former administrations. Ministerial spending on Tobago has also seen a notable increase, rising by 12.5% to $763 million, bringing the total spending to 6.3% or $3.72 billion. However, this has sparked criticism from Minority Leader Kelvon Morris, who labeled the budget as ‘smoke and mirrors,’ citing a decrease in development spending to $201.5 million and a lack of detailed breakdown of the $2.96 billion allocation. Despite the criticism, the Draft Estimates of Expenditure clearly outline the allocation, with $2.74 billion for recurrent expenditure, $201 million for development, and $28.5 million for Tobago’s Central Administrative Services. This increased allocation presents both an opportunity and a challenge for Chief Secretary Farley Augustine, as the focus on recurrent expenditure and institutional strengthening aims to drive economic growth. The move also strategically pressures the opposition PNM, which failed to significantly increase Tobago’s budget during its tenure.