No finance minister or government can continue to function effectively without exploring options for collecting a reasonable amount of revenue.
Finance Minister Professor Biman Prasad stated in an interview on The Lens@177 in Suva this week that the $3 billion revenue projection in the national budget is realistic because the Government is focused on practical measures rather than “political gimmicks.”
“We’re not about populist policies,” he said. “We have implemented some strategies that may seem mundane or not flashy, but they are in the long-term interests of the people. Revenue collection is crucial.”
“Just like families, you can only borrow up to a certain point if you don’t have a stable income source, but eventually, the debt must be repaid. Similarly, a country operates in this manner.”
“And we are not overtaxing the economy.”
Prof Prasad highlighted that there are numerous incentives for investors and tax forgiveness as part of the favorable policies.
“Our calculations indicate that almost a billion dollars worth of tax incentives are provided to various sectors of the economy,” he said.
This includes sectors such as tourism, agriculture, and support for indigenous businesses.
Prof Prasad mentioned that the budget contains additional measures to support and promote indigenous businesses in the country.
“It’s a very balanced, well-thought-out, and logical budget in the current economic context,” he concluded.