Prime Minister King Delivers $1.2B Budget

Prime Minister Honourable Stephenson King on Friday April 24, 2009 presented his 2009/2010 budget totalling one billion, two hundred and eleven million, three hundred and fifty-five thousand, six hundred and nine dollars, a 4.4% increase over the 2008/2009 budget.

The theme this year's budged is "Generating Growth, Securing Jobs, Promoting Competitiveness and Protecting Vulnerable Citizens in the Face of Global Recession."

Prime Minister King highlighted measures designed to stimulate the economy and spur on growth. Among them is an increase in the personal income tax threshold, an increase in deductions for mortgages, timely payments on income tax refunds and another tax amnesty.

It is also expected that government's public sector programmes will provide some economic stimulation along with the efforts of the newly re-established St. Lucia Development Bank and a Youth Enterprise Equity Fund.

Government is also hoping to increase efficiency in its operations and revenue collections. There will be some new tax measures including the introduction of taxes on dividends paid to non-residents, the reintroduction of vehicle licences, and adjustment in the environmental levy on motor vehicles and increase taxes on alcohol and cigarettes.   

The government has also decided to reduce the price of gas effective May 1^st 2009.