Parliament slashes $17 million from loan request

Parliament on Wednesday slashed $17 million from the $115 million figure than the government wants to borrow to finance a project of the Telecommunication Company Suriname (Telesur). This means that the government can only borrow $98.8 million. Parliament did not deem it necessary to add the extra $17 million because Telesur is prepared to cough up the money. 28 MPs voted in favor of the authorization act while 10 MPs voted against it. MP Amzad Abdoel (NDP), chairman of the committee of rapporteurs, has recommended that the authorization act be amended. The loan will exceed the debt ceiling which is not unlawful because Parliament has given its permission. The opposition strongly criticized the authorization act and deems it an attack on the State Debt Act. MP Mahinder Jogi (VHP) pointed out that the State Debt Act can be thrown in the oven because he is under the impression that the government is trying to bypass it through authorization acts and the support of the coalition. MP Patricia Etnel (NPS) has the same opinion. “It is an invalid law,” said MP Asiskumar Gajadien (VHP). The members of the opposition questioned the authorization laws which they do not deem a priority. Earlier this month Parliament gave its permission for a $235 million loan for the Dalian IV-Asphalt Project. The coalition also added some critical comments to the government’s policy on loans. MP Jennifer Vreedzaam (NDP) and MP Rossellie Cotino (NDP) asked if the government plans on presenting more authorization bills to Parliament. The authorization legislation has given the government permission to borrow $333.8 million in December. The authorization bill that was passed on Wednesday gives the government permission to exceed the debt ceiling. The money from the loan will be used to finance the upgrading of Telesur’s broadband network. Transport, Communication and Tourism (TCT) Minister Andoyo Rusland made it clear that the State is borrowing the money which means that Telesur is not at risk of being sold because it has not been put up as collateral. The investment will enable Telesur to haul in $130 million in profits after 15 years. “It would not have been wise to say no to that,” said Minister Rusland.