Prime Minister
The Honourable Baldwin Spencer

Keynote
Stakeholder Consultation

Organised by the
Ministry of Finance and the Economy
on
Thursday 14 October, 2004
at
Jolly Beach Resort - 9:00 AM

Minister of Finance and the Economy,
Dr. the Honourable Errol Cort:

Parliamentary Secretary in the Ministry of Finance and the Economy,
The Honourable Lenworth Johnson;

Public Service Colleagues

Trade Union Brethren;

I speak with you this morning as a colleague.

I say this because as you know, I consider myself the Chief Servant of the Antiguan and Barbudan people.

We are all charged with the responsibility of serving the people.

This stakeholder consultation is one of the series in which, for the first time in this country, the government is involving the population in formulating fiscal policy.

This is a deeply significant development in society in which government had long ruled, essentially, by executive fiat.

Great credit must therefore go to the Minister of Finance for bringing government closer to the people through these consultations.

Please join me in commending Dr. Cort for this unprecedented exercise in open government and in participatory democracy.

In this spirit, we must bring complete candour to this Stakeholder Consultation.

Let me attempt to set that tone.

Colleague Public Servants;

Trade Union Brethren:

Antigua and Barbuda is in deep economic crisis.

Review and restructuring of the government’s revenue options is an inevitable step in dealing with the continuing economic crisis facing Antigua and Barbuda.

I doubt that there is a single person in this room who is not conscious of the economic crisis facing our country.

I doubt that there is a single person in this gathering who will not agree on the pressing need for change in our country’s fiscal and economic policy.

I doubt that there is a single person in this room who is not conscious of the causes of the economic crisis facing Antigua and Barbuda.

The sound bite from the Hon. Giselle Isaac Arrindell that Observer Radio replays every day reminds us that Antigua and Barbuda has long been famous primarily for corruption in government.

In recent times, Antigua and Barbuda has developed even more dubious claims to fame.

This country is now cited as the OECS country with the largest number of public servants as a percentage of the population.

We have also come into prominence as the OECS country with the largest public debt in absolute terms, at $3 Billion.

Together with this, Antigua and Barbuda is now ranked as the OECS country with the largest number of people on the public payroll.

Antigua and Barbuda is now recognized for another unique achievement.

Our public payroll exceeds all others in the sub-region as a percentage of recurrent expenditure.

In the first six months of 2004, personal emoluments for public servants total at $115.7 million.

This was more than half of government’s recurrent expenditure for that period.

Ill conceived expansion of the public service has resulted in inevitable stultification in the Public Service.

It has exacerbated Antigua and Barbuda’s already disastrous economic circumstances.

The time has come for transformation of the public sector.

Antigua and Barbuda will be a certain casualty of the Caribbean Single Market and the Free Trade Area of the Americas if we fail to transform our Public Service and bring it into the 21st century.

We have no option but to completely reject the proposition of the Public Service as a gigantic welfare agency.

Antigua and Barbuda has not been able to sustain that proposition.

It is easy to understand why Antigua and Barbuda is in economic crisis.

Whatever economic miracle the Minister of Finance produces in the Budget for 2005, one of the imperatives to taking the country forward is all-embracing Public Sector Transformation.

Public Sector Transformation is fundamental if Antigua and Barbuda is to keep up with CARICOM.

Radical Public Sector Transformation is fundamental if we are to succeed in CARICOM and if we are to survive in the Free Trade Area of the Americas.

Whatever the sentiments of the interests represented in this consultation, it must be recognised that Antigua and Barbuda has no option but to become responsive to the external environment.

We must become competitive in that environment.

We must become country competitive in the regional, hemispheric and global environment.

We must find ways to reduce public sector costs and to lower overheads in the public sector while improving services and delivery to stakeholders.

We must urgently upgrade and expand the use of technology in all areas of the public service.

This is critical in view of the convergence of technology in the developed countries.

That convergence widens the gap between the wealthy nations and the developing world.

Antigua and Barbuda dare not risk being left behind.

Public Sector Transformation is not an option, it is an urgent imperative.

Education and training of public sector personnel are central to the public sector transformation effort.

We must give serious thought to establishing a Public Service College here in Antigua and Barbuda.

A Public Service College could be a potent catalyst to Public Sector Transformation.

Whatever the measures required to heal our ailing economy, we must move from mediocrity to excellence in many public sector areas.

Reform of the electoral process for the March elections demonstrates the benefit of genuine public sector transformation.

We must do the same for transformation in public health;

For transformation in education;

For transformation in law enforcement;

For transformation of the penal system;

For transformation in border control;

For transformation in revenue collection.

Public Sector Transformation is an all inclusive effort.

It will, of necessity, drive change in all areas, at all levels of the public service.

It is a monumental task.

We have to shoulder that task, together.

We move Antigua and Barbuda forward together or we will all be left behind.

Best practices in the public sector can well engender better practices in the private sector.

Should that happen, Antigua and Barbuda will be able to hold its own with the best in the world.

Then, the standard of living and the quality of life will improve for all in our society.

I will be following the outcomes from this and from the other consultations very intently.

Your government will be listening intently to the inputs of all stakeholders.

We cannot lead if we do not listen.

Let us hear your views.

Thank you.

God bless you all.