Poor judgment was no surprise

February 06, 2009 8:56 AM

A 5.5; that is the report mark that the chairman of the College financial supervision (Cft) Hans Weitenberg would give for the budget that Curacao submitted to the college.  Near satisfactory, but rounded down.  “In view of our own credibility, we must be strict.”

Curacao will not be ‘totally surprised’ with the judgment of the Cft that the budget ‘doesn’t totally meet the criterion’, says Weitenberg.  “But they won’t be happy with it either.  They have probably though all along that it’s going to be satisfactory.”

Commissioner Mike Willem (Finance, PAR) says in a first prudent reaction that he is not surprised neither astonished.  “The glass is half full.  I establish that the Cft has neither disapproved nor approved the 2009 budget of the island territory of Curacao.”
He of course wanted to see a frank positive advice, but he also says:  “The shortcomings that get a chance in the advice are things that I have already pointed out several times in the past.  We must stop dealing with the budget the way we did it in the past years.  But that’s not something we can do from one day to another.  We noticed from the advice that the Cft thinks the same.  It takes time and we are working on it.”
Also the Cft-chair indicated that “it takes time having to meet the requirements from one moment to the other.  That requires culture changes, a different way to look at the budget.”

The 2009 budget is the first budget that is provided with advice from the Cft.  St, Maarten. Who submitted the budget at the end of January, can soon expect an advice from the Cft.  Contrary to the BES-Islands (Bonaire, St. Eustatius, and Saba) that have a few years to produce a balanced budget, Curacao and St. Maarten (that in view of an autonomous status have an own Order in Council for the Kingdom (AMvRB) temporary financial supervision) must already the first time submit a balanced budget.  The future countries cannot grow into the intended situation of balancing a budget, like the BES-islands do.

The college says that she has also not expected ‘the budget to already meet the criterion unconditionally at this moment as is laid down in the AMvRB.  “For years the quality of the budget and the financial management has left a lot to be desired.  The complexity and the gravity of the shortcomings led to the fact that it cannot be expected that it can be counterbalanced within a few months.” 

For a long time the Cft has hoped that more measures would have given more confidence.  The question is then has the Cft helped thinking with Curacao when the budget was drawn up.  “Not as college.  When a person comes to me as Hans Weitenberg, yes, I will give him/her personal advice”, says Weitenberg. 

There was indeed contact between Cft and the BC yesterday before the advice was published, says the commissioner.  He points out that in the AMvRB is laid down how the interaction must go between both bodies.   “We first submit a concept, on which they give a reaction.  Considering the advices, we submit a budget, and they come with an advice.  We have coped with some delays this year, because the AMvRB was pretty late to become effective, while legally the island budget had to be with the island council by October 1.”
According to Willem, the Cft has at numerous occasions urged the island territory to concretize the actions to be taken to map the high-risk areas, as much as possible. 

The college hopes that the advices are considered.  The last step to be taken is to advice the government for the Kingdom if the budget stays under the standard.  The government for the Kingdom can then take measures.  But that’s by long not the case.  The BC of Curacao must report to the Cft within 14 days.  “We want more solidity, an action program.  We hope that Curacao is willing to come with additional measures in two weeks, and so create more confidence and more sureness.  We can then say:  “This is the first step towards a financially sound government.”  Commissioner Willem is optimistic:  “The glass is half full.  We need to put our best people on this, so we can come with a reaction in 14 days.”

(Source: National newspaper Amigoe)

February 5, 2009