Karl Samuda, minister without portfolio in the Ministry of Economic Growth and Job Creation, washes his face with water from the Spring Gardens water supply system in St James shortly after it was commissioned into service late last year. Looking on are Montego Bay Mayor Councillor Homer Davis (left) and other officials. The budget tabled by Finance Minister Dr Nigel Clarke last Thursday also allocates an eight-fold increase to rural water, with a total allocation of $795 million.

The constrained fiscal framework under which Jamaica has operated for an extended period of time is bearing fruit. There is a once-in-a-generation alignment of all the key macroeconomic indicators in the right direction, and with such economic gains come opportunities.

The downward trajectory of the public debt as a share of GDP — projected to be 96 per cent at the end of FY 2018/19 — and the increased buoyancy of fiscal revenues have opened up fiscal space for government expenditure to be both growth-inducing and socially inclusive.

In the minister of finance's opening budget presentation, he outlined substantial capital expenditure increases to priority areas such as national security, infrastructural works, and rural water. This spending is projected to improve quality of life.

National security spending disproportionately impacts the vulnerable who often live in areas affected by crime and/or lack of resources. One thousand more police cars, for example, will mean that ALL police stations have mobility, which has not been the case. Upgrading 60 police stations means that more resources can be employed in keeping communities safe.

The budget also allocates an eight-fold increase to rural water, with a total allocation of $795 million. An absence of safe, reliable, potable water accentuates poverty. This significant increase will allow for the rehabilitation of 280 catchment tanks, the installation of gutters and drainage in communities across rural Jamaica.

The increased focus on social protection is consistent with the theme in the budget presentation that growth and equity are mutually reinforcing.

For FY 2019/20, $20 billion has been allocated across the Government's portfolio of major social protection programmes — a 25 per cent increase from the previous financial year. PATH Conditional Cash Grants will be increased by 16 per cent, while allocations to PATH Transportation, Examination Fees, and School Feeding will increase by 90 per cent, 50 per cent and seven per cent respectively.

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