Private Sector Group Urges Guyana Government To Reconsider Used Car Policy

GEORGETOWN, Guyana CMC – The Private Sector Commission (PSC) is calling on the Guyana government, to reconsider its proposal to restrict the importation of used vehicles, older than eight years.

“This is likely to place undue pressure on low- and middle-income persons,” the PSC said in a statement.

On Friday, January 29, Finance Minister, Winston Jordan, presenting the GUY$230 billion (One Guyana dollar =US$0.004 cents) said, the David Granger administration proposes to remove the excise tax on motor vehicles, under four years old and under 1500cc.

He said, restriction of the importation of used and re-conditioned vehicles to under eight years old, from the date of manufacture to the date of importation, was also proposed and the government said, that it would ban the importation of used tyres and reduce taxes on new tyres.

But the PSC said, that while it supported some of the new policies announced by the government, it urged the administration to reconsider its proposal to restrict the importation of used vehicles older than eight years.

The PSC said, that the introduction of restrictions has a negative connotation and seems unnecessary at this time and that they should be seriously reviewed and reconsidered.

The PSC said, it was disappointed that one of its recommendations for a comprehensive reform of corporate taxes and the income tax system was not acted upon, saying, “we understand that such reform may have to await the findings of the Tax Reform Committee.

But despite the concern over the used vehicles, the PSC said, it believes the budget would generate growth, and is pleased with the planned expenditure on infrastructure, in particular, the two billion dollars to be spent on hinterland airstrips.

“The significant sums allocated for education, health, public security and agriculture reveal that the focus of the government is on what is needed by the country and for the good of the people,” the statement added.

The PSC said, it is also pleased that the Amaila Falls Hydroelectricity project is being studied again, and urged the government, to see this project through, since it would have untold benefits to business and to all consumers of energy.