Minister for Finance, Professor Biman Prasad [Source: Parliament of Fiji/ Facebook]

Minister for Finance, Professor Biman Prasad, brought attention to the substantial overspending of the previous government, citing the absence of demand assessments in their development projects.

He highlights the dangers of putting plans into action before carefully evaluating the demand they will create.

The Minister emphasizes that the absence of a demand study is causing the government to pay for things that shouldn’t be.

“Legal aid is a very good example of something that was created. And suddenly, the demand is never-ending. So, somebody like you who might be able to afford a private lawyer goes to the Legal Aid Commission so government is paying for things that it should not be paying.”

[Source: Parliament of Fiji/ Facebook]

The Finance Minister emphasizes the Coalition Government’s efforts to balance raising sufficient revenue and directing it towards areas where it is most effective.

He notes that the extensive opening of general practitioners nationwide, initially a measure to combat COVID-19, saw a budget increase from $2 million to around $15 million.

Furthermore, Professor Prasad pointed out the significant cost of a private-public partnership with ASPEN Medical, which stands at almost $10 million a month.

According to Prasad, this partnership, while beneficial in some aspects, has added to the financial strain due to the lack of prior demand assessment.

The Coalition Government is now focused on finding a good balance in terms of revenue generation and effective expenditure to ensure sustainable and impactful development.