FISCAL TRANSPARENCY IN BARBADOS

UNCLAS BRIDGETOWN 000013



SIPDIS

STATE FOR EEB/IFD/OMA ??? BRIANA SAUNDERS

STATE ALSO FOR WHA/CAR



E.O. 12958: N/A

TAGS: EAID, ECON, PREL, XL

SUBJECT: FISCAL TRANSPARENCY IN BARBADOS



REF: STATE 1923



1. (U) This cable responds to reftel request for information on

fiscal transparency in Barbados. Responses are keyed to reftel

questions.







-- Is the central government expected to receive or is it already

receiving U.S. foreign assistance funding using FY 2010 SFOAA?







Barbados benefits from some regional programs for the Eastern

Caribbean, funded out of USAID's Eastern Caribbean program, as well

as a few targeted bilateral programs, but these funds are not

provided directly to the central government. Barbados is slated to

receive foreign assistance funding in 2010 through FMF and IMET,

and will also receive assistance under Enduring Friendship

programming. Barbados may also be eligible for 2010 funding under

the Caribbean Basin Security Initiative (CBSI).







-- Is the host country's annual budget publicly available?







The Government of Barbados practices fiscal transparency by making

its national budget publicly available on an annual basis. The

government does this by announcing the budget in an open forum of

parliament annually and doing a budgetary review in parliament at

the end of the fiscal year. Also, the budget is open for public

scrutiny through its budgetary offices, and available on the

government's public website. The publicly-available data are

generally accurate and meaningful, and include all revenues and

expenditures.







-- Are incomes and expenditures included in the publicly available

budget?







Yes. The relevant laws governing fiscal transparency in Barbados

have been entered into force in Chapter Nine of the Barbados

Constitution at independence, in the form of a "Chapter on Finance

of the Constitution with Authorization of Expenditure from

Consolidated Fund by Appropriation and Authorization by Expenditure

in Advance of Appropriation." The Constitution went into effect on

November 30, 1966. Barbados updated its laws by promulgating "The

Financial Administration and Audit (Financial Rules)" in 1971.

These rules were last updated in November, 2007. These laws are

adequate and are actively implemented.







-- What is post's assessment of the extent to which the

publicly-available budget accurately reflects actual government

incomes and expenditures?







Given the clear transparency of Barbados' political system -- which

was modeled on and parallel those of the British and New Zealand

parliamentary systems -- post believes thoroughly that the

publicly-available budget accurately and clearly reflects actual

government incomes and expenditures.







-- Have there been any events since the 2009 review that may have

affected fiscal transparency (e.g., a coup)?







No, there have not been any events since the 2009 review that may

have affected Barbados' evident fiscal transparency.

HARDT