Hon Chief Minister
ANGUILLA: PUBLIC FINANCES
Thank you for your letters of 14 September and 21 September which followed up your telephone conversation with Colin Roberts.
I appreciate the efforts your government is making to address the issues I outlined in my letter of 27 July. I assure you that I consider each Territory's requests very much on an individual and case by case basis. However, I must act prudently when considering your request for additional borrowing at this time when
I welcome the commitment you have made towards cutting public expenditure, including a Public Service pay cut. However, there has been less progress in plans to broaden
I am however, prepared to agree, exceptionally, to the government of Anguilla borrowing EC$20m to cover the recurrent deficit over the next six months, providing that you commit now to the introduction of new revenue measures, no later than the beginning of FY 2010-2011, to broaden your revenue base as identified by an independent study to analyse the impact on public finances of a range of new taxes and/or initiatives. This study will be funded by the FCO with the Terms of Reference agreed jointly by the Government of Anguilla and the FCO with a view to having consultants in
However, given the particular circumstances of your requests to include provision to finance a proposed runway extension at
I look forward to your confirmation that these conditions are acceptable to your Government.