THE OPPOSITION People's National Party (PNP) is adamant that Prime Minister Bruce Golding could have avoided increasing the rates of some National Housing Trust (NHT) mortgages as a move to keep the trust viable.

Speaking at a press briefing at the party's headquarters on Old Hope Road, St Andrew, yesterday, members of the PNP hierarchy said what is needed is proper management at the NHT and not increased rates.

"Great management does not come about because you can guide things in good times," Opposition spokesman on finance Dr Omar Davies said. "... It is your job to ensure that you take whatever remedial action."

He added, however, that increasing interest rates was not a warranted move.

Insolvent warning

In his debut Budget presentation as prime minister, Golding on Tuesday said the NHT could become insolvent if it continued along the same path.

NHT Chairman Howard Mitchell has said the trust had made commitments over the next three years which, if continued, would lead to insolvency.

As part of measures to rescue the trust, Golding announced an increase in the interest rates on loans for beneficiaries earning over $10,000 per week.