Daraine Luton, Sunday Gleaner Reporter
Waite
JAMAICA IS sitting on a time bomb, which could explode unless the future of youths is secured.
That is a message Opposition Senator Basil Waite took to the Upper House when he made his contribution to the State of the Nation Debate on Friday.
Waite proposed, among other measures to boost national development, the setting up of a child equal-opportunity trust (CEOT). This, the senator said, would be a long-term savings-and-investment programme for persons from birth to 22 years of age, which would allow them to invest in their future.
poverty line
Under Waite's plan, the Government would establish a facility similar to the National Insurance Fund. He proposed that at the birth of every child, Government should make an instalment of $30,000 and, thereafter, make additional deposits of $15,000 at age six, and $7,500 at age 11, for children who were born to parents who were below the poverty line.
The intention, Waite said, was to break the chain of poverty. He argued on Friday that " ... once you are born poor, you are predisposed to perpetuating poverty."
Waite proposed that parents be mandated to match the Government's instalment to the proposed CEOT within three years, and within seven years, for those who fell below the poverty line.
education and training
On reaching age 18, Waite said, persons should be able to access 30 per cent of their fund for specific purposes, such as education and training. At age 22, Waite said, the remainder could be accessed to do specific tasks.
"The general idea is to kick-start saving and investment ... to give each child the opportunity for a decent start in life," said Waite.
The proposed CEOT would cost taxpayers $1.3 billion per year for the first five years, and $2.5 billion per year thereafter. Waite admitted this was an expensive proposition, but insisted: "I am convinced that we cannot afford not to do this." He said that a marginal increase in corporate tax compliance could fund the CEOT.
daraine.luton@gleanerjm.com
