Suriname Government to Reduce Civil Servants by Over 2,000 for First Time in CARICOM History

Finance and Planning Minister Stanley Raghoebarsing Announces Major Reforms

PARAMARIBO, Suriname, CMC – The Suriname government has announced that for the first time in the Dutch-speaking Caribbean Community (CARICOM), the number of civil servants employed will be reduced by more than 2,000.

Finance and Planning Minister Stanley Raghoebarsing’s announcement comes even as President Chandrikapersad “Chan” Santokhi said that negotiations for salary increases with trade union representatives will be held soon.

Santokhi said that, given the country’s sacrifices over the years, it is ‘time to give back.’

Last year, civil servants received a 20 percent salary increase, and SRD3,500 (One SRD=US$0.02 cents) will be added to the gross salary from this month.

Raghoebarsing, speaking at a news conference, praised the civil servants for their commitment to participating in the government’s socio-economic programs, which would have improved the current situation.

Reforms and Challenges Ahead

Although civil servants have decreased from 49,000 to 46,500 since the government came into office, the wage bill has doubled from approximately SRD600 million per year to approximately SRD1.2 billion.

The government has been ushered in the reform of the public sector for several years, and the International Monetary Fund (IMF) has repeatedly urged the government to ensure the policy is implemented.

Government’s Priorities

Raghoebarsing told reporters that in addition to the high wage bill, the government spent considerable amounts on subsidies, of which more than three quarters (SRD 3.9 billion) ended up in the healthcare sector via state-owned companies.

He said an agreement had been made with the Ministry of Health to invest an additional SRD 350 million in health care this year, and subsidies and other contributions to state-owned companies amounted to more than SRD5.9 billion last year.

Raghoebarsing told reporters that the government’s debt position has improved structurally and that Suriname is doing better than the IMF predicted.

He said the national debt is now at a sustainable level but warned that more work remains.

“Things are going well, but we are not there yet,” he said, adding that a significant achievement of the Santokhi government is the reduction of inflation from 65 percent in 2023 to 9.7 percent in December last year.

Conclusion

The Suriname government’s decision to reduce the number of civil servants by over 2,000 marks a significant milestone in the country’s efforts to reform the public sector. While challenges lie ahead, the government’s commitment to reducing debt and improving the economy is a step in the right direction.

FAQs

* What is the Suriname government’s plan for the public sector?
+ The government plans to reduce the number of civil servants by over 2,000 and implement reforms to improve the public sector.
* What is the current state of the Suriname economy?
+ The country’s debt position has improved structurally, and Suriname is doing better than the IMF predicted. However, more work remains to be done.
* What is the government’s plan for healthcare?
+ An additional SRD 350 million will be invested in healthcare this year, and subsidies and other contributions to state-owned companies will continue.