Prime Minister Gaston Browne said the government’s policy regarding dividend
payments to central government from statutory bodies does not apply to three such
entities, the Medical Benefits Scheme, the Social Security Scheme and the Antigua
and Board of Education.
In fact, the prime minister explained that the policy made by the Cabinet calls for a
minimum of 50 percent dividend payment to the Consolidated Funds of profits or
surplus cash by all statutory corporations effective from the first of January this
year.
“Our government’s dividend policy only applies to profitable government-owned
trading entities that conduct business with private individuals and entities. It does
not apply to Social Security, Medical Benefits or the Education Levy.
“These entities include but not limited to APUA, Antigua and Barbuda Airport
Authority, Antigua Port Authority, State Insurance Corporation, ADOMS and the
Transport Board,” PM Browne said in a social media post.
He further explained that where these statutory corporations provide services to the
government, such as insurance or utility services, the dividends will be set off
against the amounts owed by the government.
“The 50 percent dividend due to the government, will be calculated on profits or
surplus cash flow after debt servicing and other similar obligations.
“The remaining profits/surplus will stay with the entities as retained earnings,” he
added.
The prime minister was responding to a social media post where the person had
included Social Security as one of the statutory bodies that was required to make
the dividends payment.
