Cost of living in Barbados set to rise

The cost of living in Barbados is set to rise following an increase in the contentious National Social Responsibility Levy, introduction of a new sales tax on foreign currency transactions, and a hike in the excise taxes charged on gasoline.
  
The Government is expecting to accumulate $542 million from taxes and expenditure cuts.
  
The measures were announced on Tuesday by Minister of Finance Chris Sinckler.
  
In his three-hour presentation, Mr. Sinckler also announced expenditure measures, including plans for debt re-profiling, as well as divestment of the Hilton Barbados Resort.
  
He acknowledged that the measures were not easy.
  
However, Mr. Sinkler said they were necessary if Barbados is to maintain its 2 to 1 currency peg with the US dollar, as well as lower the gap between revenue and expenditure and maintain its high level of  health care as well as other social services.