“We expect that this 12.5% VAT reduction, aimed at improving consumer spending power, will reflect the cost of these supplies, once all other factors remain constant,” she said in an address to the public. “Consumers are encouraged to maximize this window of opportunity.”

Alfay-Henry says she hopes the reduction of V.A.T on building supplies will encourage “the construction of residential and commercial properties, to carry out long-delayed, but essential, home remodelling, reinforcement, and renovation projects.” 

The Consumer Affairs Department, according to Alfay-Henry, will “continue to monitor the baseline prices of imported and retail goods.”

 This initiative by the Pierre Administration promises to stimulate economic activity, following the recession caused by the COVID-19 pandemic.