Pursuant to Section 12 of the Fiscal Resilience Act (No. 11 of 2023), the Fiscal Resilience Oversight Committee (FROC), submitted, on 13 March 2026, the FROC 2025 Annual Report and the FROC 2025 Annual Report At A Glance, to the Clerk of Parliament for onward transmission to the Honourable Leo Cato, Speaker of the House of Representatives and Chairman of the Committee of Privileges.
The Fiscal Resilience Act, along with the Public Finance Management Act and the Debt Management Act, provides a framework to guide the financial operations of the Central Government, statutory bodies and state-owned enterprises.
The Fiscal Resilience Oversight Committee (FROC) was established by the Fiscal Resilience Act.
Among its functions, The FROC is mandated to monitor, and report to the House of Representatives on compliance with the provisions of the Fiscal Resilience Act. The FROC therefore assessed compliance with the Fiscal Resilience Act for 2025 in two main dimensions, namely compliance with fiscal rules and target and adherence to the principles of fiscal transparency. The FROC anchored this assessment in the review of the performance of the economy in 2025 and the forecast for the medium-term.
Following the passage of Hurricane Beryl, Section 9 of the Fiscal Resilience Act, which provides for the suspension of the fiscal rule for the primary balance and the debt target, was suspended in 2024. For the 2025 fiscal year, the Government operations were conducted under the extension of Section 9 of the Fiscal Resilience Act, and the suspension was further extended to 2026.
The FROC assessed Government’s compliance with the Fiscal Resilience Act for the 2025 and 2026 fiscal years, with particular reference to the activation of the Suspension Clause. For 2027 and 2028, the Government’s adherence to the fiscal rules and targets as detailed in its Medium-term Fiscal and Economic Strategy Report is examined.
The compliance of the government with the principles of fiscal transparency and accountability during 2025 is evaluated, with the focus on the timeliness, consistency and comprehensiveness of data and information on government finances disseminated to the public, and on the availability of various reports as stipulated in the legislation.
The findings of the FROC are outlined in the FROC 2025 Annual Report and the FROC 2025 Annual Report at A Glance, which can be sourced from the FROC website.
Laurel Bain, Chairwoman, Fiscal Resilience Oversight Committee