Budgets and debt. The Bermuda Government laid out its plans last week and in Canada, the same is expected in the weeks to come. Each Government has a challenge with the level of debt they should carry to sustain their ability to function effectively.

The current economic conditions in the world put significant pressure on governments as revenues generally go down, some costs rise, and the net effects are larger current deficits and more debt. How does this relate to you? As individuals we all know that too much debt can crush your will and your spirit and leads to hardship. Most individuals try to limit their debt to the big things like housing and vehicles and are cautious to spend less than their incomes.

As we assess what our governments do, let’s do that in light of what is best for the country and how we get to a sustainable level of economic activity and the ability to reduce our debt. All of us have to share in this goal.

“He who every morning plans the transaction of the day and follows out that plan carries a thread that will guide him through the labyrinth of the most busy life. But where no plan is laid, where the disposal of time is surrendered merely to the chance of incidents, chaos will soon reign.” - Victor Hugo