BRIDGETOWN, Barbados (CMC):

Owen Arthur has rubbished proposals from the Opposition Democratic Labour Party for duty-free cars and increased vehicle loans for three categories of civil servants.

Arthur, who called the proposals ?insane?, said, if implemented, they would set back the Treasury some $600 million (US$300 million).

The Prime Minister was speaking during the annual three-day debate in the House of Assembly on the Economic and Financial Policy Statement.

The Nation newspaper reported Saturday that the debate was ill-tempered and laced with personal attacks.

According to Arthur, the proposal by Leader of the Opposition David Thompson for duty-free access to cars for personal use for the country?s 6,340 teachers, police and nurses, would cost the country $351 million in duty alone, while an increase in the no-interest vehicle loans from $35,000 to $60,000 would require an additional $231 million.

?What was presented to the House was a set of loose, highly expensive, financially reckless proposals intended to be vote-catching, but they did not reflect any clear concept, no clarity of purpose or soundness of policy,? the Prime Minister said.

Arthur said the debate was premised on the presumption by the Democratic Labour Party that an election ? constitutionally due by August 2008 but widely expected this year - was around the corner.