Fractured BLP | November 20, 2011 at 5:50 PM |
“The NIS fund has in over 3 billion dollars in reserve, it also has an investment portfolio. So if government determine to invest 50 million in a local project that is deemed viable for the economy down the road, what is wrong with that ”

Wait, what are we hearing? Has the NIS recently published current financial statements in order for you to arrive at this position?
Please let us know where we can find this info! After all we are all stakeholders in the NIS! FoI or no Integrity legislation we still want to know what’s going on with our money. Perhaps this means nothing to you; and signs of growing arrogance and big-headedness it took the BLP 9-10 yrs to manifest!

It is instructive that a government operative, we assume, would make so bold a statement that the project will go ahead before the Board has given the green light.

”the recession must end at some point in time”
—–

Unfortunately aside from the issues of what a pension fund should and should not invest in and the proper decision procedures, if the overall philosophy of current financial decisions are based on the asumption above, then some people have a major shock coming.

The current scenario is not just a ‘recession’ in the book sense i.e. a downturn initially recorded by two consequtive quarters of reduced edonomic activity, but the current and medium term scenario is actually a MAJOR financial correction and restructuring of major econoimies in North America and Europe, with international balance implications.

So, it will be YEARS before we see any real shift in demand internationally , consumption will be lower for a while and one should not expect any huge change in money flows for a good while.

Therefore, basing decisions on expected future ‘improvements’ is not only optimistic, but foolhardy and reckless.

It is hard news yes, but this is the reality.

@Fractured BLP – you only sound like an idiot. Tell me wha part f the NIS have the 3 billion dollars, every one who want it restarted obviously have something at stake, the others who do not want to touch the NIS money have their pensions at stake. The DLP government knew that was a failed project from the beginning if the mega rich investors pulled their money yet they went ahead and made commitments to it. So let it restart that is jobs for how many bajans for how long..When that project was going they were far more Chinese than bajans, look around we bajans are being fooled. Years from now we will have no land to pass onto our children. Why can’t a few dollars be loan to the NHC to build houses for the poor as the DLP had promised for the Coverley fiasco. But doan care what we say even if the NIS Board votes against it, MIns. Sinclker can usurp his authority as Minister of Finance and instruct them to do otherwise

David | November 20, 2011 at 7:23 PM |

It is instructive that a government operative, we assume, would make so bold a statement that the project will go ahead before the Board has given the green light
———————————————————————————-
David,
To act this way is the hallmark of decisive leadership. This caring DLP government cannot dither with the future of unborn Barbadians just to placate the wishes of some over zealous BLPites in this country.

Mia Mottley said it aptly earlier this evening when we met……this country needs a BI PARTISAN approach to most seemingly difficult issues/decisions facing it.

Unfortunately, Owen Arthur quite recently declared…he do not give a DAMN about Bi Partisanship !

PRETTY BLUE EYES | November 20, 2011 at 7:39 PM |

@Fractured BLP – you only sound like an idiot. Tell me wha part f the NIS have the 3 billion dollars,
——————————————————————————
I challenge you to prove that there is NOT 3 billion dollars in reserves in the NIS fund .

these local deep pockets not stupid . unlike the government past and present they not going to throw good money after bad and when it comes to signing contractual agreements they and they high power lawyers go over the contracts with a fine tooth comb , unlike our government who is looking for good friendship and small talk in the deals, some body must pay the piper for this four seasons debacle because for sure four seasons not going away anytime soon without giving a fight. they have invested money and was given a financial guarantee from the government which the government must now deliver. Fasten your seat belts it is going to be a bumpy ride.

The up side to restarting this project is jobs both directly and indirectly.

The down side is that Government does not make all information about investments available to the public.

We still have not seen hard evidence that implicates politicians in criminal wrong doings on major projects like Dodds,Gems or Hardwood Housing.

There is no evidence that politicians “criminally”profited from any project in Barbados in the last 18 years.

In these difficult times people need jobs so maybe the risk is acceptable.

Hants and DLP supporters…….If it is jobs wunna guvverment want tah create den build a horsepital dat will benefit wee. How de fcuk can 4 Season benefit wee. Wunna really want tah see a white elephant in Black Rock.

@islandgal

The government will say to you the project will have the capacity to create forex.

@Hants
In answer to you statement, we saw when it came to the “Hardwood” affair
the Government got rid of Abed, without stating why,. They knew from the beginning that Mascoll had little to do with it if anything at all but the big maguffy was riding on the tails of the DLP

island gal you want introducing to blue soap for your stink mouth its my money in nis too the Four Seasons sounds a risk but with projected roi its a risk i am preparded to take with my nis contributions.
Why? Jobs for us Bajans, getting the economy moving and growing, putting money from workers back into said nis. Bringing fresh product offer to the tourist industry.
Last by no means least Four Seasons brand name attracting rich visitors and assisting gob in marketing the island in a way peach and quiet never can.

@ Accuntant……..it is proffesionals tiefs like you would find 4 Seasons attractive. It is a black hole and there will be no end. After the building done who de france gine garantee dat Tourises gine cum when de world plunging into a deeper recession.

Quoting Fractured BLP “When Owen Arthur was pillaging the NIS funds on all sorts of dubious projects (including GEMS ) where was your voice ?…The NIS fund has in over 3 billion dollars in reserve ”

So you think that 3 billions in reserve is a lot of money? If the NIS is so rich why did the BLP raise the age at which one can receive a full NIS pension from 65 to 67?

If the NIS is so rich, then let the government (I don’t care which party) restore the retirement age to 65. After all it is we money, so why shouldn’t we get our full pensions at 65? Imagine how many votes the DLP would get if tomorrow the retirement age was restored to 65. But it won’t happen and we know why. In spite of its reserves the NIS is still under pressure, and the issue is demographic (not economic) and we don’t want a Greek tragedy. Unless of course the government plans to execute us as soonas we turn 65; or unless the government has found a way to compel women to have more babies.

But you know and I know that the government raised the etirement age to 67 because the NIS is under great pressure from pensioners who are living longer, and from young people who are having very few babies.

http://www.thestar.com/business/article/1087073–is-our-ei-system-broken-only-46-per-cent-received-unemployment-benefits-last-year-report-finds
The task force, co-chaired by former Saskatchewan premier Roy Romanow, found only 46 per cent of the country’s unemployed received EI benefits last year, compared with 86 per cent in 1981. Toronto Star, November 15, 2011

Can this happen here? If you are unemployed and you hava aless than 50% chance of receiving unemployment benefits, then what do you do?

If the NIS has so much reserves why are contributions are going to be increased from January again?????

So the NIS is rolling in dough, but retirement age has gone up to 67 years and premiums will be increased in January. This is a DOUBLE whammy, two increases to the detriment of contributors. What $3 billion what?!?

So, they hope to get foreign exchange from non existent tourists. Please people, the days of “build it and they will come” are over. What Four Seasons brand name. The hotel here was closed or taken over by another chain. There are now only one in Toronto and one in Vancoouver with a lodge at Whistler, which does most of its business during ski season. Mind you, I have stayed at the one in Vancouver – sheer luxury with excellent service. But that was in 1979. The disco bar Annabelles was hopping every night. The Four Seasons has nothing on the Ritz or the Hiltons that I have stayed at.

During tough times peole hold on to their money and have ‘staycations.’ The people with money buy their own villas and rent them out when not in occupancy. This money goes abroad. Only the servants wages and grocery money stay on the island. Besides, Barbados is an expensive destination. Tourists are dropping less and less $$$.

The retirement age has gone up to 67 that is for us the common man and the politicians can draw a pension at 50 or 55 now tell me how fair is that? We are being screwed from both ends and wunna ent saying nutting bout de politicians drawing pensions before de common man. Something real wrong with this picture. How much more can Bajans take lying down?

Avinesh Persaud like he is a jokey fraud.

The politicians had no problem with raising the retirement age to 67, because they know that this will not affect them. They will have no difficulty with raising it to 70 because it will not affect them either (and in any event so many of our politicians are hard living, hard drinking smokers who never exercise that few of them live to 70 anyhow.)

Remember that once the age was raised from 65 to 67, all those who died between 65 and 67 got a $1,200 funeral grant instead of a pension of maybe $1.000 to $2,000 per month for 24 months. So for every person who dies before 67 and therefore does not receive a pension NIS saves about $24,000 – to $50,000.

Why are we surprised then then that the government, the Four Seasons people and Dr. Persaud are viewing the NIS as a pot ‘o gold. This is dead people’s money that they are hoping to spend. Dead people who worked for 40 or more years and at the end their families got $1,200 to bury them. And why by the way is NIS paying only $1,200 for a funeral grant when everybody knows that a decent funeral costs between $8,000 and $12,000

@ Random Thoughts | November 21, 2011 at 8:55 AM |
“Has Dr. Persaud ever worked in Barbados. Has he ever made any NIS contributions? And is so how much and for how many years?”

It’s admirable to see some bloggers are able to dig a bit deeper below the surface.
Dr. P has earned a very nice living from providing consultancy services to and paid “speechifying” sessions to local entities.
The question to be posed is this: Is he resident for tax purposes? If so, does he file any tax returns with the necessary declaration of the various amounts and sources of income as required by the Income Tax Act. If so is the relevant tax paid in whether by way of the PAYE or Withholding Tax method. He must be earning a living whether from his own company or as a self-employed consultant.
A person who does not adhere to the basic laws ordinary people are subject to should be viewed with great scepticism especially when poor people pensions are involved (the CLICO! CLICO! Bell should start ringing loud and clear).

@ anthony:

In the world of business and chicanery the title “doctor” has more appeal.
If he is a professor then it is then OK for us to bestow the designation “Professor Anthony” because you make more sense that many parading under a similar academic umbrella. (LOL!)

Give four seasons a chance and stop. Using it as political football. What we should be insisting on is that the NIS investment is tied to the restart of construction in the project. The hotel will take four years to construct. If the signs of the recession has not cleared by then we woulf have bigger things to concern ourselves with. Right now we are swabbling over a 50 m investment which accounts for less than 2% of the investment portfolio of the NIS.

I noticed someone mentioned four seasons Bahamas closing this was a unque case and is no way similar to Barbados. The resort was located on a remote Island which was more suited for small boutique hotels. The property was reopened under the sandals brand.

Optimum | November 21, 2011 at 6:33 PM | … for less than 2% of the investment portfolio of the NIS

2% here, 2% there, 2%.. it seems to be adding up.

Should every Barbadian be willing to play a part to save Barbados – a one time tax, based upon wealth, be it 0.1%, 1.0%, 2.0%