62 thoughts on “Barbados' Economic Review January to September 2013

  1. The economy continues to decline and we have an inept, incompetent bunch of elected idiots laughing at Barbadians. Continue to make sport at the BLP. That will turn the economy around!

    • Can we clarify this bond issue business? Did Barbados float the bond and pull back or did we do as the MoF stated that we attempted to buy back our bonds.

    • There are enough reports on the Internet to support that the government withdrew the tender. This is something we should have clarified. To you journalist out there, the governor’s press conference tomorrow to clarify this matter.

  2. Did not the MOF said in his ministerial statement that he withdrew the bond issue? He now says he did not, it was a tender to buy back of bonds. This man is clearly a confused liar.

    The fact of the matter is that no one would buy the bond and he had to withdraw in in shame! I now believe in truth that he is out of his depth and is a buffoon!

    David, was it not you who notified BU that the bond was withdrawn?

  3. what is there to clarify David, maybe you need to clarify whether or not this is another attempt being floated by BU to engage the BLP yardfowls in political spin and propaganda…

  4. How could the unemployment rate have gone down with so many Barbadians going home weekly? Over 200 went home from LIME during this period and I mean the rate did not change? How on God’s green earth can the unemployment rate be 11.1% when more people are out of work than under Sandi and then the rate was over 20%?

    When will this government be ever transparent and come clean with Barbadians?

  5. What about the spokesman from Oppenheimer.?…..Like nuff people just line up and spewin confusion bout these bonds…which presently will decide whether we sink or swim in future….I thought I heard of a proposed issue to raise $500 mil US….and how the UWI would have to be put on hold until Govt’s end is satisfied first……
    Confusion seems to be the order of the day…..not to mention diversions…..all sometime doa rubber will have to meet road..


    Great post David, More proof of crooks and MoF is a fool and a crook, Have to tell the truth , liars can not tell the truth ,
    David get ready for the next VOTE , you all will see nothing but truth and watch how CBC , NATION? and other will look to down play the moves that are to come,,

    The C.U.P will take some seats and give the truth on the floor of the House , Yes and call Names for the record.

    Best thing to do is to read Plantation Deeds old POST , to show that we are on point and not moving unless those crooks , liars and scumbags bring the truth history of Barbados,
    All the book the National Trust put out are 50% lies
    Barbados fix is in the land , Banks hold junk deeds with no enforcement of law in courts ,

    Pay no land tax , for 90% of the island dont own the land in Barbados,
    Yes We have the Deeds ask the MoF about deeds and ask him to show you the deed for him and his crook Ministers of Barbados,

  7. @Prodical son,

    Please attempt to analyze the data objectively devoid of your political bias.I believe that unemployment ifo was provided by the Stats department.Somewhat you seem disappointed that it is not higher.

  8. David,

    I found this in the Advocate. Let’s read and see!

    Finance Minister explains decision


    Barbadians were last night given the assurance that the decision to postpone a multimillion dollar international bond issue will not offset Government’s fiscal strategy.

    Minister of Finance and Economic Affairs, Christopher Sinckler made the disclosure while delivering a Ministerial Statement just moments before the House of Assembly adjourned yesterday evening. Giving details as to why the decision was taken not to pursue the bond issue at this time, the Finance Minister cited the United States Government shutdown as among the main reasons for suspending the move.

    The Minister explained while earlier this year the market was favourable towards emerging market debt, conditions have deteriorated and the international market has soured for emerging market debt, mainly because of fears about the termination of quantitative easing by the US Federal Reserve in the US economy, and the impact that would have on global liquidity. Added to that, he said, interest rates began to increase, and uncertainty became a “central feature in the market”.

    Sinckler disclosed that the latest development on the bond issue has come on the heels of a successful bond issuance road show by Government, that took place between September 25 and 30 across four key cities – London, New York, Boston and Los Angeles – where the key investors in Barbados’ bonds are normally found.

    “Those meetings went generally well with most investors responded positively to Barbados’ story, expressing support for the adjustment programme, which we had outlined in the 2013 Budget, hoping for its full implementation. Unfortunately, on the 30th of September the United States Government shutdown, as Congress failed to pass a spending bill to finance Federal Government operations; and together with growing apprehension about the possibility of a US debt default behind a failure of Congress to raise the federal debt ceiling limit, had led to extreme uncertainty in the international market, making it clear that the cost of the bond would be unacceptably high,” he explained.

    He said that for that reason, Government’s bond managers have advised that the offer be suspended until more favourable market conditions emerge. With that in mind, he noted that since Barbados and other issuers took the decision to hold back, very few, if any countries have issued bonds in the market.

    The Minister explained that the current situation is not dissimilar to what transpired in 2010, when Barbados went to the market for a bond issuance and there was the collapse of the European economies. At that time, he said this country like many others, was forced to put off decisions to enter the market until later in the year when uncertainties cleared and the market settled down and he said the Freundel Stuart Administration is satisfied that it has taken the correct decision now, as it did then.

    “At the moment no one can predict when the market appetite for emerging market bonds will revive… The Government is actively considering alternative financing funding scenarios, and the proceeds of the bond, once it is eventually issued, will add to the foreign reserves, which are expected to remain adequate even in the absence of the bond issue as the result of an adequate fiscal correction,” he stated.

  9. So………….the IMF officials were NOT lying as the governor of the central bank is telling the people re the Barbados economy, it is Sinckler telling lies to the bajan public.

  10. WEll ! WELL! ……..
    Girl you still up in here squaking…..IMF …..IMF………LOL.girl even onions turn a new page,,,,,wuh IMF been squaked to death…..do like onions and talk something new..,,,

  11. ac……………i don’t know if Mia’s timing is off or if she is pretending, but the DLP did not get any money from the international market unless they got the money and are lying to the taxpayers in Barbados as usual……….the economy is up the creek, no boat, no paddle……..are you telling me the governor of the central bank is lying?? and if he is not lying, who is?? you sound kinda desperate, are things even worse than everyone believes??? all eyes are now on Barbados, can you tell me why?? Sinckler the idiot just had a lot of mouth about the IMF in the newspapers, can he face them now?? ac……try not to lose it.

  12. Geoffrey Fisher the guy who was in JCA berating BDOS. Fisher is a tainted financial advisor ,who has over 15 documented trading violations. His work is in the field of junk bonds he will prefer to offer Jca bonds with crediting rating of CCC+

  13. CCC

    The Russian have a quote and it goes something like this “You can lie and go forward”. To any liar or would be liar it’s something for consideration and adoption.
    Mr. Sinckler has learnt that once you start lying people always have a habit of dragging you back to pass comments and evidence that prevent you from going for with any credibility.

    • And while some rejoice in the political gamesmanship going on the slide in the international cover to 1 billion or 13 weeks (the very accepted minimum) continues to concern many. A question for the press corp to pose to the Governor is if the trend is continues in October.

  14. I was just making that point to a friend. In all the BS, it slipped Bajans that we now only have 13 weeks of foreign reserves and this is at September, God alone knows how much we have now and Christmas is only a few weeks away. It is clear that the economy has further declined.

    This shooting talk was a clear distraction. Who would want to shoot Stinkliar? If no one aint threaten the man whom the PM said is “not a leper” who has destroyed the livelihood of so many people, why would anyone threaten a Stinkliar! Give me a break!

    Just on Sunday the “pass his sell date” and out of touch economist went through the yearly level of foreign reserves Barbados had during the OSA government and was praising Delisle Worrell as the very best Governor in the CB’s history. I wonder what he will say now that this same best governor is presiding over an economy second only to Sandi’s……. or is it worst than Sandi’s.

    Was this same angry economist an advisor to Sandi? Passing strange that he is always involved in failed DLP economies. He who had a secure job at Cave Hill for decades………he who screwed Wendell Mcclean when it was time to resign to run under a PDM ticket…….. now has the unmitigated gall to suggest that Permanent Secretaries should only be appointed for five years. He had security of tenure but now wants to deny others. What a hypocrite!

    If the people of Barbados do not get rid of these Dems from ruling over them, they will fundamentally transform this place as never before.

    I hope anyone of the journalist tomorrow will ask the governor how comes his report is January-September and not July- September. I will go on the website and see the quarter’s figures for myself.

  15. From what I understood, the Government has to find money to “pay out” the bond holders who are withdrawing out of Barbados because their internal guidelines / rules for investment do not allow them to invest in Barbados any longer due to our downgrades by Standard & Poors. Eg. Big foreign pensions etc (who need to invest their hoarded cash) cannot invest in bonds / lend money to a country with a negative rating.

    So basically international Barbados bond holders that are not due to be paid out for some years to come are now telling the government they need their money back now as they cannot keep it in Barbados Bonds (with the negative ratings we now have). The Barbados Governemnt is therefore out there trying to raise money (in the sale of “new bonds” etc) to cover these investors who are pulling out because of our bad rating / outlook as well as borrow money to keep the local economy going (think the civil service employed) . Which I may add, the new bond buyers (if they can find any) will demand higher rates of interest / return for the “investment / lending” of their money as they now know that Barbados is more riskier to invest in because of the downgrades (no refuting that – it was in black and white from S&P).

    We do not have to listen to either of the parties here in Barbados – BLP or DLP. We know the country has a cash problem – unless you are not living in a real world. Put your ear on the street – people not getting paid by the government including pensioners / welfare or companies who do business with the government / people are being asked to bring their own supplies & medicine to the hospital for “good care” that is a fact / VAT office not paying companies money due – the Governemnt just don’t have the money. By not paying their due debts the government is making it worst for all of us in the long run as they are slowly transferring the debt problem onto anyone who will take it – eg people who give the government credit. It will make it harder to dig your way out in the long run (government and companies) as the debt begins to mount on the whole country from top to bottom.

    It will continue to get worst over the next few months as the government does not start to see the receipts from a winter tourist season until next year. We are entering a very dangerous time.

    The sad thing is that we are a slow moving train heading for a disaster and there is really no way to stop it at this stage – or at least with the present government in place. They are all asleep at the wheel.

    • Did the Minister of Finance indicate how the government is planning to address the UWI debt issue? The failed attempt to raise money on the capital market obviously has a knock on effect. This is another question for the press corp at tomorrow’s press conference.

  16. The foreign reserve cover fell from 19wks ( March 2013) to the current 13wks. With a dampening of imports and small receipts from tourism in the last qtr, the cover may remain at 13wks. However , there will be a significant increase in the cover about mid 2014 as a result of the IMF and IADB presence. The govt must now follow the dictates of these two agencies, the good news is that the Bdos govt is asset rich but illiquid.
    On the unemployment at 11.1%, the decline may be as a result of falling labour participation rate rather than job gains.
    At this juncture the IMF is the better MOF for Bdos , there will be growth come 2014, fiscal consolidation and sustainable employment. More in the months ahead, Bdos will be OK


    John Doe | October 22, 2013 at 11:32 PM @

    This lack of law enforcement is what allowed this fraud to move to the Madoff and Standford levels, Now Barbados credit is very poor that the FUNDS they look to get from outside BANKS is killing us all and making things worse.
    There will be less fear as a 3rd party take over and reveal all the Fraud these twins parties .
    YET THEY look to drive RR AND BMW CARS ,,
    We have the deeds and the and the Left hand to sign all things in to place,
    over 100 years of Barbados history removed from books and some never written to make the crooks of the past Hero . The people you trust the most , with the titles and who you see on tv and hear on the radio is part of this ,
    For they know the truth yet they tell you what they are told to tell you ,
    All things are on a need to know bases and the Bajan public as they said dont need to know.
    If you know the truth as we type , they are gone , They have to go
    So many lawyers in government and still can and will not fix nothing , So now you see the back up in the courts ,, You dont charge me and i will not charge you, Barbados is a free open jail, crooks every where

  18. @Enuff
    The governor didn’t factor in the presence of the IMF and IADB , Bdos needs the IMF to pull it out of its current recession .

  19. If I were Mia and the Opposition, at the party conference this weekend, I would tell my party faithful that we will attend Parliament, do our job, make very few announcements and let the Dems implode as for sure the economy will. That would please the Stinkliar and the Innis!

    I read in this morning’s paper that Stinkliar pulled this same stunt saying someone wanted to kill him when he was a young democrat! Quite revealing!

  20. The PDC has been saying time and time again on here and in many other places that this country is well on the path to becoming a second rate Third World developing country in the next 9 to 14 years, if these ramgoat ramshacked DLP and BLP are not permanently removed by the broad masses and middle classes of this country from the Parliament of this country within less than 5 years.

    Notwithstanding what the Governor of the Central Bank of Barbados has reported on the statistical performance of the political economy and services industry sectors of the country for the 9 months period from January to September of 2013, the fact of the matter is that Barbados on the path of becoming a second rate Third World developing country.

    What is a constant feature in any country that is on the path to becoming or that is already a second rate Third World developing country is the great amounts of misinformation that is fed by many within the governing authorities to many of the populace of such a country.

    Hence, when Dr Worrell states that Barbados has about 13 weeks of import cover in the equivalent of foreign reserves, this is one of the very clear signs that Barbados is on the path to acquiring such a status.

    He is absolutely wrong and is throwing misinformation out to the Barbadian public for many within this public to swallow.

    The point is that Barbados does NOT have any BDS $ 1 billion in foreign reserves.

    What the Governor is claiming as reserves are mainly certain hypothetically based NUMBERS concerning what other actually or hypothetically based NUMBERS that were/are constantly put in and put out of various areas of the Government of Barbados external financial accounts at given on going regular points in time and the NUMERICAL BALANCES that remained at those given on going regular points in time.

    The fact that the use of foreign currencies (reserves? reserves, in this sense, imply, at best, only an imaginary stock of set aside foreign currencies in some local or foreign financial institutions, and which though must theoretically distinguish from normal day to day uses of foreign currency) is, in this sense, only central to what relevant import/export business that is being conducted in or from in Barbados (the practice of the Government of Barbados even falsely denominating foreign exchange in Barbados dollars is totally wrong as well), and given that there are increasingly less and less uses by the relevant Barbadians of actual foreign exchange outside of Barbados, are very helpful in any analysis of the factual conclusion ( on the NUMBERS above), and especially when these considerations are placed against the backdrop of these grossly distorted NUMBERS that are presented by the Central Bank of Barbados as representative of these fictitious foreign reserves

    When we last did our own research and analysis of the claimed actual foreign reserves, in 2012, and which was of data and information coming out of the Central Bank of Barbados for 2011, we think, we found out that Barbados at the time had fewer than US $ 200 million in foreign currency (reserves??).

    No doubt that today these “reserves” are actually becoming fewer and fewer in this deepening political economic depression in Barbados.

    Therefore, also, the question of foreign “reserves” does not have much significance utility as before in a context where the capacity to secure, to use and to actually secure, use foreign currencies to great effect domestically or internationally is more preeminent now than before.


  21. Prodigal; Since the last elections I was firmly in the camp that the BLP should do nothing and let Stuart and Company do what they thought necessary to get the Country out of the morass in which they were leading us. But we have moved from that morass over the fiscal cliff since then with only a few bush branches to grab at on the way down (The Sandals deal is one such branch but one which might not be as rotten at the roots as the others we’ve been grabbing at so far – but only time will tell)

    I was wrong, as I have been before, but I would still like to suggest that the way forward for the Country and true patriots – not for purely partisan BLP interests – is for the BLP to continue engaging the public.

    At some stage those with blinkers now on will have them removed to see where we are headed and totally reject the glib spin which sees everything that Mia does as pure politicking and attention grabbing. In my view, much that she has enunciated over the past 5 years have come to pass and I don’t have to say again that we are now at a stage where the only thing that can happen within the next 6 months is us landing in the hands of the IMF.

    Did you all see in that foreign reserves chart shown by the CB governor yesterday that there was a consistent decline in the last 6 months? Has that decline now ended? Will it continue so that, without IMF intervention, it will lose another 3 weeks cover by December?

    Perhaps inviting IMF sooner is better since the sooner we go there, the more likely we are to have enough barely foreign reserves to stave off the likely call from that body for devaluation. If we choose Later we will have no cards to play.

    The BLP has no option but to continue informing the public. Doing less would make it approach the standard of the current DLP.

    Mia won the information battle in that exercise yesterday. Don’t let the spinmeisters get away with their twisting of facts.

  22. @ David | October 22, 2013 at 11:43 PM |
    “Did the Minister of Finance indicate how the government is planning to address the UWI debt issue? The failed attempt to raise money on the capital market obviously has a knock on effect. This is another question for the press corp at tomorrow’s press conference.”

    Hi David:

    Have been technically unable to keep abreast of recent events discussed on BU.

    Not at all surprised at recent events since they were foreseen many months ago.
    But it would be most interesting to hear what is the current position on the floatation of the bond to financially support the UWI.
    We were advised by the ‘learned’Observer the reason for not putting the UWI funding bond earlier on the market was that it would have clashed with the one recently withdrawn by the MoF.

    The United States Government is back in business and the road is now clear to float the UWI funding bond via Scotia.
    We eagerly await the MoF’s clarification on this one since the UWI was promised settlement of arrears by July 2013.
    As it has been argued before there is no future Cave Hill Campus of the UWI without serious and timely funding from the Government of Barbados.

  23. Miller ac was a tiny bit concerned about your untimely departure. but notice that onions tried to fill your shoes and did a “crappy”job anyhow glad to see you back boise “the voice of political propaganda and hyperbole”

  24. miller,

    Welcome back, we missed you. It has been very trying on BU trying to deal with the c’s.

    checkitout….Daily Nation…..bottom of page 4A.

  25. a 10 minutes ago 0 1
    Our government has become self aware. This means instead of existing for the benefit of taxpayers and citizens, our government now exists help itself. Our government’s time and our tax dollars are now squandered and spent on how to get more money, more power, more influence…for politicians and government workers. This is tantamount to stealing. When the monies taxpayers are forced, under threat of fine or imprisonment, to relinquish to the government, is #$%$ away frivolously on buying votes, buying friends, and buying luxuries the citizens of this country do not have, that is a misappropriation of funds and it’s stealing

    The above comment
    comes from a message board -USA
    It is written by an American.
    thought that the PDC advocates
    would love this.!
    Yaaaaaaaaaaagga——–not liking ‘ac’ at the moment

    • @Miller

      Good to know you are in good health!

      @Prodigal Son and Checkit-out

      Are you suggesting the Opposition should renege on its constitutional responsibility?

    • Is it not the practice for the Central Bank of Barbados to post a video of the post economic review press conference? Would appreciate if a BU family member can confirm if this is the case.

  26. David; Read my posts again. Have you seen anywhere in them that I think that the BLP should renege on its constitutional responsibility. I have also reiterated, almost ad nauseum, that I agree totally with Mia tabling and proceeding with the no confidence motion and that I felt that it publicized all the elements of CS and the Government’s ineptness in managing the economy and that the Government’s rope-a-dope strategy did not prevail in the overall scheme of things. It only suggested that the DLP had no answers to the charges to non partisan observers who were not fixated on the spin brought to bear on the outcome by the DLP posters here.

  27. To all Bu Family members:

    I sincerely appreciate your genuine concerns about my missing in action (MIA) at this most crucial time of political hostilities.
    I was a casualty of technical incompetence on the superhighway and not of physiological or intellectual warfare; at least not yet.
    Even ac’s stinging poisonous barbs were entirely misdirected at an innocent tank driver. To my sweet Ac, the miller still loves you, even with your yellow painted bird feathers that are all politically dishevelled.

    I propose we accept the inevitable path to the IMF doorstep as the only game in this economic town.
    I would show great respect for this DLP government if it were to be proactive and do the decent thing by publicly announcing its intention to enter into an IMF structural adjutment programmme by December / January to save the country from further embarrassment.
    At least the politicians would have a ‘genuine’ bogey man and whipping boy to blame instead of the poor Opposition.
    The DLP apologists must accept the truth and its inevitable consequences. Imagine a real Jamaican investor called Butch from Shanique Myrie’s ‘c(o)untry’ being heralded as the saviour of the Barbados tourism industry. What a paradox! Expect the majority of workers for Butch’s brand to be from Myrie’s country and you Bajans will not be able to do a thing about it. Retribution is the mother of a bitch called Myrie the dancehall queen.

    What next for Bim? A currency peg adjustment to make it more competitive with the T&T dollar or the Jamaican dollar or even the Guyana dollar? Why not start with an adjustment to bring the Bajan dollar in line with the EC dollar and then move from there to its true trading value? 21st February 2014 sounds like a good date to initiate the inevitable.

  28. It was the height of impertinence for the uninformed and poor rakey speaker of a poor rakey parliament to say on national DLPTV at the end of the No Confidence(CBC had Confident for a long time and that too is expected,all Dems)Motion that “methinks the noes have it”.What a jackass.15 on one side and 14 on the other and he can hear that the noes have it.Jackass speaka!!

  29. Yagga Rowe,

    Glad to see that you shared that comment with the PDC and many other people who are on this BU blogsite.

    Do help uplift the consciousness of as many people as possible in Barbados as to the fact that TAXATION is mass criminal theft – on an ongoing basis – by the government of Barbados of countless portions of the incomes, payments and transfers of the relevant people, businesses and other entities in this country.

    And do help too make sure that there will come a time in Barbados in the foreseeable future where this form of bondage is brought to an end in this country and where there becomes established a POST-TAXATION society for Barbados.

    One of the very sickening things about this very abominable TAXATION system is that, yes, after stealing such countless portions of the remunerations of the relevant entities, these criminally morally decrepit DLP and BLP governments find ways and means of giving themselves and many of their supporters and others many of these ill gotten theft proceeds via some of these equally culpable criminal morally backward financial institutions in this country.

    So, these wicked corrupt DLP and BLP governments STEAL from the remunerations (the properties) of the relevant entities, with a view too of helping to foster and secure – in various ways – their own corrupt criminal narrow selfish partisan objectives.

    Indeed, that comment – where so ever you would have come by it – is essentially reflective of the truth concerning some of the wickedness the criminality related to TAXATION in the USA, and related to the USA government doling out of some of those same theft proceeds to themselves, their friends and many others within and without the USA government.

    Thanks for passing on such enlightenment to many people on BU, Yagga Rowe.


  30. The Daily Nation newspaper of Wednesday, October 23, 2013, carries a back page story by Geralyn Edward on the Governor of the Central Bank of Barbados’ review of the political economy and services industry sectors of the country for the period January to September 2013.

    Indeed, in reading this story there are some indications of some of the very, very troubling aspects of this government’s gross and reckless mismanagement of many of the political governmental affairs of this country. One of these indications is gleaned from what Geralyn Edward writes: “That the Governor said government was able to cut its expenditure (for the PDC there is very little government expenditure) but only by $23 million and the fiscal deficit widened by $117 million.”

    Moreover, these statistics are more glaring evidence of not only the monumental incompetence of this government in dealng with the fiscal financial affairs of the government, but also are damning evidence of even the present DLP government’s so-called Medium Term Growth Strategy being in tatters before it could well properly replace the so-called Medium Term Fiscal Strategy.

    Indeed, this DLP government couple months ago stated that its has to make about a $400 million fiscal adjustment to bring its so-called Medium Term Fiscal Strategy back on track.

    Yet, imagine that Dr. Worrell is a couple days ago now telling the public of Barbados that the government was only able to cut $ 23 million? – which would have come under the responsibility of the previous Medium Term Fiscal Strategy that looked at greater so-called fictitious spending cuts.

    Worse is that, if the government is really so much about making this fiscal adjustment that it has claimed it is about, the burdens of the so-called fiscal adjustment and the adjustment itself must have become greater by now under the present so-called Medium Term Growth Strategy, given that the so-called fiscal deficit has clearly expanded further owing primarily to what is clearly more so-called borrowing being undertaken by the government to satisfy its narrow political considerations.

    Finally, for now, what is also becoming clearer to the PDC, day by day, is that, given that the political economy and services industry sectors of Barbados are in their sixth consecutive year of depression, there is every single likelihood that this ramgoat ramshackled DLP government is also increasingly making – by continuing to expand the so-called fiscal deficit, by so-called borrowing more, by TAXATION, by helping to create more depressing domestic business activity – the prospects for very much more austere times for the broad masses and middle classes in the short to medium term more and more obvious.


    • It is evident that there is a rising anti Sinckler sentiment post no confidence motion. It was defeated but it may yet have served a purpose. Over to you PM Stuart.

  31. ……Ova to PM Stuart?….Some people like Bushie today, like nuff jokes…..I know we not serious…..interesting enuff one can now appreciate why the MOF should be a competent and strong leader and vise versa……the countrys future depend on it.

    8 in maths?…..you serious

  32. Effin wunna feel that a MOF is THAT influential in the scheme of things… wunna really smoking some bush……
    Except for when the MOF is also the PM, this is just another ministry. Ultimately he can only do what is agreed by Cabinet or at least by the PM….so how can the PM fire him for incompetence? …except he disobeys direct orders…..he would be firing himself…
    The MOF is even more the animal of the PM than is the CBB governor, who can at least fall back to the statistics…..

    The reason to fire the MOF is cowardice in the line of duty….in the face of normal threats…..that was pathetic.

  33. PDC

    Given the Auditor General’s comments in her most recent report at http://bajan.files.wordpress.com/2013/03/auditor-general-report-2012.pdf concerning the shortcomings in the Government’s accounting systems, and her Opinion that “In my opinion the Financial Statements presented for audit did not in all material respects fairly represent the financial position of the Government of Barbados as at 31st of March 2012”, the Central Bank report has to be viewed with a certain amount of scepticism. The numbers may be worse than presented in the report. International reserves may have declined more than reported, and unemployment rate at September 2013 down to 11.1% from 12.2% at September 2012 hardly seems possible, etc.

    • @Bush Tea

      It is more about the perception that Sinckler is not able to inspire confidence. Without confidence it does not matter how effective his policies are, they will fail.

  34. We need an independent body or individual to make an impartial assessment of the current state of the economy. Sorry! The BES is not impartial anymore since they removed Straughn. The UWI economists have not thrown up anyone believable. The Central Bank’s hands have been caught in the cookie jar before re. unemployment statistics and we know how closely they work with Government. The Government has an obvious bias as does the BLP and their spokespersons would not make the cut.

    Would a Charlie Skeete or a retired Government Head of the Public service or that guy who headed the CLICO interim committee (Layne) fill the bill since they might be deemed impartial as they are now out of the firing line?

    Where is that body or individual? In the absence of such a body could BU invite some of its posters with Economic credentials to educate us on this very important matter. John Doe seems to be knowledgeable in this area as is also Millertheannunaki. During the height of the CLICO matter there was a fairly frequent poster (I forget his handle) who also seemed to be quite knowledgeable in this area. I think Blogger2012 also has some expertise in the area but would be a good resource if he could curb some of his partisanship.

    Suggest that David invite posters with experience in monetary economics or economic policy or government or central banking in the Caribbean especially in Jamaica, or Guyana, or Grenada or St Kitts or Barbados to write some short simple pieces on the current status of the Barbados Economy to educate us novices. The posters should indicate up front the expertise and experience (in general, not specific terms) that they have in this area. The pieces should use the info in various central bank and Government reports as background data to base their opinions on where the Barbados economy is headed; if the slide can be halted and when; If and when the IMF should be called in; If the Bdos exchange peg should be defended and at what cost; and what type of restructuring is necessary at this time. The pieces should also give some opinion on if there has been any significant progress made in meeting the objectives of the 2013 budget and if it appears that there will be such progress given the current trajectory of the Government and the data reported in the recent CB report. There should be NO attempts made to pillory either the Government or the opposition in these BU papers.

    I’m certain that it will be a useful exercise if there is participation and that there are probably 10 or so regular BU posters that can contribute.

  35. I am only a Springer Girl (we celebrating 49 years this month), but why do I get this feeling each time the Gov. of the Central Bank opens his mouth that he is losing credibility more and more. He seems more to be speaking what he is told to. Is this the creature of which Sir Courtney spoke years ago.

    • Central Bank of Barbados : ISSUE OF $50,000,000 BARBADOS GOVERNMENT 6?% TREASURY NOTE 2020 ISSUE OF $100,000,000 BARBADOS GOVERNMENT 7.0% DEBENTURES 2027
      10/24/2013 | 07:02pm US/Eastern
      General Press Release ISSUE OF $50,000,000 BARBADOS GOVERNMENT 6?% TREASURY NOTE 2020



      Applications are invited on Monday, October 28, 2013 for subscription to this Treasury Note opening on Friday, November 01, 2013. The Treasury Note will be issued at par with a fixed interest rate of 6?% payable on April 30 and October 31 of each year. The interest due to Pensioners 60 years and over residing in Barbados will not be subject to withholding tax.

      Non-residents seeking tax exemption must satisfy the Commissioner of Inland Revenue of their status before exemption is granted. However, for all persons resident in the island, the interest from these Treasury Notes will be taxed separately from other income at a rate not exceeding 12½%. These Treasury Notes will be repayable at par on October 31, 2020. The issue will remain opened until the Central Bank advises that it has been fully subscribed.

      Prospectuses may be obtained from the Central Bank of Barbados, our website http://www.centralbank.org.bb, the Accountant General or any commercial bank. Application forms should be addressed to the Director, Banking, Currency & Investments Department, Central Bank of Barbados, Tom Adams Financial Centre, P.O. Box1016, Bridgetown.


      Applications are invited for subscription to this Debenture opening on Monday October 28, 2013 for issue Friday November 01, 2013. The Debenture will be issued at par with a fixed interest rate of 7.0% payable on April 30 and October 31 of each year. The interest due to Pensioners 60 year and over residing in Barbados will not be subject to withholding tax.

      Non-residents seeking tax exemption must satisfy the Commissioner of Inland Revenue of their status before exemption is granted. However, for all persons resident in the island, the interest from these Debentures will be taxed separately from other income at a rate not exceeding 12½%. These Debentures will be repayable at par on October 31, 2027. The issue will remain opened until the Central Bank advises that it has been fully subscribed.

      Prospectuses may be obtained from the Central Bank of Barbados, our website at http://www.centralbank.org.bb, the Accountant General’s office or any commercial bank. Application forms should be addressed to the Director, Banking, Currency & Investments Department, Central Bank of Barbados, Tom Adams Financial Centre, P.O. Box 1016, Bridgetown.

  36. Bushie said ……”The MOF is even more the animal of the PM than is the CBB governor, who can at least fall back to the statistics…..”

    Bushie do you mean that the PM should be the one to face the vote of no confidence? I totally agree with that! When you have a fool at the top making decisions like hiring the MOF what can we expect?

  37. David

    Each of the Prospectuses says “The Loan is being raised to assist with the financing of the Development Plan.

    What is the “Development Plan”

    Also, the two most recent daily cartoons in the Nation at http://www.nationnews.com are hilarious and spot on. The Outlook in the Central Bank Review was clearly written by someone looking through rose coloured glasses. “With an unduly cheerful, optimistic, or favorable view of things”

  38. Due Diligence,

    We are and have been stating that the methodologies informing the basis for measuring and accounting for the net international reserves of the government of Barbados are wholly flawed and absolutely fictitious.

    In an earlier post under this thread we suggested that there must really be a very clear distinction made between an imaginary stock of set aside foreign currencies held by or on the behalf of the government of Barbados in some local and foreign institutions, and the day to day transactional use by the relevant Barbadians and some particular non-Barbadians of foreign currencies here and abroad.

    Furthermore, sometime ago, in Barbados, the present Governor of the Central Bank of Barbados was reported in a section of the local news media as having made at one of the Central Banks’ media conferences a point which we have construed as this: that the government has this stock of foreign reserves available to it, that, whenever there is a shortfall between the foreign import numbers and the foreign export numbers, could be used by the bank and others to fill that shortfall between those numbers.

    Let us say too that he was also reported in that same news story at the same media conference as having made another point which we have construed as this: that it is out of those foreign remunerations that are made, that imports are paid for ( which is an egregious fallacy and untruth – for under the cost of use of money that we have evolved that is far from the truth), and that it is only when those foreign remunerations are declining that use is then made by the central monetary authorities of some of these so-called reserves to help make up for the shortfall (already stated in the point attributed to the Governor just above).

    Very importantly, therefore, what we are here now contending is that these two points that were reportedly made by the Governor are further evidence that the methodologies used for measuring and accounting for the so-called net international reserves of the government of Barbados are totally awry and in shambles.

    For, mere “declines” in export foreign remunerations/numbers CANNOT bring about any “declines” in the net international reserves of the government of Barbados at any stage, since, in cases of these, there was no use AT ALL, during the times of these “declines”, of the otherwise imagined stock of set aside foreign currency reserves of the government of Barbados.

    Too, any amount of foreign remuneration costs/numbers (in the context of imports) CANNOT be enough either to bring about any “declines” in the net international “reserves” position of the government of Barbados at any stage, when it is clear that they are in the main represented by the day to day transactional uses by the relevant persons of foreign currencies/numbers here or abroad. Surely, such actual transactional uses of foreign currencies/numbers, CANNOT be deemed by anyone as having been part of any reserves of the government of Barbados.

    Now, the fact that there are these kinds of considerations means that there has to be a clear understanding that much of what the government claims as the country’s own in terms of bonds and securities held by others on the international capital money markets are NOT reserves but are representative of payments due to the government – on the behalf of the people – at various times in the future when they become redeemable. Also, foreign capital located in the governments accounting books which represent the remunerations of foreign investors and which is available for their own uses cannot be claimed too as being part of any government of Barbados’ so-called foreign reserves. By including such potential payments, foreign capital numbers as part of these so-called foreign reserves, the government will be significantly overstating over inflating the levels of the so-called foreign reserves, which in the end – once these payments become used by it or once the foreign capital is used by the foreign investors in terms of its being falsely matched by their uses of local dollars here – the government will have to correct these numbers – especially when there is nothing to show physically service wise locally alongside such uses – by way of some false accounting methodology.

    So, the question must be that when there is a claim by the Bank that more than BDS $ 400 million has been NOT got for the 9 months period January to September 2013 ( when contrasted with the corresponding 9 months period last year), and that when there is the taking of the two above factors into consideration, as so outlined in the second paragraph above this one, it must mean that the operationalization of these two factors could not ever have been accounting for such a claimed but non-existent slide in the foreign reserves. So, what might have been accounting for such a projection of there being this “slide” – other than the fact that the government is wrongly claiming the receipts from the redemption of the type of bonds and securities mentioned above as “reserves”, (but which really cannot be deemed as reserves when used), and when too the monetary authorities ought not too to be giving these false impressions to many people in Barbados that these so-called foreign reserves are so much – in the billions of Barbados dollars, at one stage, say, in 2006/7, when already they would really have been over stated over inflated to a great extent? What perhaps? Especially when it is clear that Barbados has been driven by principally these wicked inept DLP and BLP governments into its sixth consecutive year of depression, with export remunerations consistently down ? What?

    Indeed, other than the government cooking the foreign currency “reserves” books? Indeed, there might really be a question that government is from time to time drawing down significantly from the said international bonds and securities market holdings, to help in its local administrations. These types of draw downs might also be made by the monetary authorities to be artificially reflected in the appropriate books.


  39. The PDC should be heard on the call in shows
    and discussions
    Proposals are worthwhile and forward thinking
    being impresed

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