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Behind every dark cloud is a silver lining.
Behind every dark cloud is a silver lining.

The respected Bloomberg posted the headline [13/12/2013]  Barbados Debt Higher Than Cyprus Prompts Firing of 3,000. The preamble to the article reads “Barbados will fire 3,000 public sector workers by March and freeze wages as the eastern Caribbean island’s debt burden soars and the International Monetary Fund says “urgent adjustments” are needed.”  BU recalls in 2010 the suggestion to government to consider freezing public sector wages was mooted. In fact Minister David Estwick was publicly rapped on the knuckles for making the suggestion. The late Prime Minister David Thompson addressed the matter of wage freeze in his first press conference in 2010 – see Prime Minister David Thompson’s First Press Conference in 2010.

Where we find ourselves, AGAIN will provoke the usual political cackle from participants in the diluted Westminster system of government  we practice. In fact, leading political scientists and pundits will rationalize the political cackle as NORMAL,  emanating from an adversarial system borrowed from a colonial past.  Despite years of investing i education we have given little thought to changing the system of governance which continues to be a polarising force in a 2×3 country given how irrelevant it has become.

The national discussion will now mirror the tenor of the 90s when another DLP administration took the decision to slash public sector wages by 8% and jettison 8,000 public sector employees. Lessons learned you think? ‘Go to the ant thou sluggard…’.

The BU household always focuses on the part of the issue which Barbadians feel uncomfortable. Perhaps it explains why traditional media and prominent people in society read and contribute to BU but with a hushed involvement. This is the hypocrisy which supports a mendicant culture which is no longer relevant in a today’s world. No more preferential treatment from the More Developed Countries (MDCs) and no more lack of competition from the Lesser Developed Countries (LDCs).

The sending home of 3,000 public sector workers is not the solution to the problems which confront Barbados, it is a manifestation of one of many symptoms which ail the nation.  If there is one issue where there is consensus, it is that our economy has some deep flaws which must be addressed. Even the head of government’s economic advisory council has publicly admitted this to be the case. It seems to BU this was a good place to have started the discussion regarding a strategic economic approach in 2008. Looking forward, where do we go from here full in recognition that there is no silver bullet?

The two party system in Barbados has clearly failed us in the last 20 years. ‘Go to the ant thou sluggard, consider its ways and be wise’. Greek mythology refers to the mighty phoenix being reborn from the ashes of its predecessor.  How will Barbados re-emerge from the economic and social morass it now finds itself?

As a country we have to admit that both parties have failed us in recent years. We need to spend some time evaluating the present system of governance; its strength and weaknesses. Arising from the exercise we need to chart a roadmap for governance over the next two to three years. We have the option to shuffle the chairs on the Titanic but it must be obvious to all at this stage the Titanic is sinking. The time has come to take our casualties to take our hits, and move to temporary haven. What the last 20 years has painfully exposed in the Sandiford period, and now Stuart, is that the destiny of our nation must be chartered out of a fuller ENGAGEMENT in the system by the PEOPLE. 

Barbados has done well in the post-Independence period, we have maintained a stable political system the envy of many. It is this level of maturity which has served us well in the last 40 years which Barbadians will turn to manage what promises to be the most challenging period since 1966. A good first step is for Prime Minister Fruendel Stuart to breathe confidence back into the economy by firing Minister Sinckler or perhaps the better option, to return to the people for a mandate. Surely the rapid deterioration in the economic fortune of Barbados post February 2013, including the flight of foreign exchange contrary to the Governor Delisle Worrell’s repeated assurances merit drastic intervention.

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188 responses to “Barbados Governance and Next Steps”


  1. “I think the credible spending cuts announced will go a long way in addressing the fiscal imbalance.”

    NOT EVEN A DROP IN THE BUCKET MY FRIEND IF YOU DO THE MATHS. WE NEED TO FIND CREDIBLE AND INNOVATIVE WAYS TO INCREASES OUR REVENUE BASE WITHOUT PLACING ALL THE BURDEN ON ONE SECTOR OF THE SOCIETY.


  2. David, implementation of the fiscal cuts as part of a credible consollidation programme will be a start. I think expenditure reduction is the area that the private sector was calling for. The key is implementation and that is why a frontloaded programme is more likely to work in the long term because it says that cuts will be made in the immediate future.

    This plan will work. In the short tem aggregate demand will be reduced and there will be fiscal drag but speedy implementation of capital projects and a decent winter season can mitigate.

    The other important thing is the other sectors which the government is seeking to diversify – cultural industries, alternative energy and diversification of source markets.

    The government will have to be determined, unified and committed to see this true. They will not have the support of the opposition and its operatives whose immediate goal is not fiscal restoration but regaing power.

    Barbados will rebound.


  3. “That s not PARTISAN, David, that is reality”
    THE REALITY IS WHAT DAVID SAYS. OUR SYSTEM OF GOVERNANCE IS AN ADVERSARIAL ONE . IT DOES NOT PROVIDE FOR THE OPPOSITION TO OFFER COMFORT TO AN ICOMPETENT ADMINISTRATION UNDER SOME FAIRY TALE NOTION THAT THE INTERESTS OFTHE COUNTRY SHOULD BE PARAMOUNT. IT PROVIDES FOR THE REMOVAL OF AN ADMINISTRATION IN FREE AND FAIR ELECTIONS BASED ON THE ACCEPTANCE BY THE ELECTORATE OF OPPOSITION CRITICISMS THAT THE GOVERNMENT IS DOING A BAD JOB. IT DOES NOT PROVIDE FOR PARTISAN IGNORANCE WHICH ABOUNDS WHERE AN ELECTOR SQUANDERS HIS/HER VOTE BY VOTING FOR A PARTY TO FORM THE GOVERNMENT EVEN THOUGH THE PARTY HAS DEMONSTRATWED INCOMPETENCE IN MANAGING THE AFFAIRS OF THE COUNTRY.


  4. @balance – Partisan Hogwash

    What specific spending cuts has the opposition offered?

    On the point about vote buying, if not for vote buying, the BLP would not have won St. Joseph or St. Michael South East in the last election.


  5. “They will not have the support of the opposition and its operatives whose immediate goal is not fiscal restoration but regaing power.”
    You sound like a cry baby, crying, wolf, wolf. Wasn’t the goal of the DLP to regain power in 2008 when the BLP was paraded up and down this country as a corrupt party with a corrupt leader who had squandered millions of taxpayers money and was in bed with the merchants which was responsible for the high cost of living? oh, come on man. We need to be serious at this juncture and remove our political blinkers. The out of control partisanship on both sides is what has turned out to be the Damocles sword over our necks and is more than anything else responsible for the position we find ourselves in today. It is folly to lay the blame on economics alone. The intelligentsia sold themselves on the altar of political expediency for crumbs like a board chairmanship, an accolade, false recognition, to be able to hobnob. Integrity went a begging. Independent thought was shunned and ignored and the messengers ostracised. THE PARTY OF LASKI’S DISCIPLES BECAME PARAMOUNT.

    Barbados will rebound.


  6. “Bajanfuhlife | December 15, 2013 at 8:43 AM |

    @balance – Partisan Hogwash

    What specific spending cuts has the opposition offered?

    On the point about vote buying, if not for vote buying, the BLP would not have won St. Joseph or St. Michael South East in the last election.”

    MY friend- continue to wallow in your ignorance. That is your inalienable choice.


  7. “The NUPW holds the fortunes of the Stuart administration future. The donkey ain’t kick yet.”
    The non-partisan or floating vote.


  8. balance
    NOT EVEN A DROP IN THE BUCKET MY FRIEND IF YOU DO THE MATHS. WE NEED TO FIND CREDIBLE AND INNOVATIVE WAYS TO INCREASES OUR REVENUE BASE WITHOUT PLACING ALL THE BURDEN ON ONE SECTOR OF THE SOCIETY.
    well said balance………wish that kind of visionary leadership was proposed years ago, and not now at the eleventh hour , to whom much is given much is expected.. and the blp had an abundance of both time and money, that is where the source of this problem lies much being given and ;little being returned, and the people loved it so they called it “confidence” a buzz word for selfishness ” in the meanwhile the heart of the country things that should maintain and secure the economic viability of a nation went unattended and unnoticed . it is only now that the well run dry they are complaining but when the roof was leaking and belly were fulls not a word, even if the BLP had won the govt .the fact is they would have to use austere measures in order to bring down the debt as previously under there administration the only real source of revenue was tourism and well enough to service our debt and at present as we all have witnessed that source has dried up and without having a real viable alternatives to turn to many that should have been put in place in past years the country is now what poor leadership can do to a country and feeling the economic pains due to lack of bad planning ,
    God bless barbados
    a nation in crisis
    this too shall pass…..


  9. AC !

    The truth of the matter is that dont care what state your DLP received the country in, the results would have been the same. The DLP cannot manage Barbados’s economy. The economic advisers that you ’employ’ have failed and failed and continue to fail because they use the same approach and expect to get better results. The DLP is simply not capable of running Barbados. There has to be fundamental change.

    It is possible that Donville Inisss represents the immediate future of the DLP and can usher in change . In the face of the DLP not going back to the polls, Donville Inniss needs to be elevated to a pivotal position, maybe Prime Minister and or Minister of Finance. Dr. David Estwick needs to be elevated to a pivotal position maybe Prime Minister and or Minister of Finance. Freundel Stuart needs to be kicked out of the Cabinet. Chris has to decide where he wants to go and what he wants to do.

    Therefore in addition to the sacking of workers and seeking to cut expenditure, there must be certain other cuts like the cutting of Freundel Stuart from Cabinet.
    Freundel Stuart should take full responsibility for the situation Barbados finds itself in at the moment and the lies and misleading statements he made to the country as ‘leader’ . Freundel Stuart should RESIGN NOW or be kicked out of Cabinet- In North Korea , a man was executed for less

    -Eager 11 !
    -Ready – Aim –Fire


  10. Does anyone understand debt trap and debt spiral? When Ryan Straughn and Michael Howard called for cuts in public expenditure how did this government respond? Applying the cuts NOW months after it would have made greater incremental difference is too much for yardies to understand. You are so blind defending crap polices, poor execution read budgets etc. This government is now anti private sector, anti permanent secretaries anti every one, when national consensus should have been the norm by now.


  11. .”………………..Mr Thompson ( see Mr Stuarts speech to the DLP annual conference), Mr Mascoll was hounded from the DLP to accommodate Mr Thompson’s re-invigorated ambitions.”

    THOMPSON should have stayed where he was at the time.That action that they took against Mascoll is now hurting the DLP and the country. Wicked people do wicked things that have repercussions way down the long line .

    Why do we allow this crap to happen to us ?
    Why are we putting up with the DLP though ?

    JUST ASKING


  12. ac | December 15, 2013 at 6:33 AM |
    when the smoke is cleared and the dust settled , the govt attempts in trying to clean a house that was handed to them by the blp would bear enough fruit that those who were displayed by the actions of govt a couple days ago will in time find meaningful jobs ,this govt

    AC
    AT WHAT COST ?
    AC
    What is the opportunity cost of these actions ??


  13. For what it is worth there is no government which sent home people in the thousands who was able to win an election after the action. BU is willing to be corrected. The incumbents need to make the next 4 years count on the personal front.


  14. it doesn’t matter at this point the dye was already cast years ago . with out proper planning . what ryan straughan is saying and other economist should not have to happen in the first place , PREVENTION IS THE BEST CURE , now all that is being said affects the poor and vulnerable ac is not looking at the NOW but how was this economic nightmare allowed to grow over the years and no economist was able to tell or propose all these great ideas that are given after the fact,we are where we are because of poor leadership over the years . that is a FACT,


  15. ac

    Take a little advice, take a pause and read some of the comments for a while. Your incoherence is an embarrassment. It is fine to defend a position but it must make sense.


  16. david is that your best defense,,,,,,,,,,,,,then i will not heed your advice.


  17. Day does run til night catch it. Night has officially caught up. The real result of the February election is now being seen.

    @balance
    excellent points in an otherwise partisan discourse

    @bushie
    solutions only work when conditions and circumstance are right. Your calls for better are paradoxical given the brass bowlery reality and the cyclic inevitability.

    @ac
    the more things change……

    @Alvin
    all that is needed for evil to prosper is for good men to do (and say) nothing. I trust you are a good man but I fear you can find comfort I evil’s prosperity.

    @miller and Caswell
    vindicated you have been. Deception requires intellect and competence to maintain the illusion. Sadly this bunch lacks immensely in the latter.

    @David
    your motto will soon hold greater weight than you ever imagined. The outliers will blink and force a tipping point in the battle of David and Goliath…eventually.

    fare thee well brave cyber soldier.

    Observing

  18. are-we-there-yet? Avatar

    Observing;

    Good to see you posting. Keep well!


  19. and guess what the battle field have already be put in place, just waiting for the opportune time and is if that time has approached with the imf proposal of the poor paying plenty while the rich stay back with their hands folded,


  20. Some people have no shame as such I shall pop my popcorn and observe. Bushie you are very dangerous and you are not fooling me.


  21. To start:
    – 60% Seaport
    – 60% Airport
    to Barbadians. Same owners – just direct ownership.


  22. @are we there yet
    Thank you! Never really left, just been trying to make sense of where we are as a country since February.

    Still Observing


  23. enuff,
    He voted for the same brass bowls (his favourite words). The Dems piss poor but he dont want them to go.

    There is a picture in today’s Sun of Sandi when the 8% cut was imposed on public workers, it is so ironic that sitting next to Sandi is Chris Sinckler.

    David, say nothing to ac, let her tie herself up in knots. Can you imagine that her party has now invited the IMF into the corridors of Bay Street to advise him what to do and she has the nerve to post that nonsense above.

    Ac, it is not Mia or David here who has invited the IMF here to make poor people poorer and the rich richer. It is your INEPT INCOMPETENT bunch of jokers. You all aint shame that just after celebrating 47 years of independence, you all inviting the white IMF to tell you all what to do? This DLP has embraced Jada, Innotech and Preconco giving them all the contracts while the poor contractors whom this DLP promised 40% of all government work cannot get a contract.

    ac, you have become a nuisance on BU. Join your buddy CCC! Lord he so shame he is gone into hiding or blogging under another moniker!


  24. Alvin…………don’t get a stroke over this, it’s not worth your health…


  25. Prodigal clown u call ac a nusiance have ui everv beg u breaad steuopse…….


  26. Interesting to read head of ICAB has echoed similar comment to BU. The cuts have come too late and we have the issue of falling forex to ponder.

  27. are-we-there-yet? Avatar
    are-we-there-yet?

    Enuff;
    Re. your 11.04 post.
    Yuh really don’t understand Bushtea.

    Bushtea has often said on BU that his main ambition is to operate a weed whacker for the BBE when he comes a calling. A weed whacker removes the weeds from the crop. It is likely that Brassbowls might be found to be the weeds in a BBE world.

    Bushtea wants the job of removing weeds. So go figure.


  28. @david
    our forex has never stopped decreasing throughout the “hold and wait” strategy. A blind man on a trotting horse could see that and it should have ALWAYS been a concern. The GoCB has a lot to answer for along wih the MoF and whoeever authorised the smoke and mirrors to gain a 2 seat majority ploy. Time longer than twine.

    Just obsqerving


  29. Are you guys ever able to discuss issues?


  30. @Observing

    Take it from BU that forex decline is a problem.


  31. This government has been on a collision course since 2008. Even in one’s personal finances, one cannot go on spending more money than one earns monthly and hope it will be alright.

    Since 2008, on an average this government has been collecting between 2.3 to 2.6 billion dollars yearly. They have been overspending by over 250 million each year, surprisingly in 2009/10 by 557 million and in 2010/11by a whopping 647 million. You really want to tell me that this inept incompetent bunch would not have known that this would be unsustainable? That was the recipe of the disaster they have us in now!

    If the DLP has any conscience, they would resign but we would have to assume that pigs do fly for that to happen! Liars and deceivers! Wild boys.

    Someone who has blogged as a permanent secretary said that the problem is that the DLP MP’s would not listen or take their advice, this squares with what I was hearing for years. This attitude from novices who, had not for the dead king would never ever have made it near the outside of parliament!

    Great going, DLP!


  32. @david
    I concur. It has been for the last 24 months consistently and these guys knew it. Asset sales and loans “slowed” it a bit but we were always going to reach this point unless some action was taken EARLY.

    I’m not sure which is worse…being deceived or realising conclusively that those in control are inadequate for the job atnhand.


  33. @Observing

    Correct, we did discuss the one off inflows from the EMERA and Republic deals. Commonsense should have dictated that this was not a sustainable position.


  34. Prodigal Son | December 15, 2013 at 1:36 PM |… Even in one’s personal finances, one cannot go on spending more money than one earns monthly and hope it will be alright.

    I see that you happen not to know any females that own a credit card..


  35. Equal Rights & Justice | December 14, 2013 at 10:43 AM |
    to know as ah government that ur revenues are in decline only to create post in the public service was the height of fiscal recklessness and to try to maintain it to win an election in 2013 by means of deception was pure madnesses ,then fa ah useless PM to sit on his ass and allow it to happen shows ah void of leadership ,i say how much more Barbados are u willing to take ? makes no sense talking bout the past ,it has come and it has gone ,deal wid now and the feature


  36. @Well Well, Miller, David, among others.
    First of all Well, I certainly will Not get a stroke..went to the doctor a few weeks ago blood pressure…126/60. thanks for your advice though. though. You see, my problem is with the hypocrisy of the BLP supporters. Henderson Bovell wrote a piece in which he made certain statements about foreign exchange leaving the island; 1.4 billion dollars. He said it with a degree of certainty that shows greater knowledge of the subject than one would expect from him and his limited knowledge. One should not forget his position (job) before the 2008 election. I have mentioned this seeming anomoly more than once, and asking for clarification. NONE of the BLP supporters ; not even David the blog master, has deigned to touch it. They have stubbornly refused to comment on it. WHY? There has to be more in the mortar than the pestle. I will look forward (with diminishing hope) to input from Miller, who MUST know about this issue. Crusoe will you comment? Or maybe someone else can inform and enlighten me.


  37. @Alvin

    Why don’t you keep it simple and address the sending home of 3000 government workers and the plummeting of the forex reserves to 500 million. Forget about the petty partisan politics for the times being. It is not about scoring political points. Follow BU’s lead and forget the need to attack what are obviously political partisan positions. What will it achieve? Do you have the capacity to do it? Doubt it.


  38. david seem to have reached a very low tolerance level with those who take opposing sides,,,,,,another bone of contention is along the lines of where these political pitbulls keep harping about the cuts came too late,these lot laci of compassion and gutless wonders can only relate to dollars and cents but lack absolutely no compassion for people who they see as a number and easy to be dispose of………well the cuts came exactly at the right time so designed not to cause unbearable harm and damage to the household….


  39. Yes ac, a very low tolerance for stupidity. Especially for those who are clueless about what is happening in Barbados and further commenters who believe attacking an anonymous moniker makes sense. If the cap fits you please wear it.


  40. @ac
    let’s say your child has a cough. You have the medicine but refuse to give it because it tastes bad and your child will dislike you. You hope that it gets better over time but it doesnt. You refuse to give pills because they are hard to swallow. You hope it gets better and give him orange juice everyday. He develops a severe respiratory problem, slips into a coma and suffers slight brain damage. Would you walk around saying “at least my child likes me and didn’t have to swallow those darn pills?

    Nice to be back by the way. Wink wink


  41. David | December 15, 2013 at 12:47 PM |
    Interesting to read head of ICAB has echoed similar comment to BU. The cuts have come too late and we have the issue of falling forex to ponder.
    ———–
    David, there is one huge elephant in the room. A ‘gorillaphant as the market vendor would say.

    Foreign reserves require = foreign investment and earnings from foreign sources.

    Now, given their track record, including the recent proclamations even a few months ago when the PM was claiming that things were *normal*, and the budget that was delivered in August that proved to be a release of incompetence, mistakes and idiocy, NO FOREIGN INVESTOR would now have the confidence in this government, to put money in here.
    (And forget Butch Stewart and Sandals, it is not his money refurbishing the hotels , it is taxpayers).

    THAT Sir, is the Gorillaphant in the room.

    So, we have the issue that confidence is needed for foreign investment. We have the fact that there is no confidence in the current government.

    The ONLY conclusion we can thus come to, is that this government, cannot thus fulfill the requirement for confidence to have foreign investment at this time or the near future.

    Thus as men of honour and seeking the best for Barbados, the members should resign and seek a new mandate from the citizens.

    THAT Sir is the only valid conclusion.


  42. @Crusoe

    Agreed and BU will be a stuck record on this matter. In the good years under Arthur tourism receipts PLUS foreign direct investment had to pay the bills. In the current climate we have contracting tourist receipts and negotiable FDI. The equation is simple to read.


  43. Not that simple observing this involves livelihoods and something more severe than a chest cold. the problem is one of balance and meeting the needs of both problems. one the debt and the other the concern of people. the question thencan be a moral and philosophical dilema for the govtNot an easy answer as you and others want to belive.with the question how does brining down the debt rub againstthe moral and social implications to society careful thought and consideration must be given to both situations.


  44. @Observing

    As usual insightful. The folly of hiring workers and borrowing people’s NIS monies. And we get political rhetoric to justify. Well now the IMF is saying it and the fact we have not been able to float bonds of late while others countries in the region gave no problem says it all.


  45. david not surprise at your tolerance level maybe in fact due to a lack of sleep……….lol


  46. @a
    cant we just admit that the government had a plan and it failed….three times. hence they are at the point of doing what they didnt want to and causing the same dislocation that they spent 2 years borrowing to avoid.

    And whats moral about announcing that you are sending home 3000 people for the new year, right before xmas?

    or philosophical about promoting societal values and good governance yet displaying unbelievable detachment and arrogance?

    We are in a mess. We need all hands on deck and a captain that can command the confidence of the crew and the steering of the ship. We wait for suvh a captain.

    just observing


  47. however there was a moral obligation to tell when such a decision was made.the immoral connection would not in telling until the last minute . these are people not just abunch of numbers . the govt the right time was NOW and not right in the midst of a golbal recessionand the govt was morally bound to help in everypossible way in preventing these people from having a life of misery starting 08 therefore avoiding placing blame forthe social and economic damage of these people squarely on the backs ofgovt.


  48. Observing “And whats moral about announcing that you are sending home 3000 people for the new year, right before xmas?”

    All Bajans especially civil servants should cut back on spending this Christmas except on food. Eat drink and be merry and leave the xboxes and big screen TV’s in the store.


  49. Alvin…..as i kept saying over the last year, the BLP had the same wait and see attitude that can be attributed to the DLP from as far back as 2005-6………..the wait, wait, is what caused the dog to die….then the DLP took over and started to wait, wait and see, see some more, now the dog has really died…..

  50. millertheanunnaki Avatar
    millertheanunnaki

    @ ac | December 15, 2013 at 5:36 PM |

    Anyone who can accommodate your bullshit, monotonous diatribe and downright lies has to be able to slay the giant called Morpheus. That is why your husband or wife has to be a vampire.

    We are really pissed off, if not surprised, at your fallaciously futile attempts to justify the DLP administration decision to announce the job cuts before Xmas.
    A decision forced upon them and which they had to publicly announce before the IMF officials arrived back in Washington.
    This was the Hobson’s choice ultimatum: ‘You cowboys either do what we say or else there will be no Credit Suisse Loan needed to meet foreign payments especially the large one due in January’.

    BTW ac, you are the one who accused bloggers of spreading false propaganda and lies about thousands of people laid off from the public sector. You even argued that you would die on the cross before you accept that the Lord God Fumble Stuart would agree to the public announcement of any layoffs before Xmas. Do you still hold fast to the view expressed in your contribution repeated below?
    “ac | December 10, 2013 at 10:26 AM |
    ..are we forgetting that these thousands of public workers are consumers a vital and necessary ingredient to the economy and that the exit of thousands would be devastating on the consumption of goods and services with an impact for more business closure.”

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