Minister of Finance (MoF) Chris Sinckler has promised a press conference on Monday [27/10/2014] at 10AM. Given the anaemic performance of the Barbados economy over the last 6 years, AND what is projected in the near term, there is an air of doom and gloom that has understandably settled over Barbados.
One positive that may yet come from the MoF press conference is that he finds himself in a position to elucidate on the Central Bank Press Release Current Economic Performance for September 2014. At a time when clarity is required to ensure stakeholders in civil society are able to strategize for success there is continuing confusion if we are to judge by the statements coming from the heads of the Private Sector Association (PSA) and Barbados Chamber of Commerce (BCCI). It is an understatement to suggest confidence has been dwindling in the pronouncements of the Governor of the Central Bank. His most recent projection that the local economy will grow by 2% echoes a similar statement in January 2011, instead, Barbadians have witnessed economic decline.
The sudden cancellation of press conferences post delivery of Governor Worrell’s economic performance briefings has largely gone unchallenged by local media. What we had was a spirited response by the Nation newspaper to the decision to expel them from Central Bank press conferences to which the Governor and his Central Bank Board responded by cancelling press briefings altogether. The Governor has gotten the last laugh with local media receiving a black eye and by extension the public it is ethically setup to serve.
The vague Press Release delivered by the Central Bank of Barbados last week has created the opportunity for PROFESSIONAL journalists attending the MoF’s press conference tomorrow to probe. Alex Macdonald and Tracey Shuffler from the PSA and BCCI have started the ball rolling. If BU were present here are some questions we would demand HONEST answers from the MoF:
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On page 3 of the Central Bank Press Release mention is made that the fiscal deficit of $360 million has been financed largely by a reduction in Government deposits in the banking system in the amount of $235 million. The remainder was financed by the drawdown of the Government’s deposits at the Central Bank and the NIS. Has the government been utilizing sinking funds to finance government expenditure?
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The Central Bank Press Release makes mention of the tourism sector has begun a turnaround. Is it honest to represent that tourism has begun to turnaround on the basis of an 8% increase in the UK market YoY? To what extent has there been a positive correlation in spend from the UK market and tourist receipts? Was the increase driven by sustained marketing programs or one off events?
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Mention again is made in the flimsy Central Bank Release that foreign capital inflows ‘picked up’ – estimated at $399 million compared with $173 million last year. How much of foreign capital inflows was made up of foreign borrowing? Based on the vague Press Release the public is left to guess whether there was an increase in foreign direct investment and how much was any increase.
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Please comment on press reports the IMF has recommended a swath of new taxes as part of its tax reform recommendations.
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Do you agree that at a time when the country demands leadership in the economy the Governor’s report has only serve to obfuscate?
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And lastly Minister, what has become of the ‘concern’ made public by you in parliament that your life was threatened.
We have scratched the surface.
The blogmaster invites you to join the discussion.