RBC Chief Economist Reviews the Barbados Economy

“I think the most important number to watch right now is foreign reserves. Central Bank of Barbados (CBB) online data to February 2017 show that reserves declined by 29% year-over-year (y/y) to USD 329 million, which I estimate at roughly two months of imports. (2) that USD inflows raised from debt (from the development banks or otherwise) have to be repaid with even more USD over time, and the Barbados Government is already running a primary fiscal deficit. This means they are borrowing to pay interest on existing debt – and further debt will drive total debt servicing costs even higher (already 26% of total revenues), (3) that in light of chronically weaker USD inflows, borrowing more USD now, could make things worse in the medium-long term, (4) and finally, USD inflows for projects are largely temporary – they flow back out as materials and equipment are imported for the execution of the project.” – Marla Dukharan, Group Economist of RBC

Marla Dukharan has been criticised in the past by Minister Chris Sinckler regarding her analysis of the state of the Barbados economy. However, based on every economic indicator she has been proven to be correct. In light of her recent review of the economy many will want to contrast it with the first quarter economic review due from the Central Bank of Barbados. The review will be presented by the acting Governor of the Central Bank who was elevated to the job when DeLisle Worrell was fired by Minister Sinckler in a controversial affair that required intervention from the court.

Dukharan has expressed concerns about Barbados’ capacity to defend the peg of 2:1 with a monetary base of 2.34 billion and foreign reserves of 329 million as at February 2017 – a result of massive printing of money by the Central Bank of Barbados. She also mentioned the 74% holdings of government securities by NIS which exceeds the prudential limit of 54% and NIS target of 60%. The lack of transparency by this government of the NIS fund and the management by successive governments has been discussed many times in this forum.

The big economic challenges for Barbados are 1) reduce the public sector debt significantly and 2) earn foreign exchange to pay our bills. The government if it wants to win the next general election due in the next 12 months will be hard pressed to position the interest of the country above the goal of the party, FACT. The foreign exchange earnings projected from the sale of BNTCL and the Hyatt hotel are stuck in the pipeline because of litigation brought by David Comissiong and RUBIS respectively (it must be noted the BNTCL deal is pending FTC approval). Even if the two projects are released in quarter three or four, it is unrealistic to expect the economy to benefit in the current financial year from the Hyatt hotel deal given the time required to mobilize a project of that size. Marla Dukharan has echoed the view of local commentators that a significant percentage of the foreign inflows for the Hyatt project will have to be be expense in imports therefore the net benefit to the foreign exchange account will be a lot less than 100 million dollars.  The assumption BU is making is that the developer has sourced funding for the project from outside of Barbados. At the time of writing Barbadians have not been apprised about the financial arrangement by Vision Development Inc for the project.

Unfortunately Duhkaran has recommended that the Barbados government MUST find a way to reduce the deficit by 600 million dollars. The three areas that afford the opportunity to do so are wages, interest and transfers and subsidies. Further, that Barbados enters an IMF program, FACT!

Read the Marla Duhkaran’s INTERVIEW with Caribbean Strategic Research

228 thoughts on “RBC Chief Economist Reviews the Barbados Economy

  1. If election observers are not brought in, the election will be again be bought!

    But what is the sense of winning an election and you cannot manage the country?

    Everything in this country is on the skids………

    …………the hospital is in a mess, the poor workers are trying but it is tough
    …………the transport board is in a mess
    …………the education system is broken, schools are lacking supplies
    …………the roads are in a mess……..potholes galore
    …………the environment is in a mess
    …………garbage collection is still in a mess
    ………..the whole country is in a mess

    But all the dlp yardfowls want is to be the government but they do not have a clue how to govern……a skill that has eluded them since 2008.

  2. @Prodigal,

    Carson et al will reply (I repeat myself …):


    Hospitals? I fly to my private doctor in NYC or Miami.
    Transport? I have my Mercedes GLS.
    Education? My children go to Harvard, since I can afford 50,000 USD fees per year.
    Roads? My Mercedes has air cushions. And the private roads in my gated community are in top shape.
    Garbage? My gated community has private sanitation service.
    Country? Which country? I serve the highest bidder.
    Environment? No problem in my gated community. The golf course is in top shape.

  3. @Tron. Barbados foreign exchange peg is no different from The Bahamas or the Eastern Caribbean countries. Using the North Korea example wasn’t necessary. Trinidad operates a dirty floating regime. Not too free, and not too rigid.

  4. Tron

    I guess you are being sarcastic and facetious…………..however, sarcasm aside, for the majority of Barbadians having to endure poor conditions is reality in 2017.

    For you and I who can afford private doctors and send our children to overseas universities, life may still be rosy but to the parent who cannot feed their children properly and who has to watch in agony as their children finish school with good grades and cannot go to university, it is heart wrenching.

    I never want to hear a dem say again that they care for the poor…………sons of brutes!

  5. It is a pity that I have to intervene in this hysterical debate once more, but what we are commenting on is an interview Marla gave to a US-based publication.
    Where is her original research or am I missing something? What are her sources and methodology? What comes over to me are subjective views, which are no more legitimate than those expressed in this forum by trained and untrained economic commenters.
    The truth is that nature abhors a vacuum and since there is no local analyst worthy of the word, then this is filled by foreigners.
    But is she saying anything that is not said by any of the Bretton Woods organisations? What has the Opposition got to say about all this background noise?
    On the other hand, nonsense about Pricesmart borrowing money from Citi is just ignorance of how financial markets work. What is important is the rate at which Pricesmart has borrowed the money and what it is for.
    We have an idea that Pricesmart has credited the money to its Trinidad subsidiary, but that is only an internal accounting shift. It may well be using Trinidad to repay the loan – simply legitimately shifting money out of the country.
    I still say the response to Marla’s report has been exaggerated. What do our academic economists think?

  6. @Hal. The analysis was not a dissertation. All the information and data in her analysis can be obtained from the Central Bank, the statistic office, and the finance ministry.

    I am not one to be impressed or get overly excited when foreign sources comment, analyse or make prognosis about Barbados economy. In most cases they are not saying anything new…and this case is no different.

    • @fortyacresandamule

      And this is the point, just another analysis to support all of what has been stated by LOCALS. It serves to reinforce that is all. The fact that she works for an entity that has been doing business in the Caribbean space for over 100 years and that she is from the Caribbean makes Duhkaran’s view as relevant as the other.

  7. 40
    That is my point. But it seems as if you have to repeat yourself so every single person reading the contributions could make an assessment.
    The Marla hysteria is based on an interview she gave. What is the fuss about.
    What is more important is getting the central bank to publish its macro-economic model, as major central banks do; in this way some of us can model the central bank’s assumptions and policy simulations. Simple.
    This also relates to the bogus consensual arguments about foreign reserves since the model determines the ‘accuracy’ of the simulated shocks.
    I know that the central bank forecasting figures are – or have been – distorted. I will give an example: a few years ago I asked someone at the central bank for new build figures; he told me that the town and country planning department refused to send up to date figures to the bank. Remember the minister of finance, at the time prime minister Owen Arthur, was also the minister for the town and country planning.
    The central bank had to estimate new builds from new connections to the utilities (electricity, water, etc).
    It is important to remember that economics is not politics. While it is important to have a public discussion around the issues raised in this analysis, it is nevertheless technically irrelevant.

  8. @ Fractured BLP April 18, 2017 at 9:33 PM

    Are you sure it was Mottley who “was done and dusted” in 2013 or was it the man whom you subsequently begged to head your advisory council to save your sorry economic ass?

    Don’t you have any shame having to seek advice of the very man who you blame endlessly for destroying the economy and putting your administration in the current inextricable difficulties?

    Now here is a piece of advice to improve your foreign reserves. Why not go for the very low hanging fruit and implement the proposal to establish in duty-free shopping zone where customers will have to settle in foreign currencies preferably US$, Can $, £ sterling and Euros?

    Wasn’t this proposal tabled in the Budget of August 2016 by the same lazy lying MoF?

    What is he waiting for? For its regurgitation in the reports submitted by the committees announced by the PM with the civil servants earmarked to be blamed for its non-implementation?

  9. I remember many years ago being offered a better deal than 2 to 1 us because people wanted to have any currency other than biwi in case of devaluation. I wouldnt do it thinking he just wanted to see how much I had before he robbed me. Thinking about it now it could make sense, if people that have no access to US funds unlike taxi drivers, give a better rate to the tourist to get hard currency barbados becomes more affordable.

  10. Vincent Haynes April 18, 2017 at 5:17 PM #
    Gabriel April 18, 2017 at 3:47 PM #

    My understanding is that the private sector threatened Sandi with that……back then we had a strong Bimmers BS&T.

    Frustrated Businessman will have to say with all the non-Bim ownership if something like that is still possible.

    I suspect the only entity that can make the govt see sense is the coalition of unions by shutting the country down……no gain without pain.

    Exactly. Goddards are voting with their feet. Massey and McAl are looking for opportunities to benefit from other business suffering, not to make waves. Hoteliers are keeping a low profile and expatriating money.

    If the unions called a march for elections tomorrow and invited the private sector, we would join.

    Imagine the post-election possibilities with the unions and private sector working together rather than the atmosphere of animosity that Trotman perpetuated for decades for his own gain.

  11. I notice that we have overlooked the
    possibility that the business community
    could be hoarding US dollars.
    Also , it is a fact that the business
    community had refused to inject
    money in the economy, when they
    wanted Sandiford to go.
    Of course there are people in BU
    who put plenty licks in the collective
    black political class but never critically
    analyze the corporate class and how
    they have operated when they don’t get
    their way.
    Right now the country is under water but
    all the business people are expecting
    more and more from government.
    Hundreds of acres of land to be cultivated
    to increase food production and save forex.
    Do we hear any entity moving to invest
    in agriculture?
    The strategy is simple: Divide and rule the
    Black political class and lick up the
    workers unions, stagnate wages etc
    while the political cannibals eat each other.
    As for all the economists, in my humble
    opinion , all of them talk pretty and then
    advise to go to the IMF. Every time there
    is a crisis all they say is go to the IMF.
    Now we have toddlers who can barely talk
    saying: go to the IMF. My question is: After
    the IMF what?

  12. @ David

    I don’t see why Hal Austin has his “knickers in a twist” over Marla’s assessment of the Barbados economy. If you read the article you would have seen she made references to data from Central Bank reports, 2017-2018 Estimates of Revenue & Expenditure, IMF Article IV Consultations, Statistical Department, etc.

    Dukharan’s assessment reinforces assessments made by Dr. Mascoll, Jeremy Stephen, Ryan Straughn, Charlie Skeete, Stacia Howard, Michael Howard, Winston Moore and Dr. Delisle Worrell.

    I could agree with Austin that economists should develop new economic methodologies, rather than relying on the Keynesian and Neo-classical economic theories.

    In my opinion, Dukharan’s analysis is consistent with the neo-classical economists’ argument that high government expenditure has a negative impact on savings, which affects growth. A high government deficit leaves little for the private sector for investment and puts upward pressure on interest rates (crowding out).

    Despite government efforts at implementing economic policy to reduce the fiscal deficit, it has persisted in the economy and has adversely affected important macro-economic variables such as foreign exchange reserve.

  13. Artax,

    You are misquoting me. All I said was that the central bank should make public its methodologies.

  14. It is quite interesting that those who were calling for Dr. Delisle Worrell’s head for years, are now conveniently referencing him , in a positive light. This is why I stay clear of the BLPDLP apologists and sychophants because they always put party before country. I will bet anything that if Dr. Worrell was still the GOCB, they would be cussing him daily because they tried to promote him as a lackey and idiot who was in Sinkler’s pocket. They knew nothing of the man but for pure political reasons denigrated him for his entire tenure as GOCB. But now they believe he is of some help in their cause. The DLP did the same thing to Dr. Courtnay Blackman. These shameless opportunists and party hacks do more damage to national discourse and our country than anything or anybody else. I merely laugh when they pretend they are shedding tears for Barbados or the poor workers who get the boot at NHC or any government agency. I know that they will also go and employ “their” people and the same game plan takes place over and over. This is why I am begging the electorate to dump the Bees and Dees and ignore their collective crocodile tears.

    • @William

      Why do you persist in these generalizations? Worrell has attracted criticism because of his very questionable positions during his tenure. He has finally seen the light by commenting honestly about the state of the economy and paid the price. The governor is a creature of the MoF after all.

  15. @ William Skinner

    How long with people with choices generally put up with bullshit?

    When your wife is cussin’ you for getting home late and half drunk from cricket, what are your choices? Are you going to walk out or wait for the storm to pass? That would depend on the consequences of either, something that our gov’t and civil service functions without fear of.

    Why do you people not understand that in the free market we all have choices and consequences?

    Develop agricultural land after decades of agriculture demonisation and abuse from successive governments? Tens of thousands of acres in Bim can be rented for the BADMC rate of BDS$200 per acres per year. You go rent it, work it and show us how its done and suffer the consequences like everyone else has done for 40 years.

    Hoarding forex? Aren’t you? You would be an idiot not to, the Trinis who own Bim’s biggest retail corporations certainly are. If they didn’t their retail doors would close – consequences. Hotels have no choice either, nor restaurants. Their survival depends on it.

    All of Bim had a choice at the polls in 2013 and made the wrong one. All those idiots are still either not feeling the consequences, ignoring them or blaming someone else.

    The business community immediately saw the writing on the wall in 2013 and made our choices, as I have typed here dozens of times. We have continued to borrow to keep doors open and best employees. Those were the consequences of civil prudence and social conscience and the only possibility for coming out of this tunnel in any kind of functional form to rebuild this country – and make no mistake, rebuild from foundation is what will be needed.

    The DLP has NEVER been a business gov’t. We have all lived through this before. They have never understood that their ‘social programs’ require the tax income from our successes. They still don’t understand it. Too late now.

    There will be no economic recovery under Fumble’s autocratic, incompetent Fools.

  16. William,

    It is Bajan hysteria. People have a view even if they have no knowledge. They are even ‘experts’ on global affairs, even if they only read the Nation and Barbados Today for information.
    Otherwise they simply Google for their ‘knowledge’. Quite often they jump on bandwagons, even if they do not know the destination.
    The 1960s economic mumbo jumbo they debate daily is a god example. One has to suspend reality and pretend this is a serious debate, or just opt out. There sis no acceptance that the world of economic policy and education has moved on.
    We have had one senior economist writing in the Nation, admitting he did not know why we kept reserves to meet obligations over a set period. That is O level stuff.
    We have a minister of finance who regularly pass taxpayers money from poor people to the business class and there is never a debate – not in parliament, not in the community.
    We are genuflecting to the Chinese, and again there is no national debate about this dangerous connection.
    @ William, Worrell’s major fault was working under the leadership of Sinckler. It had to end in tears and did. That is why some Barbadians abroad will never accept appointments under certain governments and managers.

  17. Give big govt back to the people let them especially those in the upper tier of society living off govt spending on social programs free hospital and education pull their own weight Protect the most vulnerable take care of the basic needs water and transportation and infrastucture and housung for thr least vulnerable
    Govt attest that taxes collected are insufficient then govt needs to take head out of the sand and save money and stop pretending that the old model that help barbados to progress can be retrofitted and produce gains as evident presently it cannot.

  18. People questioned Dr. Delisle Worrell’s objectives during the initial years of his tenure as Governor of the Central Bank because of certain actions he undertook and statements he made.

    For example, Dr. Worrell was of the opinion that the Barbados Statistical Service’s unemployment statistics were incorrect and questioned the methodology used to compile those stats. He decided to use the Central Bank to compile his version of the stats, which were subsequently rejected by the IMF.

    Prior to his dismissal from the CBB, the former governor gave opinions on the Barbados economy that were consistent with those offered by the various local, regional and international economists, rating agencies, etc.

    How can an individual who is reasonable in his thinking, suggest that anyone who was critical of Dr. Worrell’s actions and subsequently “conveniently referencing him in a positive light,” is a “BLPDLP apologist and sycophant because they always put party before country?”

    Political rejects never cease to amaze me, especially those with “chips on their shoulders.”

    • @Artax

      There are many examples and BU defended him when he took that decision. You may recall he defended a SIS printing money when everyone warned against. It is a position he has moved away from and forced his sacking. Many other examples.

    • The issue many have questioned Worrell is allowing (or advising) the minimum interest rate to be removed. The result has seen interest rate falling to .1% offered by some banks. The travesty here is that it opened the door to duping Bajans to purchase government saving bonds for them an investment but for the government borrowing from citizens under a guise.

  19. @ Frustrated Businessman aka ‘Nation of Laws’ my ass.

    Who made millions upon millions from agriculture before it was abandoned? What did they do in terms of agro industries etc?
    Why did the traditional business class sell out to the Trinis?
    Have business people EVER made a profit?
    The BLP and DLP have been in govt for almost equal periods since independence. Can you tell me the periods that business suffered under them ?
    Was this suffering worse than the faces of the Black people you see in the press when they get the boot?
    Do you see them on the pages of the papers in dilapidated houses?
    Can you tell me the color of these people you see scrambling every day to make a living under the BLPDLP?
    Have the business people always treated workers properly and pay them good wages?
    How many plantations did BST manage and what did they do with them?
    When businesses are sold to the Trinis , are they sold at a profit? If so what is done with the profit?
    Are you proud to admit that business people are hoarding USA dollars and endangering the country?
    Do you think holding a government under the BLP or DLP is a patriotic undertaking?

  20. @ David

    Please share when Dr. Worrell was dishonest in his reports of the economy. In your world people only see the light when they agree with you, so most of the time we dwell in darkness. Show us the light oh great one !!

  21. Hal Austin April 19, 2017 at 7:49 AM #

    “There is no acceptance that the world of economic policy and education has moved on.”

    @ Hal Austin

    Excellent point!!!! I agree with your above comments.

    As I mentioned in a previous contribution re: “I could agree with Austin that economists should develop new economic methodologies, rather than relying on the Keynesian and Neo-classical economic theories.”

  22. Bill,

    This country has always been driven by business and industry, gov’t’s job is to facilitate it, earn from it in the form of taxation and provide the infrastructure and social services it can afford.

    When gov’t fails to do this, the entire country suffers. That suffering manifests itself in the faces of the most vulnerable first; no mystery there then. Simple as that.

    I suggest you take your communist racism down to parliament building and see if you can get a job with Fumble’s Fools. You are both on the same path to nowhere.

    If you genuinely have an interest in understanding basic small-island economics, take a summer job in a small rum shop or mini-mart owned by a self-taught Bajan businessman.

    He will likely be black, since 97% of us are, and will probably not notice the chip on your shoulder.

  23. Lawson, Forty!

    Just sorted out some files. And guess what happend: Found five invoices/offers in what currency for goods and services in Bim? In USD, not in BBD. I am sure that is no singularity.

    Besides that, the business zones for foreign currency (as promised last August) are dead. The Barbadian business sector shows no interest to work with two books for BBD and USD at the same time. Maybe Frustrated has more input on this topic …

  24. Hmmm….what is coming through on this post is….

    On the one hand a need to ban all foreigners for telling Bimmers what Bimmers already told them many times over.

    On the other hand a need to exterminate the last vestige of the progeny of the colonialist.

    Once these two issues have been resolved,Bim will automatically be transformed into a shining example of a progressive first world small black island economy……interesting.

  25. The last time every sensible Bajan checked , EVERYTHING is working!!!

    Just to name a few:

    The bus service is working
    The electricity service is working
    The Police service is working
    The Health service is working
    The educational system is working
    The Airport service is working
    The port service is working
    The Natural gas service is working
    The Welfare service is working
    The Judicial service is working
    The Banking service is working
    The Sanitation service is working
    The water service is working
    The telephone and internet service is working
    The commercial sector is working
    The hospitality sector is working
    The road network network is working
    The bias Bajan news media is working
    The customs and Immigration services are working
    The Central Bank is working
    The fuel distribution services are working
    The Fire service is working

    These are a Few of THE FACTS.

    I will let you all add the other working services and systems which all Bajans continue to use on a daily basis and for which Barbados continue to receive kudos from around the World.

  26. All thanks to the continual brilliance of the Democratic Labour Party Govt.

    And unlike the corrupt Barbados Labour Party the Govt. is making sure all services are working for the benefit of all citizens of this fair land. Not DLP supporters alone but everyone unlike the corrupt Barbados Labour Party who when in Govt. only look out for their wicked members and supporters.


    Which can not be hidden by the corrupt Barbados Labour Party no matter how hard they try.

  28. “The bus service is working.”

    First lie…no need to read the others.

  29. Tron April 18, 2017 at 11:22 PM

    Hospitals? I fly to my private doctor in NYC or Miami.
    Transport? I have my Mercedes GLS.
    Education? My children go to Harvard, since I can afford 50,000 USD fees per year.
    Roads? My Mercedes has air cushions. And the private roads in my gated community are in top shape.
    Garbage? My gated community has private sanitation service.
    Country? Which country? I serve the highest bidder.
    Environment? No problem in my gated community. The golf course is in top shape

    What is your point other than to try showing off to impress BLP idiots like your self?

    I had a friend just like you.
    he had to get an operation but QEH was not good enough for him, so he went to Hospital in Miami, next thing we received a phone saying he had died on the operating table. hahaha we had a good laugh.
    A Suzuki Forsa can go anywhere in Barbados just like a Mercedes
    UWI provides excellent tuition and their Degrees are accepted all over the World. My buddy has a UWI educated son is gainfully employed Sweden with his UWI Degree. So you seem to be wasting your money.
    Toyota Corollas in Barbados have excellent suspensions and the ride is superb can take anything Bajan roads throw at them. All with out the inflated price tag of the Mercedes.
    Garbage pickups on a weekly basis. In some areas such as mine on a twice weekly basis all without the costly price tag you have to pay.
    Barbados , one of the ten best destinations on Planet Earth.
    Around the corner from me we play a lovely game of football, cricket, basket ball, volley ball, on the playing field

    But remember this TRON idiot, you will die like the rest of us and you will be put into a six foot hole like the rest of us.

    You will not be able to take with you , your Mercedes GLS, Harvard, air cushions, gated community, Golf course or any other worldly positions. What a pity huh?

    Tron are vain.

  30. Lawson

    Chuckle……looks like you have decided to take over from Bushie,whilst he sulking due to the amount of licks he got…….have fun with your alt-facts.

  31. It is embarrassing to listen to Charles Herbert (head of the BPSA, a man we admire)chide the prime minister publicly for allowing the BPSA beat him to be the one updating the public on the outcome of the recent meeting between government and the private sector. Herbert went as far to admit publicly they urged the PM to issue a press release.

  32. @ David
    ” The travesty here is that it opened the door to duping Bajans to purchase government saving bonds for them an investment but for the government borrowing from citizens under a guise.”
    To dupe a fradulent or scheme or action; fraud, trick, deception,deceit, cheat, sham, racket……
    Guess that you have the evidence of that since you are the one who calls for transparency. You are saying that Dr. Worrell deliberately set out to trick Bajans.

  33. David

    That was my take as well….that he left the meeting with the PM and a select few from cabinet with the understanding that a press release of all the decisions taken would be aired,as well that they would be in the budget coming before the end of may.

    He has stated previously that he will give the PM time to undertake action and after a certain time has passed he will air the content of the reports and it would appear that the twine has popped and he will be revealing all at the private sector meeting.

    • @Vincent

      To Herbert’s credit the BPSA will have their meeting on Friday to brief members. Good to see the private sector waking up, finally.

      Also Dr.Clyde Mascoll’s contribution was an excellent one on the afternoon show today.

  34. The blp has been beating this reserves issue like a dead horse to no avail it has not helped them to win elections in the past and it would not help them in the future .what the blp should most be careful is how much of bad mouthing they project to outsiders about barbados .as bad as things are barbadians would not forget or forgive the blp at the polls
    It seems as if the blp has a seriui attachment to all things negative a morbid and debilitating disease that has caused the blp to lose the past elections

  35. MIA AMOR MOTTLEY wants election called now.

    MIA AMOR MOTTLEY don’t fool yourself, if elections were called today, your corrupt Barbados Labour Party would still be voted back onto the opposition benches.

    As a Min of Education you were a failure.
    As a Min. of Economic Affairs you were a failure.
    As an Attorney General you were a failure.

    You have no pedigree of success at any thing you have done. For the past 4 years you have offered nothing of any value to the people of Barbados as opposition Leader. Only DOOM AND GLOOM and DOOM AND GLOOM.


  36. We can see now that the govt has made their own decision on what to do or not do to carry the country to wherever that suits them.

    Presently we have Kellman attempting to laugh at the contribution that Mascoll just gave on the country’s situation.

  37. Carson,

    It is not my intention to ridicule Barbadian institutions.

    I simply described the lifestyle of Barbadian politicians and other members of the establishment I know. For example the big guy in his space grey BMW X5 MP 68.

  38. David April 19, 2017 at 1:05 PM #

    “Also Dr.Clyde Mascoll’s contribution was an excellent one on the afternoon show today.”

    @ David

    Yes, it was.

    As it relates to your other comment re: interest rates……… the following are examples of why the CBB relinquished control of determining interest:

    1) To facilitate the reduction of Barbados’ risk premium through intervention at the Treasury bill auction.

    2) To improve the attractiveness and encourage the purchase of bonds.

  39. @David April 19, 2017 at 1:02 PM #


    The Article in NATIONNEWS is nonsense. Nobody will be able to recover the government bonds by 100 %. We will get a haircut after next election. MAM already talked about “restructuring debts” in an interview two years ago. Surely, she does not want to “restructure” any foreign loan, but to cut the bonds of local taxpayers for a good reason: Nobody should rely on repayment on bonds in deep B- or C-territory.

    • @Tron

      MAM mentioned reprofiling as distinct from restructuring the debt. Should we be concerned about her use of language?

  40. @Artax and David

    After Dr Mascoll’s contribution, can you tell me why the idiot Kellman called in?

    What was his point? He had nothing to say……..he was pathetic. It seems as if his job is only a part time one and is this how he works for taxpayers money?

    • He called for the reason expressed here. The strategy of the DLP-and BLP -is to suffocate the media channels (social and traditional) as silly season approaches. Kellman could not venture close to the explanations given by Mascoll therefore he did what the DLP actors have perfected, resort to political poppycock arguments.

  41. Is this the SMR Kellman who when pressed on Brasstacks last week to declare his plans for providing housing in St.Lucy stated he had a comprehensive and sophisticated plan?When asked to elaborate on that plan he said it was a 3 pronged plan. When pressed again eloborate on his 3 pronge plan he said it was, North, South and East.

    And people why Barbados is in the state that it is?

  42. @ David
    I agree with you that the BLP and DLP
    strategy is to suffocate the social and
    traditional media. They have done an
    excellent job of that on BU. They take
    every serious discussion and turn it
    into BLPDLP theatre. Then they resort
    to innuendo and verbosity. This forum
    has been a real victim of these
    BLPDLP party hacks and they have
    succeeded to a great degree in
    undermining whatever you originally set
    out to achieve.
    As for Mascoll, he would not have been
    on the radio today spouting the same crap
    he has been for the last twelve years, if
    he had led the DLP to victory. Another
    opportunist, who is now waiting his turn to
    be GOCB. He also proved that there is
    no difference between the BLPDLP.

    • Here is some advice for you William. Be responsible for your comments. Let readers take away what they want. This is the real world where the good, bad and ugly compete.

  43. We have an example of two “politicians” who, for reasons known only to them, “crossed the floor” to join their political opponents.

    Both gentlemen were accepted with one being offered a ministry and other a “junior minister” pick.

    And a disgruntled individual known for ALSO USING “innuendo and verbosity,” as well as making “presumptuous assumptions,” characterized one as “brilliant” and the other an “opportunist,” when both men are guilty of the same sin.


  44. Yes Clyde Mascoll made an outstanding contribution today on Brasstacks.I support his call for a return to local government(definitely not the toothless,blatantly yardfowl constituency councils) to deal with parochial matters such as refuse collection,roads,degrassing,lighting poverty alleviation etc.Its is overdue as is the reduction in the insane number of ministries and permanent secretaries in government .Further, I agree the Senate should be abolished and a unicameral legislature be adopted.

  45. Chuckle…..these operatives must be given a large food for effort as they are definitely singing for their supper.

    Trouble is……who is listening…..hmmm…..better take back the plate.

  46. It is a fact that Worrell fudged unemployment numbers to make the DLP look in a better light.That is a fact.
    It is a fact that Worrell contributed to the poor monetary policy by continually carrying out the dictates of the fiscal policy of the MoF.The IMF actually commented on it.
    It is a fact that Worrell aided and abetted the govt of Stuart get around the unwillingness of the banking sector to further invest in junk bonds by allowing the banks to set their savings rate while he offered the carrot of a higher junk bond interest rate to the unsuspecting public.The banks saved millions upon millions by this sleight of hand crookery,Staurt continued on his merry borrowing to prop up the capital account and the foreign reserves continued to take a hit.
    It is a fact that Worrell acted most unprofessionally when he allowed his office to be used by 2 bit political nincompoops like Stuart,Sinckler, Quisling Boyce and Ince the man with the unbiblical chord.High wind know where old house is.Worrell is a public disgrace now.He has no shame.

  47. Democracy at work in the USA
    Bill O’Reilly has been forced out of Fox News by the several advertisers withdrawing their association with his notorious(some would call it famous)top dollar earning show The O’Reilly Factor.
    Bill forced himself of lots of women and Fox bailed him out while Ailes the chairman was doing the same.Ailes was hounded out and now Bill has been hounded out.The power of the female of the species.Don’t tangle with them.They can be dangerous to your health and your well being if you are so stupid to think the use of power is without consequences.Trump is next.He gotta be urinating his pants all like now.

  48. Wonder how many are DLP supporters that get flushed , quite noticeably most BLP operatives seems to have a safe sit on the BU round table

  49. That is understood.

    This is a Barbados Labour Party blog. The welcome mat is paced only for those BLP persons with comments that represent that party or vilify the Democratic Labour Party.

    All other comments are not welcome. Say something nice about the crooked Barbados Labour Party or say something nasty about the Democratic Labour Party or DAVID will flush your comments.

    That is understood.

  50. For those in the BLPDLP bankrupt camps. Here are some policies from the NDP’s Manifesto of 1991, approximately 26 years ago. This is what we presented to the public:
    • Culitivation of all agricultural land;
    • Diversification of the agricultural sector, on a scientifically determined basis having regard to soil characteristics, market opportunities and food security;
    • Creation of greater linkages among agriculture, fisheries and other sectors of the economy;
    • The attainment of self -sufficiency in the production of beef, pork, mutton, chicken and eggs;
    • Production of exotic fruits for the local and export markets;
    • Improvement of the efficiency of our fishing industry;
    • Expansion of the fishing industry to the point where Barbados becomes a significant exporter of fish;
    • Development of efficient marketing arrangements for fish and agricultural produce;
    • Further development of agro-industry

    And for those who only heard of local government today for the first time. On page 27(1991) of the NDP Manifesto it was presented:

    After identifying the weaknesses that still exist today after fifty years of the BLPDLP duopoly. The NDP Stated:
    “ An NDP Government would promote governmental reform aimed at making the Government
    More efficient, more participatory, more honest and more responsive to the needs of the people.
    Such reforms would include the introduction of a system of local government. The specific form of local government introduced would not be imposed by an NDP Government, but would be the result of an evolutionary process, guided by the needs and interests of various communities.
    On this page we also dealt with : integrity legislation ,increasing Parliamentarians pensionable age from 50 t0 age 65,introducing legislation to repeal the 1974 amendments to the constitution, instituting formal arrangements to the succession of Prime Minister, abolishing the Housing Allowance for the Prime Minister, whether or not he chooses to live at Illaro Court.

    Note : These ideas and this Manifesto came from a party that did not win a single seat in 1991. The tragedy is that the bankrupt BLPDLP had no vision for this country then and they are now, 27 years after, totally blind.
    I will continue to hope that the voters dump the BLPDLP !!

  51. wuh happen to ac and dont say ac is a double /David BU has entertained and allowed multiple handles from the blp operatives

  52. William,

    The sad political reality is that the Westminster model favours the two biggest parties in the given system. If a new third party gains 20 % of all votes and staunch DLP supporters stick to their party at the same time, the third party could even push the DLP to a third term.

  53. “wuh happen to ac…….???”

    The yardfowls “metamorphosed” from AC (bad) to Angela Sealy (worst)!!!!

  54. The President, Officers and Members of The Democratic Labour Party
    Invite you to our Launching of the ASTOR B. WATTS Lunchtime Lectures
    The Errol Barrow Gallery, DLP Headquarters, George Street, St. Michael
    Wednesday 19th April, 2017 – 3:00 p.m.

  55. @William re your 5:51 post. Did you read Cumberbatch on Sunday when he proclaimed in his own style – which I paraphrase here – that manifestos are the creations of fabulists and should be used by voters as compost wrappers for their gardens and absolutely never expect any promise to be fulfilled.

    I appreciate the NDP’s best intention but that reads like just so much jargon filled nothingness.

    • The attainment of self -sufficiency in the production of beef, pork, mutton, chicken and eggs;

    What exactly does that mean? A better, bigger abattoir or a new one. More pig farmers, a bigger Super Poultry or a Chickmount. Things in some guise that have been done since then of course.

    • Production of exotic fruits for the local and export markets;
    Again what exactly is that? What exotic new creations were you guys going to develop?

    • Improvement of the efficiency of our fishing industry;
    • Expansion of the fishing industry to the point where Barbados becomes a significant exporter of fish;
    • Development of efficient marketing arrangements for fish and agricultural produce;
    • Further development of agro-industry

    Ditto, ditto and ditto!

    Respect bro, but being simply frank there is nothing there that makes the NDP specially progressive.

    Maybe they were and would have been but unless you can assert that there were rather detailed binders with plans and what-if scenarios to flesh out these lovely ideas then they are nothing more than ‘par for the political course of manifesto writing’.

    And if there were such plans then you should be able to advise that the ideas were still developed via private investments and the like!!!

    And as Jeff said boldly not many of them are worth the time spent to read them!

  56. William
    …….and for those who only heard of local government today for the first time……you better haul……

  57. And here is more evidence that the BLPDLP hvae a long history of problems with GOCB

    APRIL, 1995: It began towards the end of his very first Budget presentation, when approaching midnight on what parliamentary sources said was the longest third-day sitting in memory, Arthur hinted broadly at firing then Governor of the Central Bank, Calvin Springer.
    It was also the first real glimpse the Barbadian public had of Arthur’s temper – which must have reached ballistic stage a few days earlier when he abruptly forced the cancellation of a Press conference by Springer to review the economy.
    “I am not into a witch-hunt,” an obviously angry Arthur said. “I want to see Barbadians employed, but I believe that my relationship with people must be a professional relationship, and I do not expect that if the Central Bank was telling me three months ago that growth was likely to be two per cent, that you would now come by way of
    a Press release days before the Budget, without discussing the implications of it with the Minister of Finance, and saying it’s dropping to one (per cent)”.
    He was also incensed that he had retained Central Bank directors appointed by the DLP; that he had asked the bank in March for submissions on Budget proposals but did not receive them; and that he had to learn from a Press release about measures which Thompson said were already in his possession.
    Albert Brandford Nation Newspaper.

  58. @ de pedantic Dribbler

    Your point is taken. While Elections are about winning, they should also be about ideas and not repeats of Crop Over !

    @ Gabriel
    Take it easy.

  59. David stop talking crap about throwing out people with differing opinion . fuh christ sake that is what made the blog popular.rather than defend yuhself yuh talk about throwing out people.shit man it is your blog no sweat off my rear end with yuh onsided view.i asked a simple question and yuh sound off like a bull in a china shop phewie

  60. What is the common thread is that the DLP tend to promote square pegs into round holes in the name of political payback.Was Springer not an accountant?What the heck does he know about economics.A Central Bank Governor is better off with a background in economics.Too often we have seen people misled by data because they cannot unravel what the true significance conveys.
    There is no way a present day DLP candidate would convince me other than that he/she is on a mission to buy a food and thief some money for 5 years minimum.

  61. carson said ” Carson C. Cadogan April 19, 2017 at 5:43 PM #

    That is understood.

    This is a Barbados Labour Party blog”

    So, just because your party, who are in current government, get some criticism, you label the blog.

    Was not so when the blog commenters were disagreeing with policies of the prior government, was it?

    I really do not get why those in power cannot take some disagreement. And just just Barbados. Russia, current in US, Venezuela, Turkey, none can take some criticism.

    What the heck is it?

    Or do we just accept the old adage that ‘power …’.

  62. David
    The few times I have been at St Mary I have never seen him in their choir.I have never associated him with that church.I think he hails from St Lucy and more likely associated with St Clement.

  63. I think Calvin Springer was a career
    civil servant, who served with distinction
    In government departments such as
    Accountant or Auditor General depts.
    He was therefore well versed in govt Finance
    He then joined the Central Bank and
    was a deputy governor before he was
    made GOCB. He certainly had a stellar
    career as a public servant .

  64. @C3’s 5.15pm post….glad to see not a shiite has changed in Bajan politics. GPII would do well to watch, and realise that apart from having a Bajan Passport and a heartbeat, you need to be able to talk nuff, in the vain of a preacher.
    Crank up the volume and listen to the party supporters in the background, sounds exactly like my Auntie Velda listening to the ray-dee-yah and the old time gutterperk/brasstacks.

  65. @WS
    tis known as the Peter Principle.
    Imagine if Gordon Greenidge was forced to open the bowling?

  66. @Carson

    The videos with Big Sinck are pure horror. Imagine the Sinck meeting foreign investors.

    Such videos are the reason why I presented the theory on BU that Barbados has a very long way to go to evolve into a developed country.

    • There is a level of bellicosity that shines through with this lot. No decorum. No sense of calm. Nothing inspirational.

  67. Gabriel April 19, 2017 at 4:42 PM #
    Yes Clyde Mascoll made an outstanding contribution today on Brasstacks.I support his call for a return to local government(definitely not the toothless,blatantly yardfowl constituency councils) to deal with parochial matters such as refuse collection,roads,degrassing,lighting poverty alleviation etc………………

    .Further, I agree the Senate should be abolished and a unicameral legislature be adopted.


    Because Bim needs more levels of civil servant and bureaucrat jobs to be filled by lackies?

    Barbados needs simple, lead from the front, management!

    These idiots took over the plantation and are filling their guts in the big house without any idea how to manage the estate while crops fail and buildings fall down around them.

    We don’t need more political pontification, we need the people elected to do the job to damned-well do it.

    The senate could work it it was depoliticised and given more authority over the civil service. That is what all podium-heads fear most, oversight with consequences.

  68. “Herbert went as far to admit publicly they urged the PM to issue a press release”.

    In fairness, didn’t the B’s have a similar session with the local illuminati prior to the D’s? Both likely ended in the same indecision…..they are ways to alter the public financial situation, and other measures, but neither Party wishes to offer them publicly, and risk getting tarnished with anything negative. (salary cuts, jobs cuts etc etc)

    If the PM issues a release, and subsequently adopts any of the measures, the story will be he is yielding to the business community, which in Bim is interpreted as ‘not in the public interest’.

    • @NO

      You are echoing the point made in this BU blog that the paramountcy of the DLP party will trump national priorities. It is the big flaw in our system.

      Do we expect an incumbent political party to rollout austerity measures in an election year?

  69. @ Tron
    Such videos are the reason why I presented the theory on BU that Barbados has a very long way to go to evolve into a developed country.
    Excellent theory…. it explains EVERYTHING.
    Yours is the absolute best explanation of brass bowlery in Bushie’s long search for its meaning and genesis…..

  70. FB

    These idiots took over the plantation and are filling their guts in the big house without any idea how to manage the estate while crops fail and buildings fall down around them.

    No disagreement with the above statement,except to add that the fields are burning as well with violin music in the background.

    How can we change it??

    Elections are due mid 2018….can the country survive that long??

    What will you and your colleauges do come Friday??


    It makes one chuckle
    Not to use the buckle
    On some of these non-conforming fools
    So uncool for they do not have the tools
    They could be a man and his wife
    And many others in this little life
    As they go around and condemning
    Whoever would give them a hearing

    We read about them every darn day
    And even hear the lies as they pray
    It is as if we are in a third world country
    Committing white collar crime and go free
    They fortified themselves with fat pensions
    Changing jobs with prestigious institutions
    Getting off plundering the towns and  the provinces
    Leaving taxpayers holding the bag in many instances

    Let me put it to you without any sugar coating
    Life can’t go on well for these so and so conniving
    Fools, they have to suffer and get the full punishment
    For karma comes back biting badly and really hell bent
    To see the results can even make me sad
    But these fool hardy fools maybe feel glad
    Forgetting don’t spend what you don’t earn
    This little lesson is what they never learn.

  72. Here is a question for the BU forum: why is it that despite the kleptomania, the thuggery, the numerous police states, and naked racism (neo-fascism), foreign direct investments are still flowing in to Latin America and not in the politically more stable Caribbean?
    Answers on a postage stamp, plse.

    • @Hal

      Without doing any research the answer will lie in the fact Latin America provides the opportunity for investment across sectors. In the Caribbean there is tourism and what else?

      FYI – S&P lowers T&T Long-term ratings to ‘BBB+’ on higher debt burden

  73. @HA
    Undeveloped=opportunity, relatively inexpensive labour, open to change, and larger populations

  74. David, you will come to a similar conclusion after the research as well.

    The Dom Rep. has long suffered under massive corruption and the other major ills cited by @Hal but investment funds going there yet far outpaces anything here simply because as you stated there is much greater scope.

    And of course tourism is a significant component of that economic spend. They welcome millions of tourists per year…we, hundreds of thousands.

    In Costa Rica there was a booming health tourism industry where many Americans would travel there for various cosmetic procedures principally and too other care and convalescence.

    There was also major interest in real estate and too in Panama by Americans.

    The others in Central America like El Salvador, Guatemala, Honduras, Nicargua and Ecuador are not as ‘attractive’ due to greater violence (and size) and in the latter two cases strong political disaffection towards the US but otherwise …as you continue on south to Chile, Argentina etc your base remark is absolutely correct.

    Of course Brazil stands alone. She is a behemoth and regardless of the worrisome issues she faces can’t really be compared to any of her neighbors realistically on the matters of investment and US interest.

    All that said means not much, however because for all practical purposes there is absolutely no comparative economic equation between the Caribbean and Lat Am. NONE.

  75. Incidentally, this matter of political stability is not what our grandparents told us it was! LOL.

    As long as investors are confident that they can repatriate their profits (or move them freely anyhow…to Bermuda or Sweden) and that they will not be rudely shocked by some nationalization screed from a socialist takeover they will go wherever the best opportunities are.

    The point simply, power brokers will make friends and invest in all types of politically unstable countries as long as business matters are copacetic.

    Brazil is freaking totally unstable politically…wasn’t their Pres impeached and then the successor almost impeached too…all for corruption!

  76. @David
    Is it the system itself or the reality of ‘party politics’. Many candidates will win or lose, not because of what they offer personally, but which party banner they are running under and who is the leader. You can change the system, but candidates will still congregate in groups.


    Barbados safest in region

    “”BARBADOS HAS BEEN ranked as the safest destination in the Caribbean by the World Economic Forum in the Travel & Tourism Competitiveness Report 2017.

    The island received a ranking of No.55 in the safety and security portion of the report coming in ahead of Trinidad and Tobago at No.115 and Jamaica at No.119.

    Finland was ranked as the safest country and Colombia the least safe at No.136.

    First compiled in 2007, the Travel & Tourism Competitiveness Index (TTCI) measures “the set of factors and policies that enable the sustainable development of the Travel & Tourism sector, which, in turn, contributes to the development and competitiveness of a country”.””

    Great governance of the country by the Democratic Labour Party ensures that Barbados is one of the safest places on Earth.

    However the crooked Barbados Labour Party and their supporters, including DAVID, WOULD HAVE THE WORLD BELIEVE THAT BARBADOS IS A DECAYING, CRUMBLING, HARSH place to live. Nothing could be further from the truth.

  78. Truthfully with all the negative postings on BU about barbados it is always a breathe of fresh air when something positive about barbados is posted on BU. Any how reading most of postings for the first time would be lead to belive that barbados is a living hell hole
    Thanks Carson for taking the initiative of posting articles that are intuitive to giving another view of beautiful barbados
    I know the blp yardfowls must be having belly hurt when you post them.Anyhow be careful as most likely David BU might dumped them as he has already alluded to do in a previous comment

  79. Tourists tour and leave,returning to their place of abode..Citizens live and have their being on this rock called Barbados 24/7.

  80. Yes Barbados is ranked No 55. In the 2013 report it was ranked No 32 and in the 2015 report no 44. (32-44-55)
    T&T was comparatively ranked 105-123-115, while Jamaica was 95-127-119. Thank goodness Barbados has ALWAYS ranked well ahead of both T&T and J’ca, and since T&T isn’t a noted tourist destination….who cares?
    Would you care to share the comparisons of Debt to GDP over the same time frame??

  81. There is a VERY SIMPLE reason why we CANNOT go to the IMF for assistance – even though it makes consulate sense with low loan rates and technical assistance.
    The damn IMF people’s mouths are just too big….

    They have this habit of writing things down in reports … and then making them available on line…

    That makes sense to wunna????!!
    Can you imagine all the ‘business’ of Four Seasons, CLICO, CAHILL, VECO etc published in a report on line…?
    Wunna can imagine listings of bribes paid; deposits on mommy’s account; cheques deposited in PM’s accounts; …of $3.3M unexplained transactions; …all appearing in PUBLIC reports?

    Wuh de dog would bound to dead!!!

    These IMF people are so ‘ingrunt’ then!! … that they just locked up a former IMF boss for FOUR years (in Spain)…. for misusing a company credit card… flying bout the world and living large…. a routine activity of big ups in Bim.

    Wuh …what wunna think they would do wid a black Bajan ..who miss and tek a bribe…?
    …especially fellas who tek cheques, ..marked notes, ..big rides and who made arrangements in writing, by email and by whatsapp…?

    No IMF fuh we…..

  82. Can someone from the Barbados press interview Marion Williams and ask her about her views on the 2008 global financial crisis, especially that it would not affect Barbados? Where do we get these public servants from?

Leave a comment, join the discussion.