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Economy Faces Serious Macro Economic Challenges Says Governor Haynes

The fear of Barbadians who have followed the performance of the local economy for the last ten years had their fear confirmed by Governor Cleviston Haynes today when he delivered the Economic Review for the last quarter of 2017. After TWO terms the policies of the incumbent government continue to fail to jolt the economy…

“…Ultimately, the medium term growth performance will hinge on the performance of foreign exchange
driven activities...”

The fear of Barbadians who have followed the performance of the local economy for the last ten years had their fear confirmed by Governor Cleviston Haynes today when he delivered the Economic Review for the last quarter of 2017.

After TWO terms the policies of the incumbent government continue to fail to jolt the economy back on a sustainable growth path. Given the structure of the Barbados economy the one indicator that points to failed economic policies is the sinking foreign reserves. Governor Haynes confirmed that the foreign reserves have now reached a crisis level of 6 weeks import cover and continue on a downward trend. The IMF Article IV Consultation Report for 2017 also highlighted the falling reserves, ‘... current account balance continues to narrow but international reserves are falling‘ and the opening paragraph of the Central Bank Report, ‘During 2017, the Barbados economy continued to face significant macroeconomic challenges associated with declining international reserves, weak public finances and the need for the implementation of measures that create a platform for sustainable growth over the medium-term’.

Central Bank of Barbados Review of Barbados’ Economic Performance in 2017.pdf

To stoke concerns of Barbadians about the current economic state of the country, Economist and former minister of finance in Greece, Yanis Varoufakis cautioned local authorities that the Barbados economy is in need of an urgent fiscal adjustment- he recommended a reduction in the size of public sector, debt restructuring and a mild but significant devaluation with some type of inflation targeting. BU is not qualified to say if to devalue or not- clearly we need to address government spending, increase productivity in the country especially in the export sector, address debt servicing challenges and a dose of private sector investor confidence. How will a devaluation attack these systemic problems we have failed to effectively address in the last two decades?

The fear of the BU household is the certain knowledge of how an incompetent government commingled with a disengaged citizenry  will antithetically respond with a general election weeks away .

#JAs

127 responses to “Economy Faces Serious Macro Economic Challenges Says Governor Haynes”

  1. Pachamama Avatar
    Pachamama

    David

    We highly doubt couching our problems in these terms will be helpful.

    Those who so insist are unwittingly trying to solve the problems of the 21th century with 19th century methods.

    We mean the same Keynesian diatribes which have gotten here and have been failing for the last 30 years at least.

    We need to find a new language to approach an understanding of our problems, to start.

    It’s only through such an understanding that we will have the potential for then seeking solutions.

    As we stand right now there is not even any broad realization that we have new and bigger economic problems for which neo-liberal economic models have no answers.

    With all due respect to Yanis Varoufakis he did not have and does not now have any solutions for Greece. We are even unsure whether Varoufakis fully understands the problems of Greece. And Barbados has different kinds of problems and their severity may yet prove even more intractable.

    Admittedly, there maybe some commonalities but a straight line between Barbados and Greece is inadvisable.

  2. William Skinner Avatar
    William Skinner

    In simple language: You cannot produce a
    2018 model car on a 1918 production line.
    That is why after 20 plus downgrades the
    government is still functioning at some
    level ! Pacha is correct.

  3. Falernum Avatar
    Falernum

    Besides not efficiently capturing the US dollars that tourists spend, Bajans are among the most wasteful spenders in the Caribbean. If motor fuels and vehicles are the most important component of our import bill, government should TAX THEIR PRIVATE USE to curtail their extravagant use rather than punish the general citizenry. Furthermore, if productivity is low in Barbados why tax imports THAT CAN ONLY BE USED IN PRODUCTIVE OPERATIONS (tools, hardware, uncut fabric, food preparation ingredients, etc.} ??

  4. kamtanblog Avatar
    kamtanblog

    The Barbados 🇧🇧 dilemma ! Devil you do !

    With all its eggs 🍳 in one basket Barbados 🇧🇧 will sink ! Diversify and survive…

    Up market tourism way forward with fishing farming manufacturing in tandem Just an idea !

    Paradise revived !

    On Wed, 31 Jan 2018 at 23:33, Barbados Underground wrote:

    > David posted: ” The fear of Barbadians who have followed the performance > of the local economy for the last ten years had their fear confirmed by > Governor Cleviston Haynes today when he delivered the Economic Review for > the last quarter of 2017. After TWO terms the pol” >

  5. Well Well & Cut N' Paste At Your Service Avatar
    Well Well & Cut N’ Paste At Your Service

    “With all due respect to Yanis Varoufakis he did not have and does not now have any solutions for Greece. ”

    My sentiments exactly, and neither do the myriad economists , whatever those are, that the island is currently infested with.

    Has any of these unintelligent ministers thought of reaching out to Obama,, who managed to stabilize the US economy, a trillion dollar economy, you just need the economy stabilized, until growth can be attained and he might have some pointers, not that these clowns would listen anyway, they will ignore his advice and sink the island into further despair..

    ..and ..besides, this dying administration, even if a map was drawn for them, will still not know what to do.

  6. NorthernObserver Avatar
    NorthernObserver

    To use the GoCB term…the trajectory on most fronts have continued. Little new, few surprises (though I cannot figure out where the funds came from for the CB funding of Gov to drop that sharply)
    At +/- 36.10 of video 2 Q&A, is the reporter sticking his tongue out at the Governor?

  7. David Avatar
    David

    @Northern Observer

    Isn’t the drop correlated with the increase in cash reserve requirements for commercial banks?

  8. David Avatar
    David

    Here is an interesting comment extracted from the IMF Artcile IV Report.

    The current account deficit declined to 4.4 percent of GDP in 2016, about of half that in 2014, due to lower energy prices and a recovery in export earnings. Notwithstanding, NIR continued to decline with lower official and private capital inflows, to about US$275 million at end-September (1.6 months of imports). The current account deficit is projected to continue to narrow to 3.7 percent in 2017,

    If the IMF team is saying that lower energy prices contributed to the decline in the current account deficit and the forecast is for a continued downward trajectory- how are they factoring the creeping up of oil prices in recent months? Is there a government measure that is meant to offset rising oil price?

  9. Well Well & Cut N' Paste At Your Service Avatar
    Well Well & Cut N’ Paste At Your Service

    And the mantra gets tiresome.

    “THE CENTRAL BANK is warning that Government and Barbadians have to tighten their belts even more.
    …
    With the economy struggling to grow and the fiscal deficit and debt still major worries, Governor Cleviston Haynes yesterday said “we need to strengthen the adjustment effort to reduce the fiscal balance to a sustainable level, facilitate a reduction in the debt to GDP ratio over time, and engender the investor confidence required for promoting acceleration in economic activity over the medium term”.

    In other words, Haynes told the media during his 2017 review Press conference, that raising revenue through increased taxation would not suffice, so spending cuts were urgently needed.

    Government last introduced austerity measures, including an increase in the controversial National Social Responsibility Levy, in July 2017.”

  10. Well Well & Cut N' Paste At Your Service Avatar
    Well Well & Cut N’ Paste At Your Service

    That tangled web has teeth.

    “Don’t touch our pensions, warns Phillips
    Added by Colville Mounsey on January 31, 2018.

    The business centric political party Solutions Barbados is warning the Freundel Stuart administration not to “plunder our pensions” in a desperate bid to clear the island’s fiscal deficit and improve its foreign exchange reserves.

    The party’s leader Grenville Phillips II told Barbados TODAY alarm bells went off this morning when Governor of the Central Bank Cleviston Haynes said Government was considering pensions as part of the overall plan to resuscitate the stalled economy.

    “Based on the report the………”

  11. David Avatar
    David

    @Pacha

    What language are you talking about?

    We are a people addicted to a consumption behaviour and rail against a political directorate that find difficulty to deliver on this expectation.

  12. Fractured BLP Avatar
    Fractured BLP

    Our economic problems in Barbados 🇧🇧 are bound up in 2 women who presided over 2 QUESTIONABLE projects.

    • Liz Thompson a.k.a GREENLAND …… $ 700 million waste .. … Barbadian tax payers still saddled with that debt in 2018 .

    • Mia Mottley a.k.a DODDS.. $ 30 million annual debt for the next 20 years .. Barbadian tax payers still saddled with this debt in 2018 and many years to come

    Just imagine what this money could have been used for :

    Buy TB buses

    Buy SSA trucks

    Maintain the South Coast Sewage project

    Fix the potholes in the Roads

    Just imagine again , these 2 SCOUNDRELS want to get back in government !!!!

    Barbadians deserves BETTER ✅

  13. Peter Holder Avatar
    Peter Holder

    Well done Chris Sinckler, congratulations brother on being a resounding success as our Minister of Finance.

    ………….but at the end of the day it is Freundel Stuart who must be blamed for the economic state of Barbados. NO BALLS, NO VISION, NO COURAGE AND CERTAINLY NO LEADERSHIP.

    Talk about being a TOTAL FAILURE.

  14. David Avatar
    David

    How does one define failure if Stuart was elected by the people? We will judge if he is a failure after the next general election.

  15. Frustrated Businessman: Animal Farm sequel playing out in Bim. Avatar
    Frustrated Businessman: Animal Farm sequel playing out in Bim.

    David February 1, 2018 at 7:02 AM #
    How does one define failure if Stuart was elected by the people? We will judge if he is a failure after the next general election.

    …………………………………………………………..

    Further, how does someone seeking public office justify the effort?

    What is there to gain?

    Victory Ego? Popularity ego? Personal satisfaction from public service? Historical legacy? Teefin opportunities?

    Why would any one of the massive failures currently sitting on the cabinet want to be associated in any way with the mess they have made of this country?

    You would think they would want to call elections urgently to be rid of the guilt by association. They have been blaming others for their failures for nine years, why not just quit and do so again?

    Could all of them be so stupid as to think that, after 9 years of utter failure, they have a hope in Hell of turning Barbados around, despite the fact that it is clear no-one of any financial or management significance is even listening to them any more?

    These are issues we as voters need to consider carefully.

    There was never any chance of economic recovery under Fumble’s Fools.

    They still have no grasp of the problems, never mind the solutions.

  16. Bush Tea Avatar
    Bush Tea

    “Economy faces serious macro economic challenges.”
    ++++++++++++++++++++++++++++++++++++++++++++
    What a set of hopeless morons.

    This is just bullshit talk for “our ass IS ALREADY grass”, ….something Bushie was warning of back when the BLP were wasting time and money on CSME and co-education.
    Now everybody and their cousins are shouting about doom and gloom ….AFTER we are CLEARLY DEAD.

    The economy has been stamped to the death by the complete idiots in the DLP ….and the society has degenerated into a hopeless mess – where our school girls are now mostly a bunch of hooligans ….completely absent of any moral or spiritual compass.
    Forget the damn boys…..
    ….and shiite flows freely down main street.

    Then the Minister of Eddykashun has the gall to lament the extent to which Bajans CHOOSE to pay money to send their children to PRIVATE schools – when PUBLIC schools are free…

    What a wussy!!!

    We also lament why these children CHOOSE to pay ZR fares when bus fares are free….
    What a bunch of brass….

    Bushie should REALLY ‘let the dead bury their dead’, but the bushman has always been a bit of a brass bowl himself too…. so here goes….

    The patient is DEAD.
    There is little point is looking for doctors and medicines at this stage.
    Just call the damn undertaker and let us arrange the funeral of the late Barbados.

    The REAL issue now is in framing our NEW future.

    Do we continue to persist with resuscitation efforts on the dead body?
    Do we call a family meeting and strategise a NEW future?
    Do we review the underlying principles that drive our very being – and ensure that we have the BASICS right?

    …or do we like typical jackasses, just plow on doing the same shiite and expect that we will get better results?

    Will we continue to depend on politicians – especially lawyers (with or without a LEC) to determine our destinies?

    Is it enuff for some jackass to ‘win at the polls’ to be handed the keys to the national treasury?
    Would a businessman hand his bank accounts over to his most popular employee?

    Is it not OBVIOUS that we operate a shiite system?
    Anybody heard Jepter Ince in the senate yesterday…?
    …the man is Kellman’s intellectual brother.
    What a complete RH member of the upper house.

    Steupsssss!!!
    Will not a shiite system ALWAYS result in a lotta shiite – even on the streets?
    A people ALWAYS get exactly what they deserve,

  17. David Avatar
    David

    And with our public finances in a mess the NUPW is ramping up action regarding increases for public servants. This comment is not meant to ignore the fact this group has not received an increase, it is the dichotomy of it all that is disheartening.

  18. millertheanunnaki Avatar
    millertheanunnaki

    @ Fractured BLP February 1, 2018 at 6:35 AM

    Let us see how early we can put you to back behind the bars of the prison for nuisances.

    So it is just two fat ladies now are responsible for the debt left by the BLP for the DLP to pay for?

    Then why don’t you put the Greenland dump and the Dodds prisons to good use like the Barrack building?

    So if only these two ‘ladies’ are responsible for the debt ‘weighing down’ the Barbados economy how do you account for the national debt moving in 10 years from approx. $6 billion to the fast approaching $ 14 billion with CLICO payout just a comforting electoral promise to a set of fools?

    Where is OSA in all this; the now reformed ‘holy’ bandit who sold out Barbados to foreigners leaving a millstone of debt and corruption around the poor deceitful lying party yellowed neck?

    Broken Record, man stop with the blame game and go and fix the sewerage problem before the IMF arrives!

  19. millertheanunnaki Avatar
    millertheanunnaki

    @ David February 1, 2018 at 7:34 AM

    Bad optics by the NUPW.

    The leadership of this trade union needs to change its MO with respect to demanding a salary increase under the current administration. It would only playing into the DLP politicians’ hands by seeking a ‘hard-done-by’ kind of sympathy from the general public either in the private sector or among the large section of the unemployed or underemployed.
    Many Bajans already see the public sector workers mainly as a group of lazy so-and-so’s sponging off the taxpayers or, in EWB’s (in) famous analogy, “an army of occupation”.

    It has to stop itself from looking as if it is being controlled by the Opposition in the same way the Guv of the CB is portraying himself as the mouthpiece or attack dog of the Government.

    Why doesn’t he leave the pronouncement of political statements to his boss of whom he is a mere convenient creature to be used abused and then refused like his predecessor?

    Instead of telling the public sector workers that they cannot demand salary increases at this time given the deteriorating state of the economy he should have kept his mouth shut and leave that political stance out of his analysis the same way he was ‘muted’ when the political class returned their 10% despite public outcry.

    We have heard ad nauseam (since 2013 and before when OSA was a lad) about the ‘Need’ to restructure the SOE’s and other parasitic parastatal agencies in order to achieve fiscal discipline by reducing the exceedingly high level of transfers and subsidies.

    What we would want to hear from the politically exploited Guv is what makes up that $400 million in foreign reserves?

    How much of it is comprised of SDR’s (special drawing rights) with the IMF who will soon be replacing you as the government’s banker of last, first and only resort.

  20. Peter Holder Avatar
    Peter Holder

    David

    It’s is possible for a politician to be successful (by being elected) and at the same time being a failure (by being unable to lead and perform the role of PM). Comprehendo friendo?

  21. David Avatar
    David

    You missed the point.

  22. Let's Not Remember the FAILED DLP Avatar
    Let’s Not Remember the FAILED DLP

    clarify the point David

  23. Pachamama Avatar
    Pachamama

    David

    First we have to understand the new or different problems we face

    To understand that traditional techniques will never solve them because the very nature of economy has radically changed.

    We are surprised this has to be said after 10 successive years of failures. The neoliberal model and its concepts are not working. The theory does not even make sense when compared to what is really happening.

    Countries like Japan have already been through austerity since 1991. There are no answers there.

    We know with certainty that central banks have long much lost control of money supply. That CBs are at the end of their rope.

    Then, we have to develop a language to properly understand these new problems. That language cannot comprise the concepts of Keynesian economics.

    The language has to stop using meaningless measures such as GDP, growth, inflation, interest.

    Sometimes we seem to believe that the language to describe economy has been here for ever. Adam Smith wrote his ‘Wealth of Nations’ only in 1776. Keynes tried to humanize Smith’s brutality in the 1930’s.

    We could use another language which could include measures for national happiness, for example.

  24. millertheanunnaki Avatar
    millertheanunnaki

    @ Peter Holder February 1, 2018 at 8:25 AM

    Your point is well taken.
    The analogy is perfectly personified in the so-called leader poor Barbados has on its back like a sleeping gorilla called RIP Van Winkle.

    He has learnt the art of politics from a very good teacher in Cammie T.
    The many nights spent at his Master’s knees were not wasted like his long-time habit of verbal masturbation.

    A true leader, political or otherwise, is ‘generally’ more proactive and not always reactive when a problem gets out of hand 3 years after being informed of its existent with serious national ramifications like the South coast sewerage fiasco.

    How can a so-called leader (call him a politically–elected general) be deemed a success (Not a failure) when he is asking his troops in the army of occupation to hold strain and make sacrifices while his obese cabinet of political lieutenants are living high off the hog feeding from a lean Treasury.

    The return of that 10 % was not only an arrogant display political insensitivity by spitting in the faces of the well-intentioned concerned citizens but a ‘clearly’ rude revelation of the true colours of a cabinet full of dickheads whose only objective is to screw the taxpayers to hell and back.

  25. Pachamama Avatar
    Pachamama

    Bushie

    As soon as this new law is promulgated we are going to have you arrested.

    The system cannot have you mekkin laugh and sport at public officials like this.

    And killing innocent people with laughter, to boot

    Calling Kellman and Ince ‘intellectual brothers’ is beyond the pale. But mightily hilarious. We wished it was us that came up with that.

  26. Hants Avatar
    Hants

    Full marks to the GOCB for stating THE OBVIOUS.

    “Govt and Barbadians must cut spending, says ( Govenor of the Central Bank ) Haynes”

    http://www.nationnews.com/nationnews/news/125460/govt-barbadians-cut-spending-haynes

  27. David Avatar
    David

    Check it from the ‘system’ level, if the individual achieves the pass mark of 40 or 50 percent they are given the certificate. It doesn’t matter that the standard is low to compare with what is required to compete outside your market. If Fruendel is able to win by the electoral rules he wins and then what?

  28. Hants Avatar
    Hants

    The Dlp needs a spin doctor to convince Bajan voters that

    it ain’t de DLP fault dat de Sewerage plant ent get maintain propaly.

    it ain’t de DLP fault dat de dat de Transport board buses ent get maintain propaly.

    it ain’t de DLP fault dat de dat de Babadus dolla might be gine get devalue.

    it ain’t de DLP fault dat de dat dey mite got to go to de Eye M eff .

    it ain’t de DLP fault dat ……

    oh shite…I can’t tink ah nutten else rite now but I gine leff it to Bushie, Miller an Pacha cause

    dem brite as shite.

  29. Roverp Avatar
    Roverp

    The FX will continue to DIP with a TOURISM leakage rate of 74%

  30. Roverp Avatar
    Roverp

    All those DLP yardfowls need to read good books instead of only attending propaganda DLP meetings

  31. Roverp Avatar
    Roverp

    We need a NEW Tourism model!

  32. Bernard Codrington Avatar
    Bernard Codrington

    Pachamama at 8 :30 PM

    I agree with your analysis of the situation and the inappropriate tools that are used. It was indigenous for the compiler of the panel to include this economist whose policy worsened the situation for Greece.

    Greece has not yet recovered.

  33. Hal Austin Avatar
    Hal Austin

    Bernard Codrington February 1, 2018 at 12:01 PM #

    He was sacked because she opposed the troika. His policies did not worsen the situation.

  34. Hal Austin Avatar
    Hal Austin

    he

  35. DLP (formerly CBC) Radio & TV Avatar
    DLP (formerly CBC) Radio & TV

    @Milller just ignore the nuisance that is fracturedDLP…..DEM in office for 10 years and got the country where it was in 1991 (when the DLP was also in office)…The people of Barbados tired of the talk the DLP throwing at us…..blaming everybody else but themselves…TIME FOR TALK DUN….all de Medium Term, Long Term, Short Term, 18 month temporary “tax implementations that going into 8 years” have FAILED…. we are through with the DLP. The DEMS has FAILED to handle the economy, a big Z- on their examination paper.Who else and what else DEM gine blame……who are they going to blame the printing of money on!!!!, who are they going to blame for the foreign reserves declining fro US$1B….to now US$200m in 10 years!!!!…what rational argument can they bring to the people of Barbados that they deserve another term….the DEMS running on fumes..cant even afford to keep their propaganda radio show DLP Talk (aka Talk yuh Talk) on de air!!!…Call the elections now….one way or another Barbados in trouble as it is….we at the precipice and we cant help ourselves not to fall over!!!!

  36. Talking Loud Saying Nothing Avatar
    Talking Loud Saying Nothing

    @ Hal,

    Off message

    This text message is doing the rounds.

    Tropical / Jamaica Sun Update!!
    Well, well, it seems Tropical Sun / Jamaica Sun have gone to great lengths to obtain that ‘black pound’. Over the last couple of months they’ve moved their company from Finchley North London to………’The home of black people’ – Brixton. They have also changed the main director to someone with a very Caribbean name. Let’s be clear, this is just a step to obtain the black pound, by having a black face for the company.  Tropical Sun / Jamaica Sun was and still is an Asian company but now with a black face  – I can’t wait to see the advertising campaign that will follow. Keep the boycott going of Tropical Sun / Jamaica Sun people, it’s having an impact. ONLY BUY Grace, Dunns River or Walkerswood or those well established from the Caribbean.

    Additionally they have gone to great lengths to stop the airing of their derogative comments about black people & the bad press regarding their products on YouTube. Can you believe on their website, they are trying to blame consumers about the bugs found in their products – blaming it on consumer storage rather than themselves. So many consumers can’t be wrong Tropical Sun!

    We can not allow another race to copy the product line of well established black food products and dominate the distribution and selling of our foods. If so, we open ourselves up to many future problems, as this company has already displayed their thoughts about our race.

    This company and others alike, only want our money; have no regard for us and fail to invest back into our communities. They are going to great lengths to get our money because they know once we are dupped, their families will be wealthy for generations (think Pak hair shops ). We need to be smart with our spending – supporting our own to have a strong community impact just like many other  communities do. Companies like Tropical Sun will go to great lengths to get our money but will not employ our people. We need to also go to great lengths to understand the long term  impact of buying black for our own HEALTH and community WEALTH. Stay AWAKE people! Have a great day
    . SHARE for others to be AWARE

  37. Hal Austin Avatar
    Hal Austin

    Talking Loud Saying Nothing February 1, 2018 at 1:36 PM #

    They have moved back to Brixton. We must boycott them. Not off message at all. The pond and how you spend it is very important.

  38. NorthernObserver Avatar
    NorthernObserver

    ‘Isn’t the drop correlated with the increase in cash reserve requirements for commercial banks?’ Yes. and potentially the collection of aged balances and a host of other potentials.
    The GoCB also alluded there is ‘more room’ (5%) in this area, referencing history.

  39. Fractured BLP Avatar
    Fractured BLP

    Miller

    You have big problem on your hands !

    Debt owed must be paid .

    Liz run up Greenland debt .

    Mia run up Dodds debt .

    As to the Dodds debt ……Owen Seymour Arthur was careful to tell Barbadians he was not at Cabinet the day the Dodds prison deal was made !

    Mia Mottley knows full well why money 💰 about that Dodds prison deal had to be ” RETURNED ” to the Government and people of Barbados 🇧🇧 !

    But you keep up your huffing & puffing !!!

    The truth will be out soon …….

  40. Let's Not Remember the FAILED DLP Avatar
    Let’s Not Remember the FAILED DLP

    Fractured BLP

    Don’t mind Owen with that nonsense, that is a old political trick of taking money and getting someone else to take the blame. You know how long it take for a matter to get on the Cabinet Agenda? Sometime months and most often weeks, so Owen knew about it. Also even if a PM is out of the Jurisdiction the Cabinet Secretary requires his approval of the Cabinet Agenda(s) for the period while he is away.

    Also but more importantly why didn’t Owen bring the matter on the Cabinet Agenda once back in the island and reverse the decision of it was one he didn’t like?

    Also, was Owen at Cabinet the week the Cabinet agreed on the negotiating committee for the Dodds prison project and when it made his good friend, Darcy Boyce its Chairman?

  41. Fractured BLP Avatar
    Fractured BLP

    Let’s not remember

    The public can only go with OSA words … until other evidence is provided.

    But as it now stands there is a REASON why OSA has sought to distance himself from that DODDS issue .

    There is also good REASON why MAM took PM Stuart bait on the DODDS prison deal .

    MAM alone knows what went down…

  42. millertheanunnaki Avatar
    millertheanunnaki

    @ Let’s Not Remember the FAILED DLP February 1, 2018 at 3:58 PM
    “Also, was Owen at Cabinet the week the Cabinet agreed on the negotiating committee for the Dodds prison project and when it made his good friend, Darcy Boyce its Chairman?”

    You mean the turncoat “friend” called the Quisling who stabbed the same OSA in his electoral back by leaking Cabinet ‘secrets’ to David Thompson the same way (in true Karma style) ‘secrets’ are being passed to the current LoO.

    OSA should be ashamed of himself after pleading Mea Culpa previously for everything that happened during his 14 year administration.

    What a waste of a ‘good’ memory of a man who claimed he did so much for Barbados he loves so loyally!

    OSA’s exercise in self-exorcism seems to have floundered on the demonic rocks vindictiveness:

    But as a social philosopher once wrote:

    “Men are not punished for their sins, but by them.” ~Elbert Hubbard.

  43. Enuff Avatar
    Enuff

    I would like to know who had to pay the debt inherited from the DLP in 1994? Fractured and company behave like government debt started in Barbados with the election of the BLP in 1994. #prstuntisover

  44. millertheanunnaki Avatar
    millertheanunnaki

    @ Fractured BLP February 1, 2018 at 3:33 PM #
    “You have big problem on your hands !
    Debt owed must be paid .”

    We think you have used the ‘wrong’ personal pronoun there, Fractured!
    Shouldn’t it be “We”?

    We know you have a little difficulty with your ‘adding-up’ as you are still adamant that 6+7-6= 13; but even Hal knows the difference between ‘singular’ ‘you’ and the royal ‘WE’.

    Aren’t you doggedly that cocksure anymore that you will be returning to office (either by hook or crook, fair or foul means) when your King Fumble Stuart rings the bell?

    Aren’t you still that blindingly certain about a DLP victory (made more possible by a planned Don Johnson electoral sleight of hand)?

    Is the black cat still chasing down a two-foot rat and watched by three blind mice in a dark room of a Cabinet painted black?

  45. Artax Avatar
    Artax

    Fcuktured BLP

    I am not disputing Greenland Landfill was a terrible idea………but any sensible individual (well, not you of course) that reads the Central Bank reports would know the debt associated with Greenland and Dodds prison were included in the CB’s debt statistics since 2005/2006.

    And to come at this time stating those two projects are responsible for the Barbados’ dire economic situation, is rhetorical political diatribe…….especially when one considers your inept DLP administration tripled the debt during their first term in office.

    Are you suggesting that, rather than buy SSA trucks or TB buses, the former BLP administration took $30M out of the consolidated fund to build Dodds prison?

    ………or, rather than borrow $30M to build Dodds they should have borrowed money to purchase the trucks and buses….

    Bearing in mind a loan of $30M will take a number of years to repay and most likely the repayments would not be significant……..are you suggesting the loan payments per annum/month are enough to purchase buses and trucks?

  46. millertheanunnaki Avatar
    millertheanunnaki

    @ Enuff February 1, 2018 at 4:50 PM

    “We” would like to see the Dodds prisons ‘Privatized’ to stop it being treated as a political football. That should save future outflows of foreign exchange which seems to be the DLP’s biggest bugbear.

    Mark Maloney, are you interested in this one? You can use it a ready-made source of free labour.

    PS: Have you noticed that the DLP is avoiding (dodging like the shite on the South coast) the long outstanding income tax refunds which were being stuffed in envelopes since 2015.
    Now who will be paying these debts other than the same taxpayers?

  47. Frank Forde Avatar
    Frank Forde

    An article that appeared in the Daily Nation, Monday, November 20, 2017 under the heading,Caribbean in a state of drift made interesting reading as it brought to the attention of the readers that most Barbadians seem not to be aware of that there are many poor people living in the Caribbean who did not pay taxes, yet participated in elections. This has a major impact on Government’s policy as politicians must take into account the wishes of this group although their wishes are self interest and not in the interest of the country as a whole. As a result, as Professor David Hinds argued that the Caribbean region is entering a period of decline where there is no longer the public scholar who speaks on behalf of the majority of people. He felt that in the modern Caribbean everyone was looking out for himself or herself. In my opinion, because of the large number of poor people voting in all of the Caribbean countries politicians have to take care of local issues and as result have become local government politicians and not politicians who have the ability to move the countries into the international stage.
    It is to be noted that when problems arise in Barbados, instead of dealing with the problems Barbadians are known to either blame others for the problems or to say that other countries have the same problems. ( CCJ, SEWAGE, FISCAL DEFICIT, FOREIGN RESERVE etc.
    Now we have a major fiscal deficit and our foreign reserves are low. Instead of our making a meaningful contribution to the matter at hand those expressing their views are all about the place with their contributions.
    My contribution to the issue is as follows-
    In 2007, 39% of the individual taxpayers accounted for 100% of the revenue from individuals. Since 2007 there has been a reduction of contributions as a result of the loss of employment in the offshore sector.
    For the last 3 years the Barbados Revenue Authority has not paid out any refunds and these refunds can run into tens of millions. But what bothers me is that no refunds certificates were available, the reason is that certificates would put more debt on the books.
    People who supplied goods and services to government are owed millions.
    If these are brought to account they will have a major impact on the fiscal deficit.
    Another point I want to raise is the sale of Government assets say for example the Hilton Hotel. As I understand the issue, any sale price of the assets must be compared with annual revenue forgone. Any sale of an asset must take into account future revenue streams. For example, in the case of the BNB to the republic there was not only a continuation of corporation tax payable but the tax payable is infinite. In this case the Government receive the sale price and also taxes over the years which have exceeded the sale price. In the case of the sale of the Hilton Hotel there will be no future revenue stream as there would loss of rental income that is payable at present and there would be no corporation tax as hotels are exempt.

  48. Artax Avatar
    Artax

    Our economic problems in Barbados are bound up in 2 women who presided over 2 QUESTIONABLE projects.
    ++++++++++++++

    Thanks for the information………

    ……….and here I was…… believing ten years of economic policies that have all FAILED to ACHIEVE the desired objectives….and 23 credit rating downgrades had something to do with it.

    Ah well……….I guess I was wrong.

  49. Hal Austin Avatar
    Hal Austin

    Frank Forde February 1, 2018 at 5:13 PM #

    …As a result, as Professor David Hinds argued that the Caribbean region is entering a period of decline where there is no longer the public scholar who speaks on behalf of the majority of people…….(Quote)

    Look no further than BU, a nation over its head in debt, mortgaged out by this government to the Chinese, an attorney general that is not only out of his debt, but is fast introducing a police state in Barbados, a prime minister who was a former attorney general who does not seem to care, the Leader of the official Opposition, also a former attorney general, again who has chosen to remain silent, school children stabbing each other on buses, a senior magistrate clearly in need of counselling……yet with all these and more, all you can get on BU are vulgarities, semi-literate party propaganda as the general election approaches.
    The people have been betrayed.

  50. Wily Coyote Avatar
    Wily Coyote

    @ “NorthernObserver February 1, 2018 at 3:23 PM #

    ‘Isn’t the drop correlated with the increase in cash reserve requirements for commercial banks?’”

    The question is how long will the Commercial Banks(Mainly Canadian) continue to finance the Government of Barbados. These same banks are presently holding sufficient government paper to put Barbados into Sovereign FAILURE if they cashed out. Barbados Government will soon realize that the Canadian Banks are in FULL CONTROL of the countries destiny.

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