IMF Program Unpacked – Our Way of Life Will Change, FOREVER


30. Over the last decade, Barbados economy has experienced very low growth, and fiscal and external imbalances have gradually led to an unsustainable situation, with very high debt, and very low reserves. These challenges must be addressed by a combination of fiscal consolidation, measures to boost growth, and debt restructuring. The authorities’ Economic Reform and Transformation program seeks to address these long- standing structural imbalances and implement an aggressive front-loaded and comprehensive reform agenda – extracted from p.18 of the IMF Report 2018


The 77 page IMF package detailing the REQUEST FOR AN EXTENDED ARRANGEMENT UNDER THE EXTENDED FUND FACILITY; STAFF REPORT; STAFF SUPPLEMENT; AND STATEMENT BY THE EXECUTIVE DIRECTOR FOR BARBADOS was posted to the International Monetary Fund website on October 4, 2018. It is no surprise the traditional media has not seen the value in unpacking the details of the arrangement secreted in the voluminous and technically worded documents.

What has been widely communicated is that in record time the new Mottley government has been able to secure the approval of SDR 208 million or USD290 million. The government’s PR has been quick to point out that the draw down from the IMF represents 220% of Barbados’ IMF quota and is a ‘homegrown’ program.

Key elements of the program are:

  1. Fiscal adjustment: increase primary surplus to achieve 6% by 2019/20
  2. Reform state owned enterprises (SOEs): reduce transfers to SOEs by 2%
  3. Structural reforms to support growth: improve business facilitation
  4. Debt restructuring: debt is deemed unsustainable and government has aggressively moved to administer ‘haircuts’ to bond holders

In the background section of the document (p.7) the IMF delivers a negative synopsis of the performance of the Barbados economy post the 2008 global financial crisis. One of the program objectives of interest to the blogmaster is item 8, p.9: “Increased investment demand can restore growth and increase its potential. Restored credibility in the macroeconomic framework is expected to increase investment. Higher net FDI inflows will contribute to improving the stock of capital and, through this channel, actual and potential growth could reach close to 2 percent by the end of the program“.


Other key deliverables of the IMF program:

  • Fiscal discipline will help address external imbalances and rebuild international reserves.
  • Fiscal reforms over the program period aim to address structural weaknesses in Barbados’ fiscal framework.
  • Streamlining, restructuring, and privatizing SOEs will substantially reduce transfers to public institutions
  • Vulnerable groups will be protected by strengthening social safety nets
  • The authorities remain strongly committed to the exchange rate peg, which has been in place since 1975 and has provided a key anchor for macroeconomic policies.
  • The program will lay out a roadmap for normalization of monetary policy.
  • The CBB Act will be amended, with the help of IMF TA, to strengthen the autonomy of the CBB and the limitation on CBB financing of the government, among other enhancements
  • The authorities have made progress in identifying debt restructuring parameters that would provide debt relief without jeopardizing financial stability.
  • Significant progress has also been made in discussions with domestic and external creditors.
  • Debt management capacity will be strengthened.
  • To promote long term and potential growth, labor, product and service markets will be liberalized
  • The authorities intend to establish an Economic Program Oversight Committee (EPOC) to strengthen societal ownership and build public support for the measures in the program.
  • Data inadequacies continue to hamper understanding of key macroeconomic aggregates.


The part of an IMF agreement that raises the most concern are the condition or in the case of Barbados what are the targets we will have to meet to be able to draw down on the SDRs approved.


Quantitative performance criteria:

  • Floor on the central government primary balance (excluding repayment of central government arrears)
  • Ceiling on the stock of Net Domestic Assets of the CBB
  • Floor on the Net International Reserves of the CBB
  • Non-accumulation of central government external arrears (excluding arrears resulting from nonpayment of debt service for which the government is pursuing a debt restructuring).
  • Ceiling on grants and transfers to public institutions
  • Ceiling on the stock of public debt

Indicative targets:

  • Ceiling on the stock of central government domestic arrears
  • Floor on CG social spending Structural benchmarks

Structural benchmarks

  • These will focus on SOE reforms, growth and business climate, CBB autonomy, tax policy and revenue administration, public sector reform, and public financial management (Table 2 MEFP). The structural benchmarks will be critical to underpin the adjustment effort.

The average citizen will not read the IMF report and others will ‘scan’ to satisfy a mild curiosity.  It is obvious to the blogmaster after reading the report that there are significant changes still to come that will drastically affect Barbadians from all walks of life. As a people are we ready to be that chanage?


Link to Barbados : Request for an Extended Arrangement Under the Extended Fund Facility-Press Release; Staff Report; Staff Supplement; and Statement by the Executive Director for Barbados

468 thoughts on “IMF Program Unpacked – Our Way of Life Will Change, FOREVER

  1. I don’t know who or what these think this one likes let alone trust politicians/lawyers/governments…not in 2018..

    Yall are getting heavy salaries, just do ya damn jobs without TIEFING from the people AND selling them out…cause the people done know that every time yall open ya mouths it is another lie.

  2. Lorenzo…5 months later and yall still don’t have a FUNCTIONING court system…what DPP what..ya have someone collecting a DPPs salary from taxpayers, but that is all….

    …the embattled and heavily exposed AG cannot even get the Commissioner of police to follow up on a criminal complaint…made by him..what is he collecting a salary for…

    So when will the supreme court move back to the Whitepark was only supposed to be at Manor Lodge for a few months..

    Don’t forget…Mia is the one said she had all the evidence of DLP corruption…so why don’t SHE take all that evidence to the DPP.

    DLP yardfowls said much more than you and for many years longer….and look where they are today..

  3. Well,Well all you doing is looking for excuses ,you were on here everyday lambasting Mr payne and Mr Marshall that has come to nought,carry your evidence forward and start the ball rolling.Stop hiding behind the computer you do not have to wait on no one,but like most you are a bullshitter just run your mouth 24/ make yourself like the shite conspiracist,known only for stupid cartoons to make yourself sound important.As I stated to you speak for yourself you are one person with one vote like I told Pachanama who used to speak about we and since the redwash seems to have gone Underground.

  4. oh dear oh dear de ole man seems to have offended someone here has he not?

    It has become evident that the Stoopid Cartoons are being very effective.

    Just by way of FYI for those of you you understand these battles and how they are fought

    I shall carry a few of you down the annals of history with a battle which occurred around September 480 BC.

    The Battle of Salamis was a naval battle between the Greek City-states and the Persian Empire of Xerxes I.

    The Greek City-states navy was led by Eurybiades and the very important Themistocles while the Persian Navy was commanded by Xerxes I and his two Generals Artemisia I of Caria and

    Interestingly enough, for those of you who give a flying badword, this was the very first recorded Stoopid Cartoon

    The battle was documented by Herodotus, and there is a similarity between the questions that the protagonists of that battle, the Greeks and Persians, were asking at that time and what we persons in this BDLP duopoly ask of ourselves now “Who am I? Where am I from?

    And more specifically, which team am I on THE BLP, THE DLP or am I a supporter of neither but am a Barbadian.

    Now, wunna done see why dem ent like de ole man causing dem still at this Mugabe Suck Poochism and cannot move from there.

    But I digress,

    Herotodus reports that Themistocles, mindful of the bloodlines between the waring sides, and with consideration to previous cross cultural “pollinizations” between the two nations, used some large cloth signs on the sides of the cliffs that sought through the language used, to get warriors in his opponents armies, to defect to his side.

    And it would appear that, these close to 2500 years hence de ole man’s stoopid cartoons are achieving equal, IF NOT SUPERIOR RESULTS, with these sheeple whom will soon come back and say baaaaaaaaaaaaaa” heheheheheheheh

    Watch how easily they will get incensed and rush to respond heheheheheheheh, all two uh dem

    And so to aid them on here is indeed a cartoon that shows the true mettle of the BLP

  5. @ pieceuhderockyeahright

    The best things about being a Government Minister other than the $100,000 plus a year salary.

    Luxury cars and SUVs with soft suspensions and TINTED windows.

    Then there is the free food, free travel and other freeness.

    All they have to do is pretend to work and talk bare shiite.

  6. Piece…we are very effective, the yardfowl is whining consistently and seems to be stuck on, from experience we done know they are being stung…because the yardfowl is crying and crying,

    Don’t know why Lorenzo is so concerned though when Jackie is even more effective with her daily videos on FACEBOOK…streaming worldwide FROM UK..exposing Payne, Marshall, Cow, the corrupt Judges at the supreme court and the whole government and their dirty ball of wax DAILY..and daily other people are joining to stregthen the fight…so tek dah.

    ..we are just the usual BU…gnawing away at corruption, the tiefing lawyers and government ministers…we are not doing anything differently to what we did before and BLP was more than happy then to watch us decimate their partners in crime in DLP…to help them win the election, frauds that they all are…but now, since the election..


    What they did not realize is, we were not helping them win an election, we were helping DLP…LOSE the election. .BUT…it is their turn now…see, be careful what ya wish for, ya might get it..

    Whatever yardfowl…ya really think that useless talk means something, yall have already been DEFANGED and are now being watched by EVERYONE across the idle threats will return in the form of KARMA…and yall done know how I dish it out, just keep testing me and see..

    .. I am only ONE PERSON…yall got a lot of us to attempt to pass through.

  7. This is what yardfòwls should be worried about…allowing wealthy criminals into the island, selling out the people for a mess of pottage..and a current government being exposed worldwide as harboring thieves and abusers of the elderly as government ministers, well let’s just say, yall will not move off that blacklist any time soon.

    “The forum of the world’s richest nations has placed Barbados on a blacklist of 21 countries whose so-called “golden passport” schemes are deemed a threat to efforts to combat tax evasion.

    While Barbados does not have a citizenship-by-investment (CBI) programme, this country was placed on the list because of its provisions for a Special Entry and Residence Permit, according to the report.

    The Freundel Stuart administration had offered High Net Worth Individuals the option to be granted indefinite Special Entry Permits. The Special Entry Permits allow non-nationals to enter and depart from the island as they wish, as well as stay for indefinite periods of time.

    According to several offshore finance and expatriate advisory websites promoting the initiative, non-nationals with a net worth of over US $5 million were to find “making a living, working and retiring in Barbados easy”.

  8. I see the Transport Board is unable to account for $48.5 million in …. of all things … income!!!

    Man, maybe the $15 billion debt is just make believe!!

  9. Well well all I told you is to speak for yourself,capiche ,I do not know you ,do not wish to know you as nobody voted for you or the shite conspiracy theorist.Go look for something to do instead of pimping about on BU.I am not interested in what you know about politicians,carry it to the DPP,as none are family to me.You are a know all bullshitter with a huge dose of self importance,but you will never impress me,J/A.Bajans elected The BLP to run the affairs of Barbados for at least 5 years and 90 days not you put that in ya pipe and smoke it,you got a lot of ranting and raving to do.

  10. yardfowl…yall know why my thunder cannot be stolen….

    …I am not doing this for bribes, or any financial gain;

    .. or to deceive the people of Barbados;

    .. or to help politicians/ministers/lawyers steal from my own people, as yardfowls do and are famous for;

    .. or for recognition or for any fame and glory;

    …I do it because it is the responsible thing to do if ya are going to uphold each others human rights…and that is why it is so successful.

    What yall need to put in ya pipe and smoke is that the spotlight now shining up your asses that ya cannot shake or get rid of no matter how many lies ya tell or deceit ya bring with the Mia and Dale Show……aint going nowhere for 4 years and 7 months….people love the entertainment, it is a blast and the right thing to do ….so just like the blacklist yall now stuck with, get comfortable and get used to it..

    How Mia ever thought she could bring a 1950s archaic style of governance to a population that already has it’s mentality FIRMLY embedded in the 21st century of 2018..the 3rd quarter of the 21st century…is what yall should be worried just goes to show the backward useless mentalities of the government minister/lawyers involved.

    watch muh nuh…cause. yall still ain’t see what is really happening here..

  11. The Unions have lost ground and footing to stand up to govt
    PMStuart had warned them when laying with lions the inevitable happens
    Govt restructing program would gut the civil service to bare bones
    After which inefficieny in regards to service providers would be worsened
    After which the people tolerance would for increasing poor service would reach an all time high
    The IMF program is not geared to help the poor
    But as a collection agency geared to service the debt in a timely manner for financial agencies

  12. I don’t know why Lorenzo yardfowl don’t find something better to do other than pimping for a government…pimping for corrupt ministers/lawyers is NOT a real job..

    …go feed the HUNGRY and HOMELESS or something equally useful, it is much more satisfying. AND rewarding.

  13. Well Well as Enuff told you do not even know Roleric Hinds ain,t the MP for St Thomas but think that you are so intelligent,look get lost woman you are a nuisance,on the blog,again I state I care nothing about what you know or don,t know,carry it to someone who cares J/A,.I done with you.they will soon carry you and the other know all to the mental.

  14. @ PUDYR

    Please alert me when the real David BU is on duty .I have been blocked for asking how we reached here ?

  15. Lorenzo yardfowl…compare that idiocy ya spouting to the fact THAT YALL STILL CAN’T SEE WHAT IS REALLY HAPPENING…and WHEN yall finally find out…ya will realize that there is nothing yall can do about it..

    really…you really parroting Enuff in Wonderland 68…who is still waiting for his 69…(Piece ya like that one)….and who poisoned himself with enough Mia Koolaid to kill 5 elephants….and who now has to take a big break from BU……really…lol, lol, hahahahahaha…murdahhhhhh!!!!

  16. Speak your truth quietly and clearly, and listen to others, even to the dull and the ignorant [and the so-called nuisances]. They too have their story.


  17. Seems like the 30:0 drubbing of the prior administration has already lost its effect. Some supporters of the new administration are exhibiting on this blog the same “like it or lump” it “we are in power and you’re not” attitude that characterized the Rejected Ones. Five years is not as long as you think and the historian’s pen will not run out of ink. That may have been the first 30:0 shame but it does not have to be the last.

  18. @ Donna

    Parvi parvos delectant (small things amuse small minds)


    Tell de ole man this.

    After your abuse by your elderly Male relative? dud you ever find yourself in a rum shop talking about rape to rum shop drunkards?

    Barring this episode here in ghd BU Rumshop?

    Why not? Was it simply because you did not think they had the capacity to sensibly deliberate the issue? notwithstanding their inability to bring any meaningful outcome after their useless chatter?

    There is a role that is played faithfully by the sycophants and that is to chant continuous of the skills and accomplishments of their leader.

    These people are appointed a role to drown out all opposing opinions like the tanks in Tianamen Square, theirs is not to question the appearance of a human in front the tank, they are to run you over.

    The tank cannot think Donna so to question this pattern, is futile

  19. Lorenzo…look..ah told yall to read multiple comments on multiple blogs and social media, don’t just read the comments of one or 2 BLP what people are actually thinking, saying …… and welcome to the 21st century..

    And don’t let the door hit yall in the ass on ya way out of parliament..

    @Colette Felix:This government will eventually lay off in excess of 3000 workers over a period of time. They will claim that the implemented measures did not have the desired effect, so they have to reduce the employed numbers more. Barbados today and other media can only present the numbers and other information given to them by the government’s spin doctors.

    The members of these two major parties have lied to our grand parents, our parents and now they want to mislead us too. We are more aware than our previous generations and will hold their hands to the fire. This term in office will see the B L P too dismissed by the electorate. A new coalition or a new party will rise in this country.”

  20. I will do some googlization to find the requisite information to support the assertions by Dr.K

    with regards to ” job opportunities which would become available through the training include medical transcription, medical coding and legal transcription. ”

    I do not want to be critical of the BLP unless I find something that is irrefutable .

  21. Retraining a few unemployed low-skilled workers in medical transcription, medical coding and legal transcription cannot be the making of a knowledge-based economy.
    The government still has to spell out its plans for a knowledge-based society, which so far it has failed to do, apart from nonsense about speaking Mandarin. First, we want to know what is their understanding of the contemporary sociology of work.
    A few months ago Dr Suckoo-Byer tried to start a discussion on the future of work, but typically Barbadian, she was widely ignored. That debate is still relevant.
    The educational system is also fundamental to a knowledge-based society, so far – nearly five months in – the government has not made a significant statement about education reforms. What makes this more worrying is that the current minister, one of the more ethical persons in the government, is seriously ill. We all wish her the best.

  22. @Hants October 15, 2018 11:12 AM “My fellow Bajans, you are invited to visit Canada after October 17th to enjoy the freedom to smoke weed legally.”

    Yes sir.

    Thank you.

    I am on my way.

  23. @Sargeant October 17, 2018 3:50 PM “1) The weed is in the mail. 2) Canada Post is going on strike.”

    You made that up, right?


  24. I am looking in the Ontario Cannibis Store:

    and wondering if they will deliver overseas, just like Amazon does with books, and wondering if I can have mine brought in by Fedex, or Canada Post and the Barbados Postal Service.

    I am looking at the prices. Nothing cheaper than $7.95 CDN.

    I am looking at the big yellow scary government notices. “Cannabis includes some of the same chemicals as tobacco and can cause the same harms.” “Regular use of cannabis can increase the risk of pyschosis and schizophrenia.” “Keep out of reach of children” “Store in a dry place.” “No expiry date has been determined for this product.”

    Looks to me that wunna Canadians have found a way to take all the fun out of the herb. Legal cannabis seems to be as much fun as my high blood pressure medication.

  25. Is there a moral void in our culture, or is it just on BU? Her we are, rightly condemning drug dealing and illegal drug use, yet some of our elders on BU, many at or approaching pension age, are celebrating the irresponsible Canadian decision to legalise cannabis
    – many of them even bragging about using the drug. Are we insane?

  26. @Hal Austin October 17, 2018 4:54 PM “many of them even bragging about using the drug.”

    Exactly who is boasting about using cannabis?

  27. Of course Ha, Ha, the bajan clown in UK, the consummate jackass is still himself lost in the 1950s..

    I have had a MEDICAL MARIJUANA prescription for 9 YEARS…I can damn well sample marijuana in it’s medicinal form anywhere I damn well please, I have said on here already I have had a prescription….and can share the info if I so wish…

    …..only the slaveminded hypocrites would catch an issue…well too bad for you..the weed in it’s medicinal form..was damn good…so there.

    Maybe Ha, Ha should try some…and he would make more sense and would not be such a coward….next place am going too try a sample…LONDON..ya want my address to send the police…don’t waste ya time, they can’t do anything with a prescription..they would tell you that…it must be killing you I got that much FREEDOM…and you don’t…

    “Britain is the world’s largest producer of legal cannabis, a new report from the United Nations has revealed.

    Ninety five tonnes of marijuana was produced in the UK in 2016 for medicinal and scientific use, accounting for 44.9 per cent of the world total, its International Narcotics Control Board (INCB) found.

    The UK is also the largest exporter of the drug, with 2.1 tonnes exported in 2016 – roughly 70 per cent of the world’s total, the report stated.”

  28. “He meanwhile revealed that he has already had talks with Prime Minister of Barbados Mia Amor Mottley and other key officials, to put these “ambitious plans” for the island’s iconic sheep in motion.

    Currently, Barbados is aiming to multiply and improve herds of Black Belly Sheep from 15,000 to 600,000 sheep over the next ten years,”

  29. And before the uninformed clown starts…recreational marijuana is completely different to marijuana in it’s medicinal form…which MUST be processed under stringent conditions in a sterile environment..

    recreational marijuana is iffy at best, I never use it.

  30. Pingback: Government MUST Clear the Air on the State of the NIS, it is Our RH Lifeline | Barbados Underground

  31. @WARU October 17, 2018 5:36 PM “recreational marijuana is iffy at best, I never use it.”

    Oh there is plenty of good government sanctioned marijuana if you cross the norther U.S. border. or you can buy online. But alas they do not deliver to the U.S.

    Please note that I have never used the herb myself, even when I found a large tree growing on my property. i am rarely sick so I don’t need medical marijuana. And I can entertain/recreate myself and others without marijuana [or alcohol]

  32. Piece,

    Males are not collectively responsible for the actions of other males unless they have influenced other males in that direction. Thank you for your empathy but I had the good fortune of being believed by my family members, including his wife, my mother and my father and so was spared the misfortune of the further trauma experienced by many others who dare to tell the truth. This didn’t happen until many years after because for years I buried it in the back of my mind and did not even admit to myself that it had happened. I continued my relationship with that family member whom I loved very much and nobody would have known that there was a problem. Until something he said triggered my memory and I blurted it out.

    In true Trumpian style, he strongly denied it and said derisively that I wasn’t even his type. (Derriere not big enough. I have since gathered that this is supposed to be the ultimate Bajan put down.) Unfortunately I was not known for being a liar and so I was believed. That of course is before these days where in your face liars caught repeatedly on video are believed over everybody else. .

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