Does White Oak Have a Plan B?

The Mia Mottley government forced a debt restructure on locals holding bonds. The government boasted about the speed it was completed although truth be told it was a Hobson’s choice.

On the other side of the debt restructuring transactions the external bond holders have so far been nettlesome at the negotiating table. Approaching 18 months and there appears to be a stalemate in the negotiation. The Mia Mottley government has been unable to deliver on a promise that the debt restructure transaction would have been closed by now.

Senior members of the BU family have taken umbrage to a recent comment by one of the government’s financial advisors Avinash Persaud.  Here is a pertinent quote.

What we have been trying to do is to get the best deal possible for Barbados, which means that it can’t be the quickest deal possible. If you play poker do you fold early? If you don’t need to borrow for four years you have a good hand. So, we are following the right strategy – No backing down

The blogmaster must agree at the idiocy of the statement when viewed through the eyes of a good poker player.  A good poker player will fold based on the game situation. It does not have one Rh to do with early or late in the game.

The blogmaster appreciates there is an element of table craft that will be exercised by actors sitting around a negotiating table. One must however critique the judgement of Persaud to feel embolden to have issued such a statement at this juncture in the negotiation.

Despite a bevy of officials recruited by the government with job descriptions to cover finance, communications, public relations and media liaison –  the public is left to speculate as to the current state of negotiations with the external debt restructure transaction.

Given the perilous state of the Barbados economy and the time it is taking to close the debt restructure deal with external creditors – the more aware citizens excluding the yard fowl variety – have started to examine the increasing downside risks threatening the Barbados recovery program. The blogmaster counts himself among those who is now very concerned that the high price White Oaks team has been unable to resolve the wedge issues.

It is time to go to plan B.

Do we have a plan B?

 

322 comments

  • @fortyacresandamule

    To what extent is Grenada success feathered by being a member of the OECS you think?

    Like

  • @William

    That is a good question for 2019 to ask. I would of said in the 60s or 70s they might of been a clearly defined capital class, when funding might of been hard to find by some. The things is though with billions in the banking system now owned by the everyday man that has changed. Also we have to remember the credit unions too are awash with money as well, which nobody seems to want to borrow except to buy cars.

    I would today refer to it as those willing to risk capital in ventures and those not. The nots are the ones who will leave the money on the bank even if no interest was being paid. The others depending on what they can afford to lose, may venture into businesses.

    I remember once talking to an Indian business man who had done well for himself and family. He said to me that he told his children that anytime they resorted to putting money on the bank, they have failed as an entrepreneur. The comment was harsh maybe but his point was put the money you have to work for you, as the day may come when you want to retire and stop working for it.

    We really need to teach risk taking vs return to our younger people and encourage them to venture into business. If they fail at first don’t condemn them but encourage them to try again. Gone are the days we can turn to government or insurance companies to feather our retirement.

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  • @Theo re your 12:08 pm post. Thanks. To all the persons out there who believe that I should no exercise my freedom of speech, I must quote James Baldwin, substituting Bim for America. ‘I love Bim more than any other country in this world, and exactly for this reason, I insist on the right to criticize her perpetually.’

    Liked by 1 person

  • HEATHER DEAR

    BY ALL MEANS EXERCISE YOUR FREEDOM OF SPEECH
    YOUR PROSE IS BEAUTIFUL

    PLEASE KINDLY NOTE THAT WE ALSO love Bim more than any other country in this world, and exactly for this reason, WE insist on the right to criticize her perpetually AND PERENNIALLY.’

    WHEN YOU START TO LICK DOWN DE WALLS GEORGIE WILL BE THERE TO HELP

    THERE IS NOTHING I LOVE MORE THAN LICKING DOWN WALLS

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  • William Skinner

    @ Hal
    We seem quite comfortable analyzing the black political class and there are some calling for the services to the most vulnerable to be discontinued.
    I am saying that we have a parasitic local capitalist class that is to all intents and purposes untouchable.
    How can can we even make a single step forward without looking at all sectors.
    This is not throwing out the good to be perfect. This is about truth and the importance of holding all sectors accountable.
    The last time I checked one billion in foreign money is equivalent to two billion in local currency. You and others seemed convinced that the local traditional corporate sector should not be put under serious scrutiny.

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  • @William

    If you are a student of Chomsky you would not be in the dark why there will always be tension between the haves and the haves nots:

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  • @ William

    You and others seemed convinced that the local traditional corporate sector should not be put under serious scrutiny (Quote)

    Evidence, or are you just misrepresenting my expressed views?

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  • @ fortyacresandamule July 27, 2019 3:22 PM

    How you tell the tale of Grenada’s suffering shows all too clearly that the small pepper islands in the Caribbean are not viable as independent states. Barbados is now going through the third IMF programme (+ 1 indirect IMF programme with the CS credit 2013).

    This will not be the last IMF programme. Due to the disastrous history we should prepare ourselves for a future where the finances of Barbados will collapse every 10 years and a new programme will be needed.

    If we had a world government (I am a great supporter of globalism), Barbados would have been under international administration long ago, because the locals simply can’t get it right. But we can’t just dump this failure on the local culture, but should simply admit that due to numerous external factors it is very difficult to manage a small island in nowhere for a long time without bankruptcy.

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  • fortyacresandamule

    @David. I don’t think being part of the OECD has anything to do directly with Grenada’s success apart from being a member of a single monetary and custom union.

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  • @fortyacres

    Your comment appears to be a contradiction.

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  • William Skinner

    @ Hal
    You started off by advising me not to condemn the good to be perfect. You then went on to describe the white merchant class as failures and then suggested that blacks are afraid of entrepreneurship. I consider that to be grossly inaccurate. There are many successful black businesses and persons. They have always been despite the obstacles of the financial institutions etc.
    You suggest that a white merchant class that still controls a disproportionate amount of the real wealth as failures. You call them failures; I call them parasites.
    You then stated that the Trinidadians bought out Barbados. I say that Barbados was sold out by the greedy corporate elites.
    The Trinidadians first got their feet in when Trinidad was booming and our residential real estate was stagnant. Trinidad had an excess of cash. In many instances the crime in Trinidad was already increasing and they saw Barbados as a safe place to invest in houses and some medium size businesses mainly in tourism. This trend goes back over thirty years.
    The traditional corporate sector started to court Trinidadian investors back then and it then culminated years later with the sale of BST which once controlled the entire economy.
    It was not an attempt to misrepresent your submission. I tend to deal with historical truths. Many people do not know that the same BST at one point controlled almost all the plantations in the island. They controlled the retail import trade. They had controlling interest in all the distributive trade. They were in the hotel industry.
    They sold out Barbados my Brother.

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  • fortyacresandamule

    @David. Let me be more clearer.The point I was getting at is, despite the fact that Grenada is part of OECS, that has nothing to do with their success of late. If that were the case, other members within the group would have enjoyed similar success. It is no easy feat especially, for a small island, to average over 4% real GDP growth annually for over 6 year considering it is not starting from a low base.

    And what is driving this growth you might ask ? Did Grenada find oil? Nope. However, they claimed to have gas offshore in commercial quantity.Grenda growth rate is due to: increase private education investment (this account for 19% of GDP), increase in tourism arrival (both cruise and stop over), expansion in construction activities , and an increase in household consumption.

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  • Their HDI also tells a story. It moved from 146 in 2014 to 75 in 2017.

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  • “By Thursday, hundreds of families “unfaired” by the Urban Development Commission (UDC), will have their properties returned”

    http://www.nationnews.com/nationnews/news/240933/deeds-returned

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  • With Grenada economic growth rate on the rise one would think that the rise would have a big impact on the daily economic lives of the people
    However the country stability has not been sufficient and enough to remove the punishing effect of high prices that impact the people lives across the country
    The economic progress only details govt policies which have helped to bring the country GDP to.palpable levels while the people of Grenada suffer the punishing effects
    For e.g the cost of living is a tale of worrisome yet to be measure in cost and positive progress for the people
    https://www.goatsontheroad.com/cost-living-grenada/

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  • Sir William Skinner

    4:56 and again 5:23

    This is the deeply-rooted analysis befitting of a man of your caliber. And they ask why a knighthood was so bestowed. LOL

    For only the most perverse self hatred could prevent those who see themselves as intelligent from carrying these analyses to their logical conclusions.

    Enter the guillotine!

    For we are afraid that your professorial admonitions will not make it through the viscera of a calcified brain whose primary function is the protection of Whiteness from all slings and arrows, coming from all quarters.

    Such an end-stage brain can do nothing more than blame the victims of international White imperialism, but go no further.

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  • I am always at lost how international economist pushing their agenda with an analytical perspective which highlight how well a country progress relevant to GDP is doing but stay clear on how the people lives are being impacted by the these policies all driven by the IMF
    When one read or hear of Grenada sucess and growth it makes one belive that the social as well as the economic growth of the country is all well
    Nonetheless their is an imbalance which should give rise to how the people lives are effected by any govt policy that are hurtful and dangeous to people livelihoods
    Perception is a dangerous thing when left unchallenged

    Liked by 1 person

  • John A
    July 27, 2019 10:05 AM

    The creditors will take a cut on their debt. One hundred percent of seventy five percent is better than ten percent of one hundred percent.

    They know that, all that is playing now is brinkmanship. They keep pushing, they get little or nothing. That is the economic reality.

    Although one does not need expensive negotiators to get that done. It is simple arithmetic.

    Good lawyers yes.

    Liked by 1 person

  • William Skinner
    July 27, 2019 5:23 PM

    BS&T is a case of being run into the ground, when it should have prospered and expanded beyond the Caribbean. Poor management.

    Liked by 1 person

  • Gabriel
    July 27, 2019 3:26 PM

    The elimination of the Barbados National Bank was a huge mistake. The current banks have no skin in the game.

    But they will lend you $200k for a car loan at a high interest rate.

    Liked by 1 person

  • @ Crusoe

    Good lawyers and a willingness by both parties to settle quickly.

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  • William Skinner

    @ John A

    Obviously you believe that institutional obstacles to black entrepreneurship have ceased. I assure you that the opposite is very true. I suggest you carry out some brief research about the closure of Black owned manufacturing and other entities over the last twenty years.
    We are so afraid of being called racists that we are prepared to just refuse to question the corporate social responsibility of those whom have built considerable fortunes of wealth essentially earned from exploiting the Black working class.
    We have convinced ourselves that this parasitic largely white capitalist group cannot invest and assist in rescuing us from economic ruin.
    There is a real difference in building on inherited wealth and actually creating wealth.
    Let us have a real discussion of whether we “ are all in this together “ . If we only have energy to be critical of ourselves and the Duopoly then we are intellectual frauds of the highest order.
    Again I ask a simple question: Is there a capitalist class in the country?
    I go further and ask: Does this traditionally white entrenched capitalist class have any obligation to our social and economic well being?
    Why are we afraid to demand that they invest more and stop being in my opinion nothing more than corporate parasites who pretend that they are impoverished and must have unfettered access to the treasury via tax breaks and concessions and other nefarious activity such as refusing to pay VAT into the treasury.

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  • fortyacresandamule

    @Mariposa. I agreed. I am no crusader of the GDP metric. Fundamentally, it is too flawed in concept, assumptions and measurement for my liking. In the end a very over-rated statistic.

    Liked by 1 person

  • William Skinner

    @ Crusoe
    B S and T was not ran into any ground. It was nothing more than corporate espionage against the country. BS and T had extensive interest in other Caribbean countries. Don’t be fooled by corporate propaganda.
    B S and T had control over almost all the plantation estates on the island . It controlled the importation of chemicals and medicines in the veterinary industry. BS and T at one stage ,had in terms of relativity , a larger economy than than the government itself.
    B S and T sold out rather than invest in the new economy because it would have meant a dip in their profit margins in the short term. Before they sold out they had started to invest with the wealthy Trinidadian industrialists in Trinidad.
    B S and T can be justifiably blamed for the destruction of our agriculture industry.
    There is a reason why it was called Blood Sweat and Tears by progressive forces way back in the 60s and 70s.
    It’s time to deal with historical truths and realities.

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  • @William,

    No problem, I do not get caught up with monikers.

    On the subject, but surely not willing to dip into profits and selling out is in itself bad management and being run into the ground?

    Yes, I was aware of their large stakeholdings here and abroad.

    You say it can be blamed for the destruction of the agriculture industry.

    That is bad management. I am not seeing the distinction.

    From their monopolistic position, there is no way that the company should have declined as it did.

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  • @William

    You are close to the mark about BS&T.

    It is a company that emerged from the colonial days. Many of the principals grew old in the 80s and 90s and preferred a golden handshake as the business model required alignment to market demands.

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  • @william

    Businesses fail for many reasons be they black or white owned. They are many black successful business men now who have done extremely well for themselves. To paint a picture where black business has failed, is therefore not a fair statement to make on their behalf.

    I would bet it you took a look at who owns the bulk of the money on deposit they would be locals of every colour. The control of business in the island is in the hands of the Trinidadians and why is that? It is because we are too afraid of risk and prefer to put the money on the bank, or we could of bettered the Trini offer per share for BST.

    Our failing is therefore not a colour thing but is more a matter of the way we view business and risk taking. That is why we no longer own BST. Yes we can say those that ran it ran it into the ground, but the question still remains why didn’t we buy it and restructure it as opposed to letting it go?

    Liked by 1 person

  • William Skinner

    @ Crusoe
    The company never declined because of any bad management. It simply refused to invest in the country it had raped. It had no allegiance to the social and economic development of the country. It was nothing more than an act of corporate espionage.
    Once again my apologies re referring to you as @Cruise. Respect is due.

    Like

  • John A
    July 28, 2019 9:25 AM

    Do you blame people who refuse to risk money in business investment here, when the stock market is a joke, when the institutions that govern the market and impact recourse are inefficient and not trusted to get a fair result?

    What it reflects is a severe lack of trust in the regulatory regime and I do not blame them.

    Trade Confirmers, CLICO etc etc… and things have actually got worse, not better.

    In that light, only a lunatic would put money in the market.

    The only business investment will be in their family business and I get that.

    Liked by 1 person

  • @ William,

    Once again, no offense taken at all.

    On the matter of BS&T , I understand your view. Serious that.

    Liked by 1 person

  • Stunning! But not amused how the blp acolytes would use Grenada as a measuring stick and a sucess story for WO when the reality on the ground shows that Grenada’s social network was left wide open to volatile global factors and continual poverty
    Can someone please explain how the social enviroment of a country can be separated from the country growth rate and the suffering of the people
    I am a poor person in need of being convince

    Liked by 1 person

  • William Skinner

    @ John A
    I have never painted any picture of black businesses failing. I asked you to do some simple research that will show that black manufacturing and other businesses have had very high mortality rates over the last twenty years. The point I attempted to make was that these failures had a lot to do with institutional obstacles that ruined them. Let me make that clear. I tried to point out that to state that blacks are averse to entrepreneurship is in my terms “ grossly inaccurate”.
    If there is $20 in the banks and two or three people have $19.50 and all the others have 50 cents combined, I guess you could say that everybody has money in the bank !

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  • @William

    Part true, many of the Black businesses struggled because the next generation preferred to go the professional route read lawyers, doctors etc.

    Liked by 1 person

  • Why the back and forth on how the White economic class invest in Barbados
    Just for the record greed and self interest takes precedent
    What reminds me of what Maloney told the listeners recently and his intentions to do what pleases him

    Liked by 1 person

  • @WS, Cruesoe and John A
    Good discussion…
    I like that fact that John brought the regulatory failings into the discussion.
    I would like to add that you will also hear a thousand reasons about why not to do business/invest with some businessmen
    We can discuss but we need to figure out how to break these strangleholds and old ideas

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  • @William.

    Let’s bring this home by looking at the PSVS now. When this was started years ago the units were owned by black Individuals who became small business owners. Who controls the same PSV sector today? The reality is Barbadians prefer the comfort of a pay cheque without responsibility, to the risk of business ownership it’s that simple.

    You want another example let’s look at the reconditioned car market. That too started by being owned by local black Barbadians. Who controls that market today?

    It is a matter of deciding if we are in business for a quick dollar or for the long haul. Business is a continuance and for growth to occur profits must be reinvested, that requires discipline.

    Today in summer for example when some children will be given $50 by their parents to go and enjoy a movie, others will have to work in a family business for a few hours for that same $50. Which child do you think will have the greater appreciation of the value of that money in the end?

    It’s starts with upbringing and the lesson that money must be earned and is not a God given gift as some believe.

    Liked by 1 person

  • @ William (5.23pm)

    My apologies not responding to you more immediately. There is a time difference between us. However, I shall respond to all your points with the respect they deserve.
    First however, let me clarify a misunderstanding about the role of White Oaks, the government’s default, and the way debt counselling is normally conducted.
    There is nothing new or exceptional about Barbados seeking debt relief. That happens every day, from households to sovereign states. But first the debtor must accept that s/he/it is unable to service the debt and urgently needs help. In other words, debt relief is an act of forgiveness.
    In other words, as we used to say, you cannot be wrong and strong. You cannot unilaterally default on your debt and then bark at the creditors that they must talk about a relief or you are not gong to replay them. Just take that principle to the small corner: you ‘trust’ ( taken out credit) from the local shopkeeper with a promise to repay at the end of the week.
    However, at the end of the week you do not say to the shopkeeper ‘I owe you money, but I am not repaying the full amount. Give me a discount or I won’t repay any at all.’ The same thing with sovereign states.
    It is right and proper that the debtor should get professional advice, but no one agrees a fixed monthly compensation for negotiating a reduction.
    How it is normally done is that the debt counsellor is either paid a lump sum for service, a percentage of the amount saved or a combination of the two. But that is paid after the event. For households and small businesses, the counsellor may want to securitise the fee, but for a state it must be taken on trust.
    @ William, I will now respectfully deal with all your points as promised. First, I did say do not let the perfect be the enemy of the good. We all have a von of t he perfect Barbados, but we must not throw out the baby with the bathwater when t comes to analysing how we got to where we are.
    The point is that objectively the traditional white business class is a colossal failure, no matter how it is measured. This is not opinion, but historical fact. If you measure e it from 1834 to 1951, or from 1951 to 1966, or from 1966 to 2019, the white Bajan business class has been a disgrace.
    I accept that in a small universe, the old plantocracy (inherited from slavery and the £20m compensation after the abolition), a people who set themselves up as middle men (there were very few women), exploiting the very people they employed – from domestic servants, to field workers and everything in between, can be – and have been – seen as oppressors. But can you call that a capitalist class? Are you not shoe-horning them in a pre-conceived idea of the competition between labour and capital?
    You said my statement that black people appear to be culturally scared of entrepreneurialism is inaccurate. Where is the evidence. Let us stick to Barbadian business history: N.E. Wilson, Simmonds (is that the correct spelling?) bank, Layne’s Civic, Rollock’s Five & Ten Model store, Martineau’s soft drinks, Harry’s Nitery, James A. Tudor, et al, along with the numerous bakeries, motor mechanics, self-employed carpenters, masons, etc, none this collection of small business people constitute a capitalist class.
    These were people struggling, like the men and women with there trays selling sweet breads and sugar cakes and peanuts, to put food on the table.
    The phrase ‘capitalist class’ implies more than source of income, or even ownership. It also implies a collective vision of the way society is organised. Are you telling me that Gardiner Austin, Hutchinson’s, Barbados Shipping and Trading and its affiliated organisations, Plantation Ltd, Cave Shepherd et al all see Barbadian society through the same lens? Remember, Engels used his family’s wealth to fund Marx while he wrote Das Kapital.
    What is more, and I have mentioned this on numerous occasions, in the 1950s and 60, noble men and woman huskers and small shop keepers, often went hungry in order to get their children in to ‘good’ schools. Their children is the generation that has betrayed Barbados, that has turned its back on their parents’ generation.
    So, what you called historical inaccuracy, I term a different interpretation of our social history. That is OK, it is simply the sociology of history, I won’t bore you with references, but that is why a Tory version of history, differs from a nationalist version, a labour version, a Marxian version, a post-colonial version, etc. Read R. G Collingwood’s The Idea of History. If you do not have a copy I can send you my old one.
    You are right, there have always been enterprising black business people, inspite of the racism of the financial institutions. Their descendants have not gone any where (remember a couple weeks ago I reminded you to follow the names?). But they were exceptions: the Bishops, Odles, Tudors, etc.
    When you talk about people controlling a disproportionate amount of local wealth, what do you really mean. These people own assets, not money. Have a look on You Tube at the interview that Sir Charles Williams gave Trevor MacDonald where he talks about owning land. Old plantation land. The property wealth on the West Coast is largely money laundering by foreigners. The real wealth accumulation in Barbados is by the New Barbadians.
    You also say that my claim that Trinidadians have bought out the merchant class is wrong, that Barbados was sold out by the greedy corporate elites. Not true, but that is an opinion. The merchant class sold out because they faced bankruptcy. Your explanation about a booming Trinidad and residential real estate is an explanation that lacks historical and economic accuracy. People can only buy if the owners are selling.
    As I said, there is no historical truth; there are factual accuracies and historical interpretations. @William, fundamentally, we do not have any conflicting analyses of social , political and economic developments in Barbados; our difference is mainly the post-independence distribution of power, the decline of the nation and who is to blame. I blame the parasitic black professional class, you appear to blame the white merchant class.

    Liked by 1 person

  • @John A

    It was Black politicians that permitted – no pun – others to infiltrate the sector.

    The reconditioned market was sabotaged by black players when they started to underinvoice and other illegal moves that gave weight to the argument from the dealerships to impose tighter regulation.

    Bring the whole story.

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  • @Crusoe

    I agree with you the regulators proved to be a dismal failure here and the stock market some days doesn’t even trade enough to pay for a good lunch, more the reason we must learn to help ourselves.

    Let us agree that with inflation running say at 4% and savings at 0.05%, that those with money on the bank are getting poorer by the day. So it is not hard to figure out that if the money is left there for a prolonged period it’s buying power in real terms will be severely reduced. Yet knowing all that many will leave it there. Now in other countries what would happen is that family members would take up some of that and lend to younger members who want to start a small business. So instead of the young person going to the bank and borrowing say at 9%, that family elder would say I will lend you at 6%. Why isn’t that happening here? Why are we not willing to even help our own but prefer to keep the money on the bank at 0.05%?

    You see we have a serious fear of risks, yet we want a better return on our money. The 2 regrettably don’t go hand in hand. You are correct we must break this fear of investment many have, or as a people based on inflation alone we will continue to get poorer in real terms depending on banks for a return.

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  • We need to keep reminding that questionable DPP and the AG that Maloney should be charged for the death of that child…certain information is circulating involving him in all types of very recent things…hopefully if this corrupt government continues to allow this criminal to do as he likes in Barbados…HIM AND ALL OF THEM SHOULD END UP IN HANDCUFFS TOGETHER…right where they ALL belong..

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  • @David.

    Having said all of that above, then how can we blame other races for the demise of black business?

    You have just clearly defined what has occurred and why. Black politicians combined with black business men under invoicing. Who else can you blame for their relevant failures but our own people?

    We still must not place in the minds of our young men that they shouldn’t try at self employment. Let us focus on the success of men like Mr. Bynoe at Carlton and many others who have proven they are as good as any others out there. Let us try to emulate the positive and successful, as opposed to basking in the failures of some. Many black business men have done well and they deserve our respect for doing so. Let us acknowledge them and give them thw respect they deserve.

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  • @John A

    Vincent will probably suggest it is a maturation process we must experience as a race/class to move to the next level.

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  • @John A

    This blogmaster with respect to Bynoe does not measure success using Bynoe as a yardstick. He unlike many others received a leg up from established players David Seale being one of them.

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  • @ Hal

    It is good you mentioned the 5 and 10 as he was one of the fore fathers of what is today known here as discount retailing. We of course today have the $3 store and others, but their approach is nothing new as local black bajans had that down pack years ago.

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  • @ David.

    How he got his start does not take from the man’s success. The fact that it came from David Seale should that also not negate Williams argument about how white business is viewed?

    Look at how many employees Bizzy Williams has turned into shareholders. Many of them with considerable wealth today as a result.

    We can always look for excuses for failure or we can look for the ingredients and discipline needed for success. It’s a personal decision all can make.

    I for one find it hard to walk forward while looking back.

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  • William Skinner

    @ Hal
    You attribute blame to the black professional class. You will note that I particularly said that we cannot do such without looking at the role of the white merchant or capitalist class and proceed to give them a pass.
    I maintain that to pretend that the white entrenched capitalist class is bankrupt or impoverished cannot be supported by empirical evidence. We would need to look at land ownership and who are still in control of shipping and related industries. You claim that property ownership on the west coast is largely foreign owned. I suggest that Barbados does not start and end on the west coast. Please reference how much land is owned by Cow Williams. I think that Williams (Bizzy) controls about thirty five companies. There is one major fast food enterprise with sixteen outlets owned by the Haloutes.
    While I agree with you that we have no real differences I cannot allow the thinking that blames a black professional , usually monthly paid , employee for the maladies dogging our socio economic construct.
    That is like blaming the slave for not escaping the master who has him in bondage.
    Thanks for your erudite response .

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  • @John A

    The bigger point is that he has a big brother in the establishment unlike a Neville Rowe for example. Why are we using retail and distribution businesses as badges of success? What about manufacturing and selling services to EARN?

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  • “What is more, and I have mentioned this on numerous occasions, in the 1950s and 60, noble men and woman huskers and small shop keepers, often went hungry in order to get their children in to ‘good’ schools. Their children is the generation that has betrayed Barbados, that has turned its back on their parents’ generation.”

    yep…the new negros armed with degrees…AND NO COMMONSENSE…sold out their ancestors and their own people…whom they victimize daily…traitors..of the worst type…

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  • @John A

    Quick question, are the shares given by Bizzy to employees easily converted to cash?

    Liked by 1 person

  • @ John A July 27, 2019 1:16 PM
    “I hear some here talking about returning to growth but wouldn’t that require a growth plan to begin with?
    Would growth not also require capital from the foreign markets for the private sector to have access to?
    Would the fact that our government defaulted and is by their own admission in no hurry to settle, help those from here now wishing financing from these entities in a negative light?
    For us to access capital on the foreign markets this matter must be he first settled. Until then the pie in the sky talk about projected growth is utter propaganda spread to the public in order to usher in a sense of stability.
    So wunna keep the Koolaid for those that drink blindly!”
    ++++++++++++++++++++++++++++++++++++++++++++++++++++++++

    Well said John, the A1 the financial analyst with an abundance of commonsense instead of theoretical bullshit!

    For Barbados to expect a complete a settlement with foreign creditors which would not be injurious to its future capacity to borrow on the open foreign market is like praying to a Jewish god requesting manna to fall from some spacecraft in the heavens.

    If Barbados cannot even get an over-priced consultant trained in the art of bullshittery to attract foreign investors to take up the Four Seasons project -which is sitting on some of the best seaside real estate in the tourism world and was going for a song- how can they expect the same bullshitter par excellence to win the poker bluffing stakes currently played with the foreign creditors and who are holding Barbados over a barrel of drowning sewage labelled “Devaluation of the Bajan Dollar”?

    That is why it is nothing but pure premature propaganda to promote the construction of an imaginary hotel corridor without indicating the source of financing of the same buildings in a sunset industry already plagued with a year-round below-‘the-standard-occupancy-rate’ challenge and with the expanding Airbnb hovering like a vulture to pick up the body of those tourists travelling on the cheap.

    Who are these targeted investors needed to finance the construction of these on-the-seashore hotels which Mother Nature would soon demand as sacrifice for the environmental sins of modern Barbadians?

    It can be safely wagered that Hyatt hotel would have been off the ground by now or definitely ‘in a few weeks time’- as promised by the MoT Richard Sealy some time back in 2017 or early 2018- if they were investors with foreign money lining up behind this project and flashing their foreign dosh in front of greedy politicians looking for their cut(s) while preaching foreign reserves salvation to the Media.

    Just another pipedream like the Pierhead marina or Sugar Point cruise ship terminal being propagandized as resuscitation aides for a dying capital on some poorly working life-support macine.

    Like

  • @ David.

    Any sector you choose I can give you the names of successful black businessmen in.

    From shipping to manufacturing feel free to pick. If you want to talk manufacturing one of the most successful is James Husbands from Solar Dynamics. We can go on if you wish but I consider my point made.

    Rowe had a good business and mismanaged it. Today he is still being paid as a silent shareholder for basically doing nothing. Not a bad deal at all me thinks.

    Like

  • William Skinner

    @ John A
    @ David

    The predictable has emerged. Pray tell where anybody is blaming white people for the collapse of black business. However we cannot deny their culpability in some instances.My thesis remains. If we are only going to scrutinize the black political class for our socio economic maladies without clinically analysis of the role played by the largely white entrenched capitalist class , we are guiltily of intellectual malfeasance.
    As expected in the attempt to cover up for the atrocities of that group , obviously buttressed by a deep fear of being labeled racists, there is an attempt to use race as a red herring to defeat my position that cannot be seriously questioned because of historical truths.

    Like

  • @John A

    Your last comment does not compute, error, error.

    Like

  • @William

    You need to wake up from that old time thinking.

    Black people have to rally and demand their place at the table.

    Like

  • @ David.

    You got me taking out Bizzy business. Lol.

    Yes he will buy back shares for cash or other employees are also allowed to buy the shares as well. The shares can also be used to borrow against as security too.

    Like

  • @ John A

    The banks screwed Rollock. That was in the 1960s. Yet we have failed to develop an alternative to the high street banks in the 50 years that have followed. What happened to the Civic. I am trying to remember how many local banks Barbados had, all killed off since independence. We anted to save with Barclays and the Canadian banks, not locals. Our failure is in our heads.
    I have said that the poverty of ideas is worse than material poverty. Since 1966, both DLP and BLP governments have failed to fill this financial institutional gap. They can still do.
    Credit unions hold Bds$1bn, a quarter of household saving; there are 18 post offices in Barbados. Jeez, what more do they want? It is not exactly inventing the wheel. Some time ago a former governor of the central bank did a study of a credit union bank; what ever happened to that study?
    The collective inertia s frightening. Then you get buffoons coming on BU everyday talking about which party did what and who is corrupt. Barbados deserves better.

    Liked by 1 person

  • Your discussion shows how deep Barbados has already fallen. Now Barbados is being compared to the Spice Isle, although there is hardly anything left there except tree houses. If you sit in the basement of civilization after the hurricanes and communists like Grenada, it’s no wonder the economy is growing. If I follow your logic (Grenada as a reference state), Barbados would only need a major hurricane to recover economically. Argumentum ad absurdum.

    I am curious to see what comes next: a comparison with Zimbabwe or Venezuela?

    Liked by 1 person

  • @David.

    Rowe sold product too often below purchase price to try and maintain market share. This ran him in trouble and hence he lost the location at sky mall. He still recives a monthly ” good will” payment none the less from the new entity.

    The fact that Massy placed a supermarket in there also shows the failure was not that of the location. The problem was Rowes project was way too large for the market to feed hence its failure. In other words it lacked the capacity to feed its size and related overheads. Today the location flourishes because of its variety of offerings in the same square footage.

    Like

  • @ William

    Relative wealth, like relative poverty, is a subjective judgement. Rihanna is the top of the tree, not COW. As a little boy growing up, I knew a Bajan white family that my mother often had to bail out. I was thinking of them recently – the mother’s children and grand children. Most probably out of Barbados and doing well.
    @ William, there are about 10000 white Bajans in Britain, most of them in London. The only time they show their faces is when there is a controversial meeting at the high commission about land ownership and taxation. I have had three good examples of them, but will let it pass.

    Liked by 1 person

  • @ Hal.

    Very true.

    In the old days it was a multitude of entrepreneurs and a shortage of capital. Today it’s a magnitude of capital parked in banks and credit unions and no new entrepreneurs. I therefore agree that the years and the system have encouraged a generation of employees as opposed to one of employers.

    When you look at it that way we have in fact gone backwards you are correct sir.

    Like

  • William Skinner

    @ David
    There is nothing wrong with using historical truths in a debate such as this. I have merely ask that we attach some serious analysis or discussion to what is the role of the entrenched capitalist class as we attempt to struggle with impending national economic ruin.

    Like

  • “As expected in the attempt to cover up for the atrocities of that group , obviously buttressed by a deep fear of being labeled racists, there is an attempt to use race as a red herring to defeat my position that cannot be seriously questioned because of historical truths.”

    That is why i let no one stop me from calling these criminal minorities BY THEIR NAMES…THIEVES…..and RACISTS..

    don’t know why black people always allow these demons to dictate what they should think and say…who the hell cares about half assed thieves like Bizzy them who have been sucking the island robbing black people’s futures…AND STAGNATING ANY development or growth in the majority black population…using their BRIBED NEGROS…and some extremely filthy, dishonest negro lawyers, all in and outside the parliament….they can holler racism until the cows come home…THAT IS WHAT THEY HAVE DONE FOR OVER 50 YEARS….systematically DESTROYED THE ISLAND with corruption, THEFTS of land, money..and any hopes the black majority have of progress…and until all of them and their house negros are removed PERMANENTLY OUT OF THE LIVES OF THE MAJORITY POPULATION, that is the repulsive condition the island will remain in..

    Like

  • Vincent Codrington

    @ David Bu

    @ John A

    The models of business development do need a refresh. Particular notice must be taken of the changing markets in which businesses have to operate.

    @ David

    The Bynoes are good models to emulate. It is not what one learns ; but how one uses what one has learned. Bynoe does not follow the Peoples Market Model. There is a big input of Bynoe’s ingenuity in their businesses ( including the recycling business). The latter needs a “leg up” from the public regulators do you not think? And the latter are black.

    Could we downplay the race in this one ?

    Like

  • @ Vincent.

    I agree for some to insinuate that the business class is still the 1960s colonial class is not only misleading but disregards the success of men like Mr Bynoe.

    Today the business class is made up off all races and nationalities, some black bajan, some white bajan, some east Indian bajan and some trini bajan, if such a term is applicable.

    Actually if you look at what is owned by the traditional white bajan business wise, it is in fact shrinking with the sale of assets like BST etc

    Liked by 1 person

  • Vincent Codrington

    @ John A

    The quantum of deposits that you see in Credit Unions and Commercial banks are not capital. They may at best be described as savings, maybe money, BUT NOT CAPITAL. These institutions are Financial Intermediaries, that may, according to their risk preference, transform them into loan capital. I note that one other high profile commentator makes the same mistake.

    Like

  • @John A

    You better than many are aware Rowe has some help pushing him down the hill from the so-called middlemen.

    Liked by 1 person

  • “To paint a picture where black business has failed, is therefore not a fair statement to make on their behalf.”

    John A

    One of the most successful black business men I know is Llyod Allenye of “Shamrock Trading” fame. Here was a man from humble origins who told me he worked hard at being a carpentry and small farmer before establishing “Shamrock.”
    “Back in the day” “Shamrock” was on the lips of my great-grand parents and people of that generation.

    Alleyne was successful enough to open outlets of “Shamrock” in Eagle Hall, Baxter’s Road, Barbarees Hill and Sweet Vale in St. George, I could remember at this time. Ironically, Although Alleyne had 14 children, many of whom work in his business, as well as nieces, nephews and other relatives, the “Shamrock” brand ended with the Barbarees branch being converted to a wholesale outlet, until he eventually sold the property to New Dimension Ministries. After his death in 2011, “Shamrock” is but a memory of the past.

    Alleyne admitted he was not au fait with the administrative aspect of business and relied on his relatives for that support. But, many of them used that opportunity to enrich themselves at his expense. Hence, one of the reasons that led to Shamrock’s demise.

    The Sweet Vale outlet was bought by his son’s mother, for their son, who after his mother’s death preferred to be an “employee,” rather than being an “employer.” That supermarket, renamed “Sweet Vale Grocery,” has been closed for over 10 years, though it is situated in an ideal location.

    References were made to N.E Wilson, “Civic” ……… I also remember a Grenadian who owned a popular haberdashery store in Swan Street; “Federal Supermarket” in Nelson Street; Neville Rowe of “Julie-N” fame; Ulric Mapp’s “Mapp’s Garment Factory” and “Uniforms Unlimited;”

    Edwin Worrell struggled with “Budg-Buy Supermarkets,” “Care Cosmetique,” “Catelli Macaroni,” “Rainbow Reef Hotel,” “Carlisle Bay Centre” ……. and now operates Savings Plus Supermarkets and Snack Shacks.”

    I wouldn’t say some of “Black owned” businesses failed as a result of a lack of “succession planning,” ……… not fully preparing their children or identifying the appropriate individuals to take over and expand the businesses. Or owners operating within parameters of the same business models with which they began and not taking into account shifts in demographically diverse target markets; competition…….. or the business simply outlived its original, intended purpose.

    Liked by 1 person

  • Mr. Codrington

    You are correct and I agree with you.

    Deposits at the credit unions and commercial banks are NOT capital…… they are simply savings deposits, which could be used in the form of loan capital to finance business ventures, for example.

    Like

  • So guess what happens when ya been sellling out ya own people for DECADES…no one trusts ya..not even those ya sell out ya own people to….if i had cared by TRAITORS…ah would tell them what is being said about them, but nah, best to let it come back and bite them for the whole world to see. Everyone is watching anyway..

    https://scontent.fbgi3-1.fna.fbcdn.net/v/t1.0-9/67574641_2298077493642319_6517595730465521664_n.jpg?_nc_cat=108&_nc_oc=AQmkjQw20TdKDC-FyGcQnMij0JsY8KkwQgvYonTTOPvabsEls-8ElNSva2elBqoj10g&_nc_ht=scontent.fbgi3-1.fna&oh=24e9641b0c7ee5a477c5a1cc03872134&oe=5DA69E77

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  • @ Vincent

    I shall say there is a great deal of money sitting on the banks and credit unions hence the availability to capital is not the problem.

    I trust that meets with your approval sir. Or in bajan terms ” dem got nuff money knocking bout nobody don’t want.” Lol

    Like

  • @ Miller

    First thank you for your kind words.

    Let me ask you a question how do feel about the failure of the opposition or press to explain this to the general public? Do you feel from where you sit they are as guilty at maintaining this sense of false safety to the public as the government?

    The reason I ask and correct me if I am wrong, is that I have heard nobody speak of the additional liability that we are encuring after the default till now under the old contract. People are being led to feel the creditors would say to us ” don’t worry about that let we start fresh from next month with only the loan amount.”

    Have you heard anyone above speak of this second liability that is growing daily?

    Liked by 1 person

  • @ Artax

    Yes I remember Shamrock Trading they had a massive bond down by Barbarees Hill that is now a church. That was a strong business for sure. I did hear also there was strife over money among those involved and that helped with their demise.

    I also heard my dad speak of Mr Tudor who along with his business, also owned considerably property too. I believe that concern died as a result of the offspring not being interested in continuing with it . He was said to of been a kind man that knew nearly every customer by their first name.

    Liked by 1 person

  • Codrington

    What savings for depositors are capital for another, even the intermediary itself. A distinction without a difference, losely speaking. The same money.

    Like

  • @ David.

    Yes many of the middle men who offered him credit did pull the rug from under him when he failed to settle his account. The thing is though if his business was failing what option did they have? You either pull the plug and cut your losses or stay in and lose more.

    The problem was more though a case of the location being way too big for that business to feed. Stop and think today of how many separate businesses operate under the same roof now.

    Like

  • @John A

    If you believe that is the reason they pull the credit knock yourself out.

    Liked by 1 person

  • @ David.

    Come now let’s be reasonable. If you were moving a considerable amount of product for a supplier and paying them on time you think they would of stopped supplying? After all at heart he is a business man.

    Trust me if you knew the amount some lost in that exercise you would faint!

    Anyhow don’t let’s dwell on one man’s failings let us focus on the success of others.

    Like

  • @John A

    When we discuss successes of the Black/business sector in Barbados picking one or two will not do it. Success is measured by something greater.

    Liked by 1 person

  • William Skinner

    @ Artax

    Well said. There are some who believe that white owned businesses don’t fail. Another myth.
    We seem so obsessed with negativity regarding ourselves, that we never look at our successes.
    Indeed many of the businesses you mentioned were very successful.
    For some to even suggest that were all absolute failures is totally incorrect.
    Failing and losing considerable amounts of money with the option to get started again with “old” money is a lot different from failing and having nothing to really fall back on especially with the institutional obstacles stuck against you.
    In real terms the Millers, Alleyne, Tudors, taken the times in which they were able to flourish, were actually business geniuses.

    Liked by 1 person

  • @William

    Many of those businesses failed because the next generation maintained little interest in retrofitting or making them fit for the times. Have you observed how the White owned businesses have transformed to include services for example? You are debating a point no one is challenging.

    Liked by 1 person

  • @ David.

    I would go further and say look at how the Indian businesses have diversified.

    From salespeople in a van to real estate, insurance, PSVs, car part suppliers, reconditioned car dealers are just a few worth mentioning.

    Liked by 1 person

  • Pingback: Fund Access for Success | Barbados Underground

  • @ John A July 28, 2019 11:01 AM
    “The fact that Massy placed a supermarket in there also shows the failure was not that of the location. The problem was Rowes project was way too large for the market to feed hence its failure. In other words it lacked the capacity to feed its size and related overheads. Today the location flourishes because of its variety of offerings in the same square footage.”
    +++++++++++++++++++++++++++++++++++++++++++++++++++++++

    Rowe also suffered from that black debilitating disease called the ‘Black Business(man) Syndrome’ by believing that sales revenue means ‘easy profits’ which should be used upfront to finance the acquisition of fancy cars and other material trappings required to live the big sweet (but short) life and to make deposits in many hairy purses or holes.

    Let’s hope that the modern day success of “Popular” continues and does not end up in the hands of the East Indian business community or the cash-rich Chinese.

    Liked by 1 person

  • fortyacresandamule

    It is a universal axiom that black people the world over are risk averse when it comes to REAL entrepreneurship and BIG BUSINESS. We think in small terms. It is for this same reason why we populate the small scale subsistence business venture in our coutries, while other groups dominate the mid and upper level of the business ecosystem. Like everything in life there are exceptions of course. But the few tokens should be the rule, not the exception. We need at least100 more Dangotes.

    Like

  • You need 2000 more Black.Dangotes on the island, who have vision and understand what it means to EXPAND>

    Liked by 1 person

  • fortyacresandamule

    In the USA, black -america has over a trillion dollar in spending power, yet they own next to nothing.They spend the most per capita on luxury brands. Go figure. A big palacial house and a nice ride is our concept of generational wealth.

    Liked by 1 person

  • Some here want to make out it is only a Barbados thing.

    Liked by 1 person

  • @ John A

    Before we go astray with talk about which shop sold sweet breads and which sold turnovers, let us go back to the unofficial independence settlement.
    Post-independence political power was given (or more correctly left in the hands of) the blacks and economic power to the whites. But white economic control of the banks was not local, but foreign, Canadian and British, who had no more love for local whites, who they considered (and still do) as creoles, than the blacks, who they regarded as semi-civilised.
    But black people were also the consumers of the goods and services of the white-controlled businesses and their employees. Since 1951, they also had the vote. It was this abuse of political power that has led to the decline of the state. We lacked awareness of our power both as consumers and as voters and our political leaders have lacked imagination and ideas.
    Give you an example, the rum sector. As a little boy we had so many brands: Pretty Girl, Alleyne Arthur, Mount Gay, the list endless; yet today, one of the joys of progress is that people have more disposable income, which includes more to spend on their favourite drinks. Compare the global sales of rum with whisky, gin and even tequila.
    Or take the small grocery shops: when Barbadians started earning regular incomes and thus more disposable money, they opted to shop at supermarket (they used to be called cash and carries), not the small grocery shops they once shopped at and ran up debt. This aspirational capitalism killed off small shops as a viable concern.
    Or, look at the supply chain, if the small shops had formed a wholesale distribution company/cooperative (if they did not government could have nudged them to) that would have killed off, or at least seriously undermined Roebuck Street mercantile capitalism; and, as we have mentioned on numerous occasions before, if government had turned the 18 post offices in to post office balance sheet banks; or allowed the credit unions to establish a credit union bank, the foreign-owned retail banks behaving badly would have been chased out of town. Or, Heavens forbid, if our financial regulators had simply done their jobs consumers would have received a better service.
    I can go on and on, but you got my drift. The failure of Barbados as a state is nothing to do with the battle between capital and labour (how then do we explain digital capitalism?); the failure is a direct result of the political elite, part of which is allowing itself to be captured by the dominant business class.
    I will give you an example of this capture in developed economies: government establishes a financial regulator (an institution, not an individual) and spends a lot of money on training up specialist staff, from actuaries, lawyers, accountants, etc.
    But by definition they are public servants and their salaries are limited; then along comes some mega bank or insurance company and offers them double their salaries to join them, doing exactly what they do for the regulator, only this time they are sitting the other side of the table; more significantly, they have more expert knowledge than the officer from the regulator, who used to be their junior.
    This is regulatory capture in a serious way and is taught in business schools and on commercial law courses throughout the world. Complicated? Think Dr DeLisle Worrell and the government’s default on its foreign debt. You can also be sure that the foreign creditors also employ the best lawyers and accountants.
    To end here, the reality is that we do not understand the culture of modern business, even if we have the potential to learn. We are where we are because of our stubborn ignorance of how business works and allowing poorly trained lawyers to dominate our public debate..

    Liked by 1 person

  • fortyacresandamule

    And because we are afraid to think BIG and accept RISK, the next best and easier route to RICHES for some is to get near the public purse ( a career in the public service or a career politician ) where all manner of corruption is practiced.

    Like

  • @ Hal

    Yes without question consecutive governments must be held responsible for where we are today. They either don’t understand or do not want to enter into any serious discussion with the public on financial matters.

    The way this whole foreign debt restructuring and lack of a clearly defined growth plan has been dealt with, confirms all of this. The fact that the opposition is also made up of similar persons also does not augur well for us.

    The icing on the cake which shows a a lack of understanding of how money works, was clearly brought home in the utterances of their chief advisor though.

    If you notice to date neither opposition or the press has challenged his statement, hence confirming what we already knew. Instead of demanding facts we are willing to accept statements like the one below as policy.

    ” we shall continue with our austerity program while focusing on growth.”

    Liked by 1 person

  • @John A

    It is part of what I call the Bajan Condition. You make bold statements, or try to rubbish what has been said by someone, or you try t guess what people mean, but you do not enter discussion. You get it on BU routinely. Just look at the myth of Barrow as Father of Independence.
    Something I have been asking for for years is for the central bank to publish its research methodologies; if they do it means we can shadow their research assumptions and challenge them on nonsense such as austerity and growth. So far they have refused to. Is it DSGE or DGE? We ought to know.

    Liked by 1 person

  • @@ John A

    I forgot to mention. It is big news where former public servants go to work. In my time we used to publish a regular list of former regulators who now work in the private sector, their salaries, and the cases they worked on as regulators. Did any of their cases involve their current employers?

    Liked by 1 person

  • A lot have been mentioned as to why previous ground roots black business failed that started out as mom and pop stores and some became fully established then to fail
    Some who insist on burying head in the sand as how much role big financial institutions played in their demise must also look outside of barbados and into international countries where the same can be said of many black business who were deliberately shut out (of ) by big financial instutions out of fearful perception and to grossly stigmatize
    Throughtout small towns in america one can witness an onslaught of big companies like Walmart and Walgreens who have taken over black neighbours which once were dominated by small black businesses
    The banks in that case had perceive an outcome and refused to give the small business man any capital as a mainstay to compete with big business
    The analogy can also be said towards the small business man in barbados as the captalist imperialist made way across the Carribbean Region a new territory was open which the banks saw as an opportunity to increase their financial networth and close the doors tight on the small business man

    Like

  • fortyacresandamule

    The IMF is promoting inflation targeting monetary policy for the region central banks.They have been trying it in Jamaica since 2016. I don’t think inflation targeting is appropriate nor would it be credible for small open economies given the nature of their small, almost monopolistic, and unsophisticated financial sector. The interest rate transmission mechanism would be a big factor.

    For it to be attempted in Babados, the fixed exchange rate system would have to be dismantled. Because the nature of inflation targeting requires a free- floating currency.

    Like

  • fortyacresandamule

    @Mariposa. Black-america demise overall was destroyed by integration in my opinion. Blacks in america right up to the 50s owned a vast amount of land. Today they own a minute fraction of land, compare to what they owned in the 1920s. One of our biggest downfall is that we suffer from a WHITE SAVIOR COMPLEX.

    Like

  • @fortyacresandamule

    Make up your mind, which model are we using?

    Liked by 1 person

  • The general timbre of this latest discussion on black business is sad and highlights the problem.

    After
    -decades of independence
    – having 95% of the population
    -$Billions spent on education by taxpayers
    -stable political system

    The best we can do is talk about NE Wilson, Shamrock, Julie N etc. The conversation always boomerangs there. These were mid sized businesses even in the Bajan context. By now there should be large black owned businesses on the island, champions competing with those of the neo-plantocrats.

    Lets be honest here for once. BBs do not see themselves as capable, deserving of owning and controlling big business. This is clear from the self-imposed limitations to the sabotage waged by our fellow BBs

    Until the mindset changes BBs will always be workers and employees.

    Or does the white man control our thinking too?

    Like

  • Dullard
    You require a name change.
    Certainly, they are others here more deserving of such a moniker. Lol

    Liked by 1 person

  • John A
    July 28, 2019 10:09 AM

    Agreed. Re diversification, of course, the Indian businessmen have seen where the profits lie and targeted those areas that you mention.

    On the issue of savings vs capital, of course, the large commercial banks are using these funds to make their own profits, which they make a lot of, as you know.

    This is why Barbados needs, as some of you suggest, to think carefully how to develop these funds into mechanism that provide better inflation resistant and return providing models, albeit with reasonable but not criminal risk.

    I think that part of this discussion must be the matter of imported goods and services.

    For example, what is the point of local investor setting up a plant to process local vegetables, when his market is flooded with cheap canned vegetables? Maybe I am wrong, but right up front he has an issue. Unless of course, he manages to distinguish the product being branded organic or cleaner than the others etc.

    Just an example, but you get the idea, while not being outright protectionist, there must be some warranty against unfair competition.

    To look at the funding without looking at the market (term used in the wider context) will not work. Each tentacle of the economy must work symbiotically, not on its own in a vacuum.

    Like

  • fortyacresandamule

    @David. Which model ? are you alluding to the exchange rate system fixed vs floating?

    Like

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