Arthur warns economy heading down slippery slope
Former prime minister Owen Arthur is warning that the barbados economy is headed down the same slippery slope that it’s Caribbean neighbours, Jamaica and Guyana went some years ago.
And he blames the Central Bank’s printing of large sums of currency to accommodate the Freundel Stuart administration’s unsustainable fiscal deficit.
Delivering the inaugural Independence lecture of the School of Politics yesterday evening at the Cricket Legends of Barbados, Arthur said the Central Bank had printed $370 million to purchase Government Treasury Bills and this was the chief factor that has triggered a dramatic drop in the country’s foreign reserves.
He warned that if the situation is not rectified, Barbados’ economic affairs will enter “new and very dangerous territory.”