Sad state

BIBA continues to fear impact of high deficit

Government’s inability to reduce its fiscal deficits is placing the international business sector at risk, according to the non-profit trade group which promotes Barbados’ international business relations.

The Barbados International Business Association (BIBA) points to a need for Government to reduce its spending in order to protect the island’s foreign reserves as a reflection of “a sad economic reality” for the country.

In a document apparently written before Governor of the Central Bank of Barbados Dr DeLisle Worrell presented his economic review last week, BIBA President Gregory McConnie made no mention of the review.

However, he referred to the bank’s newsletter of the first week of January in which Worrell had warned of the need for Government to cut spending further in order to protect the foreign exchange reserves, saying that statement suggested the economy was in a sad state.

“Much of the situation is driven by the inability of the Government to adequately address the fiscal deficits that are continuing year after year. These have undermined the ability of the country to borrow at attractive interest rates and shaken the confidence of foreign investors looking to make significant investments,” McConnie wrote.

He also shared the view of BIBA’s Executive Director Henderson Holmes that the continued downgrades could deal a devastating blow to the island’s attractiveness as a jurisdiction in which to do business.

In last week’s economic review, Worrell noted that the number of international business companies had declined by about five per cent as at October 2016.

“While foreign investors operating international business entities are in many ways isolated from the foreign reserves and domestic economy issues, they are still impacted by some of the knock on effects including the deteriorating infrastructure and potential social issues that can arise from a depressed economy,” McConnie warned.

“Through all of these challenges, it may be difficult to maintain a positive outlook for our economy and more specifically, the international business sector.”

Still, he said, Barbados had many attributes that made it attractive to international investors, including a stable political system, a solid infrastructural base, mature financial institutions, and a well-balanced regulatory environment.

However, he said in order to continue to capitalize on those attributes the authorities must make it easier to do business here.

He said the sector contributed over $1 billion to the economy annually, but there were opportunities available for it to do even better.

7 Responses to Sad state

  1. Hal Austin January 28, 2017 at 3:36 am

    Arrogance, incompetence, pride, obstinacy, hard-headedness, stupidity, incomprehension, add any number of adjectives to the list.
    What would it take to convince Sinckler to do the right thing, and Stuart to fire him?

    Reply
    • harry turnover January 28, 2017 at 6:59 am

      Hal,the PM is not going to fire Sinckler or anyone else for that matter.
      If he does his Government would collapse like a pack of dominoes and tracks would be left uncovered.
      Just like how they are covering the pot holes on the outside before elections, pot holes on the inside must be covered on the inside before elections too.

      Reply
    • Donild Trimp January 28, 2017 at 12:21 pm

      Hal Austin, I do not understand your logic.

      Why would the PM fire him for doing the right thing?

      Reply
  2. Tony Webster January 28, 2017 at 4:05 am

    @Hal: Sir (and dear friend), I object to you purloining; stealing; or even just unauthorised use, of all those adjectives, leaving none in pristine state, for my personal use and comfort.

    However, I summon up the remaining dregs of my objectivity, to share with you that these are all “normal human attributes”. Welcome, dear friend, to the New Normal.

    As for “Doing The Right Thing”…this is scarce; out-of-season; out-of-fashion; the price of which is rising as inversely as the Donald’s last few specks of Global Respect are diminished into infinity; and our own Leader Maximus, is bereft of Swords Upon Which To Fall. Or to be pushed.

    I apologise for this intemperate adventure into the world of prosaic prose, having been carried-away on a surging sea of despair, as by now, I had reason to expect the sounding of Trumps (shoots!) announcing the return of My Saviour.
    Kindest etc.

    Reply
  3. Veroniva Boyce
    Veroniva Boyce January 28, 2017 at 6:39 am

    #Sinkhole

    Reply
  4. Peter January 28, 2017 at 6:49 am

    Me too Tony. Hal used up a lot of adjectives, so I will try to find a few more from my somewhat shallow vocab. Insipid, errant, knucklehead, empty-headed, unthinking, vote buyer, idiot, political party pooch plus one thousand more.

    Reply
  5. Donkey Ote January 28, 2017 at 8:59 am

    “Arrogance, incompetence, pride, obstinacy, hard-headedness, stupidity, incomprehension, add any number of adjectives to the list.”

    I fully agree with Hal, and add the following adjectives: arrogant arrogance, incompetent incompetence, proud pride, obstinate obstinacy, hard-headed hard-headedness, stupid stupidity and incomprehensible incomprehension. TICOC ( tongue in cheek, of course) lol.

    Reply

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