Wrong Test!

PM not interested in any external rating

If you thought Prime Minister Freundel Stuart was in any way moved by last week’s Standard & Poor’s downgrade — the 18th suffered by the island since his Democratic Labour Party (DLP) Government came to power nine years ago – – well you had better think again.

Today, Stuart all but called the name of the international ratings agency, while warning that Barbados had long passed the days when it needed external validation from “metropolitan capitals”.

And while likening the grading of an economy to the marking of an examination, the Prime Minister also made it clear that he was not about to let anyone from outside — let alone any external marker — “shame” Barbados into thinking it had failed.

To do that, he said, would belie the country’s proud boast of 50 years of Independence and take it back to a day when approval was needed from outside.

“We seem now to be working ourselves back into a frame of mind where once again we want to sit exams for people outside of Barbados and wait on them to grade us and if they tell us we have passed we are supposed to feel good that we have passed, and when they tell us we have failed we are supposed to hold our heads in shame and think that we are failures,” Stuart told the gathering for a presentation of $10 million in equipment by the Chinese Government at the Ministry of Education this morning.

Just last Friday S&P downgraded Barbados to ‘CCC+/C’ based on its limited financing alternatives and low international reserves.

The New York based agency also issued a negative outlook for the island, while warning that the sustainability of the Barbados dollar was now under threat, amid Government’s continued reliance on the Central Bank to finance its deficit.

“As a result, we are lowering our long-term foreign and local currency sovereign credit ratings on Barbados to ‘CCC+’ from ‘B-’.

“We are also lowering our short-term foreign and local currency sovereign credit ratings to ‘C’ from ‘B’,” the ratings agency said.

Addressing a midterm conference of his DLP last weekend, Stuart had initially warned that “rating agencies can only downgrade Barbados’ credit worthiness, its ability to borrow. They cannot downgrade Barbados itself.

“The most they can do is to say to us that if you want to go and borrow, because we’ve downgraded you, persons who might be inclined to lend you will make the money they want to lend you more expensive.

“But we are not looking to borrow,” he said then, emphasizing that his Government was looking to earn foreign exchange and not to borrow money.

“[I’m] not saying that from time to time you may not have to go in very extreme circumstances to the market, but that is not any first resort for the present Government.

“We are trying to earn our way in the world,” said Stuart, whose comments attracted heavy criticism from a wide cross section of Barbadians, who vented over his response on Barbados TODAY’s Facebook page.

However, in rejection of those criticisms, the Prime Minister appeared even more strident today, while maintaining that his administration had nothing to be ashamed of in terms of its economic management.

Without making any mention of the word downgrade either, Stuart, who met only last Friday with the island’s Social Partnership and mandated that two committees report to him on the economy in two weeks’ time, further warned that it would be a backward step for the island to subject itself to external markers.

“That is not what we should be doing 50 years after independence. We have a project here that is working quite well; that project receives validation and support from countries like the People’s Republic of China. And I think wherever we can find good, decent and collaborative relationships, we should let slip no opportunity to build and consolidate those friendships,” he said.

davandrababb@barbadostoday.bb.

35 Responses to Wrong Test!

  1. Krystle Howell
    Krystle Howell March 8, 2017 at 11:38 pm

    You do know that every time we suffer a downgrade, the amount of interest we pay on international debt increases, so whether or not you think it means nothing, these downgrades have very real and immediate consequences.

    Not to mention the fact that it makes quality investors skeptical about putting money into Barbados at a time when we seriously need foreign direct investments.

    He sounds like a class 4 child that says 11 plus don’t mean anything but doesn’t have the arsenal to prove the system wrong…

    Reply
    • Donild Trimp March 9, 2017 at 10:21 pm

      I like the stern approach the PM is taking. I agree 100% with the following statement:

      “Barbados had long passed the days when it needed external validation from metropolitan capitals”.

      Reply
      • Johnathan March 14, 2017 at 3:45 am

        Only an idiot like you would blindly follow and make such an iliterate response to stupidity…

        Reply
  2. Duane Burke
    Duane Burke March 9, 2017 at 12:10 am

    Also add that it affects Foreign Direct Investment. It increases the risk of investment which increases the Required Rate of Return when evaluating whether the investment is prudent. Further it makes Political Risk insurance prohibitive IF it can even be obtained. Among many other fall out factors.

    Reply
  3. The Rocl March 9, 2017 at 12:31 am

    Lord deliver us from this government and this … Prime Minister. Amen

    Reply
  4. Sandra Madea
    Sandra Madea March 9, 2017 at 12:59 am

    MR. STUART

    Reply
  5. Rawle Maycock
    Rawle Maycock March 9, 2017 at 1:11 am

    He sounds as if China is coming to his rescue.

    Reply
  6. harry turnover March 9, 2017 at 5:54 am

    Stuart….shut ya damn mout. When an external validation from a metropolitan capital said that wunna had turn the corner YOU DIN JUMP AND WUK UP PUN IT ?

    Reply
  7. hcalndre March 9, 2017 at 6:23 am

    Whenever the man open his mouth that`s what comes out and not one of his ministers would tell him what he says don`t change the negative economic outlook of the island. Barbados is not an independent, it`s a dependent. China has become your upkeep so remember when they need you, be there for them too on the world scene.

    Reply
  8. bradg March 9, 2017 at 6:49 am

    Stuart is really out of touch with reality. Seems everybody knows the negative effects of these downgrades…..except him!! What a waste!!!

    Reply
  9. The Negrocrat March 9, 2017 at 7:06 am

    This man is a half ah idiot.

    Reply
    • Randolph March 9, 2017 at 9:47 am

      Only half?

      Reply
    • Rob Roy March 9, 2017 at 10:39 am

      And anyone who takes him seriously is a whole idiot.

      Reply
  10. Harry March 9, 2017 at 7:09 am

    why i am not surprised……… as our Leader he doesn’t understand or pretends not to. Between this stupidity and the unsuitability of the MOF of Finance there is no hope.

    Reply
  11. Johnathan March 9, 2017 at 7:18 am

    An arrogant,speightful,uncaring clown..

    Reply
  12. Patricia March 9, 2017 at 7:54 am

    Are you aware that importers have ‘stopped’ the accounts/denied credit to local importers because of the downgrades? This could have dire effects on the supply of goods locally.

    Reply
  13. T March 9, 2017 at 8:03 am

    Shame Barbados into thinking it failed?!… I don’t think it’s “Barbados” who should be ashamed of failure… just a certain party. Couple that with utter denial and stupidity at its a recipe for a Country in crisis…

    Reply
  14. Ossie Moore March 9, 2017 at 8:14 am

    There are so many laughable contradictions in your words and actions but today let’s talk a look at the most glaring:

    “We are trying to earn our way”

    So do tell how that is so when the deficit continues to grow? Meaning your way is costing you more than you are EARNing or to quote Buju “spending a dime while earning a nickel”. Your administration must clearly try harder.

    Finally, it’s a shame we don’t have a recently published approval rating. It is then that we could have some real facts about how the population inside Barbados not just the international community grades you and your countless failures on both financial AND social agendas as you term them.

    Reply
  15. Carson C Cadogan March 9, 2017 at 8:16 am

    The Prime Minister hit the nail right on the head.

    Far too many BLACK people in Barbados are of the opinion,Barbados Labour Party members included, that what we do here in Bim must somehow be validated by a bunch of WHITE people sitting in a room somewhere in America or England.

    If we dont get this validation by these white folks, then we dont know what we are doing. I really thought that we had moved away from such Colonial thinking. I see that we still have a long way to go.

    Reply
    • v Elaine Van huis March 9, 2017 at 8:59 am

      But ah, it is dictated to by WHITE people, if it didn’t it wouldn’t be in the mess it is in now. do you Know Who the IMF is? Ask Guyana, Trinidad, Jamaica, Argentina and even Bolivia who just raised enough money to pay them back and kick them out.

      Reply
    • v Elaine Van huis March 9, 2017 at 9:00 am

      But ah, it is dictated to by WHITE people, if it didn’t it wouldn’t be in the mess it is in now. do you Know Who the IMF is?

      Reply
    • Igrunt Barbie March 9, 2017 at 5:38 pm

      Ahhh boy there are two spins to this…. Everyone has an agenda…. This. Party was erroneous regarding approach the debt and deficit but i also believe that these bretton woods association also have their undelying agendas…well many bajans have a colonial mindset whether cognizant of the fact or otherwise……

      Reply
    • Oce Joe March 10, 2017 at 7:04 am

      You sir, like the PM, clearly does not understand simple economics!

      Reply
    • Johnathan March 14, 2017 at 3:48 am

      You are an unbelievable BaJan jackass…

      Reply
  16. jus me March 9, 2017 at 8:55 am

    Carson C Cadogan
    PLEASE show us CLEARLY HOW you know the people who initiated and invoked the down grade were
    A BUNCH OF WHITES.
    We understand you are up tight with the PM BUT the International Agencies???
    NAH!!!
    I think you just a CLUCKING YARD FOWL.
    Racialism and TOTAL self interest motivates you.

    Reply
  17. Ernesta Catlyn March 9, 2017 at 9:10 am

    The man was keeping his mouth shut for all these years because he knew that if you ‘speak softly only those closest to you will know how little you know’. Wunna force the man hand and now cussing he?

    Reply
  18. jus me March 9, 2017 at 9:12 am

    Clearly this man who pretends to run this Island is delusional.

    A little akin to his political relative ADOLPH HITLER ,who also hid from reality and acted as tho he had WON, up to the day he took his own life.

    I am beginning to think we as a Nation are cursed with a Mad Man as our leader.

    THE DPP has the power to arrest and remove the PM,or anyone else come to that.
    lol
    Mind you that 1000US$ suit looks good,if I ever be PM itsfirst thing I gunna get.

    I noticed the other day, he reading his script Upsider downer, mebbe someone should tell him which way up it really goes.

    I really gunna miss this IJJIT , when we throw him out, his surrealist take on existence is amazingly hilarious.
    Problem is I laffin and nearly dead from him.

    Reply
  19. Carson C Cadogan March 9, 2017 at 11:53 am

    I know how it is with you Barbados Labour Party folks. You think in slow motion.

    I have lived to see the Barbados Labour Party members and their supporters come to revere the Hon. Errol Barrow. In the begging to BLP members and supporters Dipper Barrow was incompetent, he didnt know how to run the country, he was a Dictator, he was a Communist, after Independence in 1966 he was going to do way with elections, he was the worst man on Earth. The Barbados Labour Party even went out of their way to try lock up Errol Barrow, but they didnt succeed.

    Many years later much to my surprise I saw the said same Barbados Labour Party signing Errol Barrow’s praises. They even erected a Stature in his honour. Can you believe it the same Errol Barrow they vilified. I heard on many occasions Mia Amor Mottley reffed to him as “Uncle Errol” I nearly fell off my chair.

    So all we have to do is to give Barabdos Labour Party members and supporters a couple of decades and they will be signing the praises of Freundel Stuart. It will be a little late but better late than never as they did with Errol Barrow.

    Reply
  20. Carson C Cadogan March 9, 2017 at 12:08 pm

    Should be “beginning” line 3, word No. 7

    beg pardon.

    Reply
  21. Gearbox1964 March 9, 2017 at 1:11 pm

    Carson, you and the entire DLP cabinet want taking out in the middle of the ocean in the middle of the night and thrown overboard.

    Reply
  22. Frank White March 9, 2017 at 1:16 pm

    @ Carson cadogan, The higher the monkey climb, the more yah does see he ass…

    Reply
  23. Errol Adams March 9, 2017 at 3:15 pm

    @ Carson C Cadogan, Interesting comment”I thought we had moved away from Colonial thinking, but if you look closely at the actions of the DLP over its two terms you would clearly see the trend of this Government is to unfairly supporting the local Colonial descendants who already control most of the islands wealth, by awarding of lucrative contracts with out any tender process and the discrete and immoral privatization of the island back into the hands of the local Colonial descendants, in short we are returning to the days of slavery with the plantations being replaced by business places with the same ownership ancestry.

    Reply
  24. BimJIm March 9, 2017 at 3:40 pm

    “Better to Remain Silent and Be Thought a Fool than to Speak and Remove All Doubt”
    ~Abraham Lincoln

    == Quod Erat Demonstrandum ==

    I had thought the man was a feckin idjet. Then he spoke, and by so doing has removed all doubt.

    RESIGN!!! RESIGN!!!

    Reply
  25. Cyril Volney March 9, 2017 at 3:55 pm

    If BIM keeps printing money the way it is going on, not even the EAST CARIBBEAN CENTRAL BANK will let BIM in. Listen to the IMF, and make adjustments, now.

    Reply
  26. F.M. Gilkes March 9, 2017 at 7:51 pm

    I hang my head in shame, not of our beloved country but in shame of our prime minister and a cabinet that is lost at sea.

    Reply

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