Guilty as charged!

Sinckler owns up to printing money

In a confession of sorts, Minister of Finance Chris Sinckler Monday admitted that the Central Bank’s printing of money was “not good” for the ailing Barbados economy and it must be “brought to a halt as soon as is practical”.

“It is not a sustainable policy, it doesn’t work well, it doesn’t look good, it doesn’t smell good, it is not good,” he told the post-lunch session of debate on the 2017/2018 Estimates of Revenue and Expenditure.

According to the him, the Central Bank provided financial support to the tune of $714.5 million at the end of December 2016 to help finance the underlying deficit and to cover a shortfall arising from the refinancing of maturing debt.

Chris Sinckler (right)

Insisting that the Freundel Stuart administration had little choice but to resort to the Government’s primary banker to avert chaos in the Barbados economy, Sinckler said the ruling Democratic Labour Party (DLP) was prepared to stand guilty as charged.

“If the price of saving lives and livelihoods is a downgrade from Moody’s or a bad report from S&P . . . if that is the price that we have had to pay to protect ordinary citizens from the worst ravages of this recession it is a price we willingly accept as a Government.

 Sinckler, who appeared to be in a fighting mood, slammed critics saying the Government has had to endure the attacks of an “abusive Opposition and the wrath of “economic terrorists” called rating agencies.

“However wrong some may say it was, we did what we feel was in the best interest of the poor, powerless, the vulnerable in this society,” he maintained.

Sinckler, who fired former Central Bank Governor Dr DeLisle Worrell last month, was however at pains to point out that the Central Bank did not print money at his request.

He explained that the bank in consultation with the Ministry of Finance has a cash flow committee, which meets to analyze the country’s cash requirement and determine what level of support the bank would have to provide in the event of a shortfall.

“They don’t wait on any call from the Minister of Finance to any Governor of the Central Bank or anybody that working in there. It doesn’t happen that way, I have never called any Governor of the Central Bank or any body in the Central Bank to tell them – look print money,” Sinckler told the House.

He also snubbed calls for Government to impose fiscal rules to prevent the Central Bank from financing Government expenditure saying experts from the Caribbean Regional Technical Assistance and Centre (CARTAC) and the International Monetary Fund (IMF), which recently advised Cabinet on the matter strongly advised against the move.

“One thing the expert said to us is to get your structures in the economy right first, do the thing that is required first before you put any laws in place, because you are going to put the laws in place and then end up having to change them.”

The minister of finance however acknowledged that Government was “borrowing too much money from the Central Bank” and it had to face up to the issue.

He said a major target of this year’s Estimates was a reduction of the fiscal deficit from 5.1 percent to 4.4 per cent of the Gross Domestic Product.

“We still think that 4.4 [per cent] is too high. We need to bring it down further so that it financeable but we need to do it in a responsible way that does not unravel the entire society and we are going to be meeting with all groups in the society and interested persons and work it out how we can get to the stage of phasing out Central Bank lending.”

Sinckler said Government’s strategy would entail increasing project flows to finance public sector activities and reduce the impact of high foreign debt service borrowing while speeding up fiscal consolidation efforts to restore confidence.

16 Responses to Guilty as charged!

  1. Eileene Jordan
    Eileene Jordan March 13, 2017 at 11:16 pm

    He want locking up.

    Reply
  2. Sean Chandler
    Sean Chandler March 13, 2017 at 11:23 pm

    Backpedaling like a boss

    Reply
  3. Matthew Jordan
    Matthew Jordan March 13, 2017 at 11:25 pm

    Absolutely ruined this country and its economy. This is one of the worst and uncertain times Barbados has ever seen and we should be shame as an independent, educated nation to be in tis position.
    But all these DLP politicians got their 2nd term, their pension secured, so they couldn’t care less what happens now. That was their agenda the entire time and Barbadians fell for it. SMH

    Reply
  4. Timothy Thomas March 13, 2017 at 11:43 pm

    This man really think that we are a bunch of idiots. How dear he come now talking about protecting the poor and vulnerable after he and his government left we for dead. The days of political pandering is drawing to an end. You can’t mismanagement this economy and then pass off you incompetence with a lame excuse. You have buried us in debt, taxed us to death, made the middle class poor and the poor poorer. Then you got the balls to come in an estimated and try to make us feel that you doing us a favour. Rejected, enough is enough.

    Reply
  5. Sunil Brome
    Sunil Brome March 13, 2017 at 11:45 pm

    This is disgraceful
    You don’t get to put poor people on your back and tell us you are doing what you are doing for them. They or Barbados has not been your consideration for ages. You are now seeking every and any loophole to crawl out of and I am actually embarrassed for you.
    You also mentioned the Govenor of the Central bank as being the Author of the money printing scheme, so at which point were you made aware of this scheme at which point did you stop and say no? Never!, because you will continue to do it because you have no other cards to play. Slowly but surely you will embrace your failure please do it sooner than later and step aside, you and your partymen and let others with this country in mind attempt, God help them, to regain our strength.

    Reply
  6. Timothy Thomas March 13, 2017 at 11:46 pm

    How dare he

    Reply
  7. Sandra Madea
    Sandra Madea March 14, 2017 at 12:14 am

    U should be locked up for what u did and doing to this country. .

    Reply
  8. Mariam Makeba
    Mariam Makeba March 14, 2017 at 12:31 am

    Dear Mr. Editor would you print my story in your magazine , the printing of money is not a good thing for the country and that is my true confession.

    Reply
  9. Johnathan March 14, 2017 at 4:30 am

    Sinkler and Stuart who were the beneficiaries of our free educational system seem to think that they are the only ones with brains and all others are ignorant.The way Stuart’s undignified and condescending presentations to a nation annoy is totally pathetic. Sinkler on the other hand now coming with this se less lame approach that he did for the poor and vulnerable. Well Sinkler the poor and vulnerable just ain’t feeling and as we are hungry and broke.
    You and the rest in there have gone to broke to fat cats and secured an even bigger pension with the return of the 10% as you guys just don’t care since you think it is your last mass and will run it for as long as you can. Set of uncaring,selfish disresctful bastards. Now you have Richard Sealy calling us characters but we will deal with him…

    Reply
  10. Bradg March 14, 2017 at 5:54 am

    This is why this administration needs to get out of office. MR. Sinckler, dont let the door hit you on your way out!!

    Reply
  11. Jennifer March 14, 2017 at 6:37 am

    I home everyone can see why these people are in SELF INDUCED comas. When are you going to realize that these rating agencies are not the economic terrorist. Idiots you are rubbing shoulders with them daily at that large table with that Lilly white table cloth. You should actually pay those rating agencies. And the opposition just like you too. I am sure when they left office their left a long nasty trail of debris. Hence they would still be in office. BUT SO CALLED BARBADIANS HAVE SHORT MEMORIES and that is what is causing you people to be in this constant see saw, bungee jumping political cycle of Bull$$hit.
    After telling us the hog wash on what your advisors told you, can you kindly tell us in DETAIL and simple for the unlearned what are your STRATEGIC plans. (If you have any) Or is it a case of make it up as you go along.

    Reply
    • Jennifer March 14, 2017 at 7:30 am

      OH no, I made a mistake. The agencies and those at that table are one of the same, feeding from the same trough.

      Reply
  12. Natalie March 14, 2017 at 6:46 am

    If you admit guilt….then call the elections so we can sentence you to the Political Wilderness for the next 50 years.

    Reply
  13. Sisleen Greene March 14, 2017 at 8:11 am

    Jennifer

    you know you speak like a perfect idiot, it is not about blame now “assbert” cousin, it is more about finding the solution to remedy the situation.

    Reply
    • Jennifer March 14, 2017 at 8:18 am

      Sisleen Greene – So sensible give us the solutions. Just like I asked for from the minister.

      Reply
      • Jennifer March 14, 2017 at 8:25 am

        @Sisleen – If you cannot see that this people are strangulated and kept down by these corporate fuc____. And that these political bandits are actually aiding them out. While my people are at the bottom being in the majority 93%. With the other 2% flourishing. Then who is the REAL ASSBERT. Or are you part of that 2%??????

        Reply

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