SIX CARIBBEAN SMALL Island Developing States (SIDS) are among the top ten SIDS in the world with public debt greater than their gross domestic product or GDP.
Based on 2020 data Barbados is the highest ranked at 157% followed by Suriname, Belize, Dominica, Jamaica and Antigua & Barbuda.
Policy Advisor to the Caribbean Policy Development Centre (CPDC), Jwala Rambarran told delegates at the Caribbean Debt and Climate Consultations at UN House in Barbados on Tuesday, November 02 that most of this debt is owned by private creditors; with China being the largest creditor.
Mr. Rambarran said that many Caribbean SIDS do not qualify for low cost concessional financing from international lenders because of their middle income status. He stressed that creditors do not take the effects of external shocks into consideration, some going as far back as 1996 with the phasing out of preferential trade agreements for sugar and bananas, the global financial crisis and the fuel hike in 2008, more recently the COVID-19 pandemic in 2020 and Russia’s invasion of Ukraine in 2022.
Caribbean SIDS also face the constant threat of frequent and ferocious natural disasters, exacerbated by climate change. He noted that between 1950 and 2021, the region faced 423 named storms, 216 hurricanes and 100 major hurricanes. It has been estimated that the region has suffered about US$30 billion in damages over the last 70 years.
Mr. Rambarran estimated that the total Caribbean debt amounts to almost US$65 Billion, of which more than half is domestic debt. This is debt held by local banks, insurance companies and monies used for education, health and local social programmes which may not be sustainable.
The CPDC’s answer to the challenge facing indebted countries is CARIBBEAN EMANCIPATION 2030, which has several global initiatives as its foundation. The policy advisor noted, “It looked at what were the types of debt restructuring and debt cancellation agreements that the international communities had proposed, had used and some of which are still in use.”
The aim is to come up with a debt solution that is tailored to the Caribbean. The three main objectives are – to allow the region to negotiate substantial reductions in their overall Secondly, to institute New Green Resilience Bonds which it is hoped would usher in a new wave of capital flows to Caribbean SIDS and thirdly encourage many Caribbean countries to adopt and pursue ambitious, economic reform programs linking debt relief to climate resilience.
Officer in Charge of the CPDC, Richard Jones said that it is critical that the voices of those most impacted by sovereign debt are heard. He stressed that some of the most affected groups go unnoticed and noted that as interlocutors between policymakers and the most vulnerable, civil society is uniquely placed to articulate grassroots needs.
“Civil society brings the human touch to policymaking where others have faltered. Given the external shocks rocking Caribbean SIDS, solutions are desperately needed to improve the quality of life and livelihoods of those most affected. When we talk about sustainable development, priority must be given to marginalized social sectors. The erasure of poverty is paramount. That is the root of sustainability,” he said.
Mr. Rambarran concluded, “We wanted a message that carried the word emancipation. We wanted a message that would sit deeply with policy makers and the wider society. It also carried this powerful symbolism – you break the chains of slavery and break the bondage of debt,” he said. (ENDS)
ABOUT CPDC
The CPDC is a regional umbrella body of non-governmental organisations for over 30 years and is headquartered in Barbados. The CPDC advocates on a number of social and economic development issues impacting the region, and provides technical assistance and small grant support to civil society organisations across the Caribbean. The CPDC can be reached at email address [email protected] or telephone 1-246-437-6055.
“Facts are stubborn things”, for the angels of deception to swallow, that’s why the Dr Dr and his disciples of doom and gloom encouraged by his enablers and supporters continue to defend this recalcitrant DLP administration by any means necessary included keeping the foolish and stupid enslaved mentally; a country that exports nothing and depends soley on the sale it’s passports for economic survival is bound to be in a debt-stranglehold; put that in you all pipe and smoke it. even Dr Ralph Gonsalve of St Vincent and the Grenadines warned us, but those greedy hyenas won’t take heed.
Richard Jones, your face shows that you were born yesterday, and so is your message.
What country of the World, do you know is in its developing mode and do not have debts?
Do you know anyone with a huge mansion, who does not owe money to their financial institution? But this mansion continues to be a home for its people.
How do you think those financial institutions gain their power if the people of their region do not burrow money from them to do their business?
And if you claim to be a journalist or a Writer did you pay for your degree with peanuts? And even peanuts will need finances for profiting production–no premier farmer was born rich.
Barbados, Suriname, Belize, Jamaica, and Antigua & Barbuda are all developing countries, the reason they have have debts. Therefore, it is a good thing that Dominica is among them; it proves that she too, in on the move. Write something that will educate the people; no this foolish input.
@the evil one
Your accomplice of evil….Read and try to understand.. Your darn scatterbrain. It’s not that countries do not have debts…What you have read is ALL about unsustainable debts, where the bebt level exceeds the country’s Gross Domestic Product.
You clearly cannot comprehend that.
WICKED!!
@MEME
Well said! You have it precisely right. The rapidly aging lady is obviously suffering from serious cognitive decline.
Elisabeth dear lady, it is obvious you lost your marbles. I hope you retrieve them soon and did not “burrow”them to be lost forever. Merry Christmas.
Your preposterous comments clearly prove that you are nothing you a …….. Here is a learned gentleman who has stated a FACT. He has no axe to grind but you have to try to eviscerate him.
Every country has debt but these Caribbean countries’ debts are ridiculously high. They use an inordinate amount of their revenue to service their humongous national debt instead on needs of the country. (healthcare, education, crime fighting, infrastructure, safety net programs, etc.)
China is Boss spy, Boss counterfeit, Boss communist, Boss of colonization of the “world.” They should know every bank where Skeritt is hiding our money. So Dominica doesn’t owe China Shi$&t. Tell China to go after Skeritt for their money. The Dominica people has never approved of Skeritt taking money from no communist countries. So we don’t owe China Jack. And they should remove that, “Dominica China friendly” thing from our hospital. Tell China, Skeritt said, “I run things.” It’s not the people running things in their own country! It’s one Ni…rrrr ruining things here in Dominica. Government should be, “OF THE PEOPLE, BY THE PEOPLE AND FOR THE PEOPLE.” If Dominica is run by communist China 🇨🇳 why should we owe them any money? It’s like, my first passport when I was a teenager and I was “BRITISH.” However, I could not travel to England and stay as long as I wanted as a “BRITISH” Citizen. British my Usss. Black peoples keep taking these crap for much to darn long. Stand up black Man.
Boys and girls, you can phrase it anyway you want but our country is technically bankrupt. Yes Sir, we are broke.
This situation means one thing to me. And that is, to withdraw all my pennies from the bank of Dominica. Because when the king says we are allowed one (1) withdrawal per month at the maximum of $300.00. Then I’d like to see what de lil Clown will eat. Pull out 50% of your money from the bank and hide it in a safe place outside your house. I smell a financial collapse across the bend. China 🇨🇳 is coming for their money. When those Syrians came to Dominica in the 1940s they gave us cloth on credit, slippers on credit, braziers on credit, harde ghegar on credit, handkerchiefs on credit, socks on credit , etc. And when our great grandparents couldn’t pay at the end of the fortnight these Syrians moved in and took ownership of our land. Look at them in Dominica today! They own entire villages. Nassief owned almost the entire village of Mahaut. Many people bought land from them in the early 1960s. Think about what the Chinese could do. Who burned down our Registry? Foreigners did that.
For the life of me, I can’t understand why our leaders fail to see that we need to produce more. This is the problem we are producing next to nothing, and this needs to change if we are to become a thriving economy. Something as crucial as agro-processing was put under the management of a 23-year-old child who has practically no work experience. regardless of how much you love someone or an institution, there must be a time to stop and think of what is happening to your country where you may have to live for the rest of your life.
People chastise your government. You have the power to make them respect you. Use that power. Support them when they are doing well but if there is an area of deficiency, speak out. Some people may say you are confused or confusing them but that’s not the case. You have to be an honest person and called things for what they are.
I see little children getting all excited because of Santa. They live to see Christmas and they believe in Santa. Who is Santa? Where is Santa? Democracy is an “idea” in the heads of most Dominicans. But they fail to realize (as children) there’s NO SANTA/DEMOCRACY. The children take their Santa clause more seriously than do Dominicans their “democracy.” Their was a show of tongue on bay front the eve of the “Smart/Snap” elections. O boy! The tongues were on fire 🔥 with: “NO REFORM NO ELECTION.” The next day all those cowards stayed in their beds. No disruption of any kind of the process. This was the “calmest” election ever – in Dominica. So, I give up. I will weather the storm where, and whenever the wind blows. I’m not dependent on no political party for favor. I’m angry only because I love my country. But 98% rely on the government because the government made it so. Therefore, the poor doesn’t have a choice but to vote for food and rum. Uneducated women with children, same thing
We were warned!!!!!!
Skerrit was/is no financial guru…… and de people around him who should know better are just crap!
Sounds like clean clothes on a dirty body!
Some people think Skerrit so cute……. look at the consequences!
What will Skerrit say about a report like this?
Brilliant work guys!!!!
Thanks for the awareness!
If de Bishop and some of Dem senior priests knew half as much they would still lie to us on Sunday!!!!
I often belabour the fact that Roosevelt have not even had one minute of formal instructions in finance. Yet, he took total control of the nation’s purse. I added that there could be no good outcomes, and my nightmare has become a reality.
I’m not salivating over the present dismal state of affairs of the country’s financial situation. However, when the news media and the population remain indifferent to the blanket opacity in government the country goes to ruins.
There are many visionary and fiscally prudent potential leaders in Dominica that can turn the financial trajectory of the country northwards.
The man is doing a fantastic job that’s why he just “re-elected” himself with bogus election.
Dominica should have no financial problems. Yours truly the illustrious Prime Minister and self appointed Finance minister has all the money in his personal overseas bank account. All he has to do it return it to the Treasury and give it back to the people and problem solved.
Why is it that these countries in the Caribbean region are the most heavily indebted countries on the globe but the are still so impoverished?
The majority of working citizens live from hand to mouth. The infrastructure is woefully inadequate. The public buildings are in a horrible state of disrepair. The safety net system is too parsimonious. The living standard for the average inhabitant is nightmarish. Even crumbs from the bread are rare.
Reckless spending, widespread corruption, escalating unemployment, reduced tax revenues are some of the real problems in these countries. Now, we have to beg our way out of debt ( can’t happen). Wealthy, unscrupulous nations like China, Russia and other scums of the earth are re-colonizing us.
For 2021 the figures for Dominica were even worse at a 111.1% ratio. No doubt the figure for 2022 will be worse yet. This CM has squandered our resources everywhere to feather his nest. CBI money, PetroCaribe money and now he even over borrows. My people, this is all money that has to be paid back, not by him but rather by all you and your children. It must be clear to everybody that Dominica no longer can afford this man and his tribe.
DNO and other local news outlets should make a concerted effort to try to discover how the country’s financial resources are being expended.
They should unearth the enormous sums of money spent by government on no bid contracts of all public investments, especially, capital projects. The cost of frequent, expensive and unproductive overseas trips by Roosevelt and his gang bangers should be public knowledge. The proper accounting of the CBI money, loans and grants is a mystery.
Without transparency and accountability, the wanton rape of the treasury will continue by these unscrupulous thugs.
Skerritt and his puppets used to point to Dominica’s national debt soon after they replaced the UWP but of late they have forgotten the issue as the country’s debt has ballooned. With a shrinking productive sector caused by the “next level” Skerritt pie in the sky, coupled with the world wide pandemic which is leading to a world wide recession, at a time when sale of citizenship is slower than before, what is the double doctorate dude going to offer? It looks like what many African countries have fallen into which is mega indebtedness to China. Come on Dominicans pie-in-the-sky voodoo financial management is only a comfort to a fool. Remember that Lennox pointed out a shortfall of over 1 billion $ which has only continued to grow and increase. What else do you expect from a doctor -doctor who never stayed up late to study any subject yet he’s the minister responsible for the finances for the country. Can’t plant peas and reap passion fruit.
To be honest, regardless of who is the political leader, if the country consumes more than it produces, the result is debt. Take a look at Dominica’s output in recent years and therein lies the problem.
“regardless of Who is the political leader'” you are wrong here sir! SKerrit is the political leader who use our resources to stay in power and not to build country. With all the money flowing through this country over the years we could be in a better position so its not the country that is at fault regardless to leader. Take this nonsense back.
Great article, very enlightening. It takes a non-profit governmental organisation to shed light on the serious economic difficulties that most of the Caribbean countries are facing.
Most of their revenue is used in servicing their titanic debts. Consequently, wages are low and stagnant. Poverty has become pervasive and stubborn.
My question is: Why Dominica is always mentioned in anything that is derogatory, inglorious and of ill-repute?
While these countries suffer from serious bankruptcy and deficits, most heads of these same countries like Brown Pasture, Mr. Motley and the Dominican Dunce live in exquisite opulence.
5 more years – not cool out all you want nuh? well look it.
Total incompetence by the DLP as far as the economy is concerned.
“most of this debt is owned by private creditors; with China being the largest creditor” I tired warn all you, Skerrit selling us to the Chinese!!! If we don’t rise up and put a stop to this, Dominica will be a Chinese territory soon enough!
A land full of resources has no export infrastructure. Coffee exports? Marijuana industry? Fruit Juice processing? any industry? DLP not interested in that, all they want is to sell D A for them Chiney so our grand children will have to answer to them. And use CBI to line thier own pockets while the national GDP is a joke!
That is the sakway sot baggai all you voting for! Labor ka travay!!!
Well the opposition parties, and other Dominicans who are bold enough to denounce Skerrit’s mismanagement of Dominica’s economy, have echoed this precarious situation in which Dominica is in ad nauseam.. The thing is Skerrit despite that, continues to bombard his fools with the term good “fiscal prudence” while plunging the country into an abyss.
A leader who velifies, castigates and insults farmars in an agricultural country, while he enriches himself and a few greedy friends, does not fit to lead, as he is a danger to the people and the country..
For 22 years, agriculture has been dead, manufacturing dead, tourism dead, the remaining sectors dead. Passport revenue beyond the liars control. So this economy must be in a serious coma and indebtedness.
This man is unfit to lead, and a clear danger to the economic prosperity of its citizens.
Those are the facts Skerrit cannot debate..I call this LAZY leadership!!
A leadership MISFIT!
GREEDY LEADER!
VOWAS LEADER! Looking for…
Dominica’s agricultural industry was once booming in the 1950’s 60’s and 70’s especially banana exporting. What happened? We know. Back then people always had money.
Skerrit doesn’t want the citizens to have money. He needs the citizens to be dependent on him. That way he can control them better. Only a few very loyal ones are allowed to have big money. In return they have to sit on the fence and be stumm.