The regional credit rating agency, CariCRIS has assigned “adequate creditworthiness” ratings to the Government of the Commonwealth of Dominica.
This was done days after Prime Minister Roosevelt Skerrit assured Dominica of his Government’s fiscal prudence.
The Caribbean Information and Credit Rating Service Limited (CariCRIS) is a Caribbean regional credit rating agency. It is a unique market-driven initiative aimed at fostering and supporting the development of regional debt markets in the Caribbean.
According to a press release from the agency dated May 27th, CariCRIS reaffirmed the ratings of Foreign Currency and Local Currency on its regional rating scale to the national debt issue of the size of USD $25 million of the Government of the Commonwealth of Dominica.
These ratings indicate that the level of creditworthiness of this obligation, adjudged in relation to other obligations in the Caribbean is adequate.
CariCRIS further indicated that the ratings of the Government of the Commonwealth of Dominica continue to reflect the island’s relatively moderate indebtedness and comfortable debt servicing ratios.
Prudent fiscal policy, moderate financial sector indicators, healthy external sector performance and consistency of economic policies in a stable political environment, also support the ratings.
However, the release pointed out that these rating strengths are tempered by the small, open economy with a narrow economic base, which renders it highly vulnerable to external shocks, and severe capacity constraints particularly in its human resources.
CariCRIS was established in Port of Spain, Trinidad and Tobago in 2004.
Having launched its services in October of that year, CariCRIS released its first credit rating in April 2005.
This is what can be referred to as “Propah Propaganda” If One has half a brain One should see through it.
This is good news, however, the Gov’t needs to stimulate the economy by simply lowering customs duties and making up by raising tax on tobacco products and alcohol. This puts more cash in hands of the public and stimulates commerce. A no-brainer.
GIS news release: “CariCRIS further indicated that the ratings of the Government of the Commonwealth of Dominica continue to reflect the island’s relatively moderate indebtedness and comfortable debt servicing ratios.”
From any angle that we look at this news piece, the news is good for Dominica and excellent for the PM, his Cabinet, and the army of public officers who help make this stability a reality. This good news is all the more laudable considering the extremely hostile economic climate in which we find ourselves today. To maintain credit worthiness as a small state that is so vulnerable to external shocks when so many other countries fail, is indeed a testament to the creativity, leadership, and assiduity of the Cabinet and the relevant public officers (Financial Secretary, Cabinet Secretary, etc).
Congrats! There must be no room for complacency, though. We cannot be satisfied with a BBB rating when there is a AAA to be had.
In the land of the blind “one eye” is king and in Dominica we call mediocrity “good news”. Can Dominica defaul;t on its debt like Grenada did in March? Of course it can. Is it probable? Maybe. The credit rating by the agency in Trinidad is as credible as the due-diligence agency in Arizona.
Admin: What are the different credit ratings. Where does “adequate” fit on the scale? Story incomplete!
I am trying to give my brain a doush, can someone help me understand that article. I am of the opinion that the Cari what that put out this article at this time think that we are really Domays in cans; unless I am living in a different Dominica. We do not have to be rocket scientists or economists to see, feel and understand what is happening in our counry. We cannot meet our basic needs and I emphasise basic and our government getting that kind of review.
Is that another of Hartley Henry’s election gimmicks? Dominichen ousvie zie zous. When people come with these can of articles, tell them break it down to the layman’s language, we cannot buy wings again, when we do buy it, we have to cut it in 3 now.
Only those in high places, getting $14,000.00 per month for rolling their mouth in public have licence to put out that kind of article.
Adequate is like “FAIR” basically it is a mediocre achievement. What people want to hear is reports like GOOD and EXCELLENT. So Dominica has a lot of work to do before it starts to celebrate.
This article is futile as per it’s entity.It doesn’t say anything positive moreso the latter part. I was not convinced early when it used words like moderate etc. Justej if one has moderate hypertension that’s not good either cause there is a likely hood of it escalating when you D?cans drink ur rum friday night after nuagh broth and BBQ chicken and pork.
So you just not safe.
That is just spin by the regime. on the eve of a elections and budget time to pool wool over the citizens thinking they are blind..
Facts, in Dominica show completely the opposite
Look at the state of affairs.
Why did the IMF tell the Govt to restructure…
why would the french agencie have issue with transparency aspects…
i smell a rat…folks dominica is way behind in all the other eastern caribbean islands…
all sectors in dominica are closed until a new day has dawn tells you what is on island…
a dead zone of affairs..
“…healthy external sector performance and consistency of economic policies in a stable political environment” Really? Since when? boy, I must still be asleep from waking up, man!
I’m going back to the Matrix for a moment and no one dares wake me up until they fall asleep, LOL!
No, not “asleep”, more like hypnotized and bamboozled by the utterances of others whose sole purpose is to make you believe that your name is anything but that which you call yourself.
Lay off that drug and you will liberate yourself of the hypnosis and see more clearly.
Good
I don’t really understand why the Govt. has released this information unless it believes that Dominicans have a short memory.
The situation has not improved since DNO published an article on the same subject on 17 March of 2012. Our CariCRIS credit rating is still as it was then “adequate” (BBB-). I observed at the time that the CariCRIS rating should be seen in context. For instance, whereas CariCRIS gave Barbados a high AA rating that country’s debt was hovering just above junk bond status on the international market at the same time. Dominica does not even warrant a place on S+P’s list and my advice is to exercise extreme caution when it comes to the country’s long-term debt. If this new press release serves as a prelude to a new bond issue it will not impress potential investors and may well backfire.
Good analysis!
What’s your point singing cassie? Do you want DNO to publish what you want to hear or read?
Please tell me, because I will definitely make a special DNO for you.
Who you think you’re fooling. We have a balance of trade in excess of 600 million. and still they can say that the ratings of the Government of the Commonwealth of Dominica continue to reflect the island’s relatively moderate indebtedness and comfortable debt servicing ratios. What are we producing to service our debts… TAX!!!
I would not go and boast about that if I were GIS.
You know what “adequate” means on a school report (…can do much better!). My daddy would be none too please with a report like that when I was going to school.
Big hard back man like you still saying my daddy…cheese man, please say Dad or Paps or my Father….lol
We have been here before!
– CariCris is a private consultancy firm, acting amongst others as a credit rating agency for the Caribbean region. I wonder what score truly global agencies such as Standard & Poor’s or Moody’s would give us?
In any case, our CariCRIS rating “Adequate” (= BBB +/-) is only one step above their “Speculative” rating on a scale where AAA places “Highest”. We should see our ranking as a cause for concern rather than a reason to celebrate.
***THE OTHER RATINGS***
DNO,
What other ratings does this “CariCRIS” render to countries?
Is there a ratings scale we can be informed about so that we can form a better understanding of our situation?
-Thanks
Transparency in action! Go PM! Go PM!
You Go Again!! My dear PM.
Boy look some terminologies!!! my take? one hand washes the other.
Ok Matt and Carlisle will broke it down for you…even Blessings might help and Lennox will bring everthing together between you and me.
IPO, if you are so smart why don’t you have a go and explain it for us?
LMFAO