by Virgil Leonty
The Government of Saint Lucia has passed a Bill to manage the country’s debt. The Public Debt Management Bill provides legislative guidelines for borrowing and managing funds.
Passed in the House of Assembly on Oct. 3, the bill sets restrictions and other procedures for borrowing.
Among its many provisions, the Bill makes the Ministry of Finance the sole borrowing agent for the country, as well as making parliamentary approval a pre-requisite for borrowing. It also allows for a medium-term debt strategy and mandatory public debt analyses.
In presenting the Bill, the Minister for Finance, Prime Minister Phillip J. Pierre explained that it was a dictate of the International Monetary Fund and the World Bank.
It was first tabled in Parliament in Oct. 2020, under the previous administration. The prime minister said the “IMF believes that the bill is a positive step and would enhance fiscal transparency.”
Hon. Pierre continued: “It makes Government loans accountable to the people of Saint Lucia,” and would send a positive signal to the capital market, both domestically and beyond.
The Public Debt Management Bill was passed alongside the adoption of two resolutions, authorizing the prime minister to borrow more than USD$16 million.
USD$9, 100, 000 will go toward the enhancement and support of the Sint Lucia Fire Service; while USD$6 million will be injected into the Youth Economy Agency.
It will support the programs of the YEA and provide small loans and grants to eligible young entrepreneurs.
SOURCE: Government Information Service
All balloons you keep inflating will eventually pop. Increasing debt levels are unsustainable. The governments have no way to pay down or reduce this debt. Imagine you lived in debt your entire life, and you passed that onto your kids who passed it onto their kids. Not a sound investment.
@Economist you are finally getting it. The 9 million we can’t complain too much you must have good first responders in this day and age you know St Lucians already especially.
In speaking for the policies of the current SLP-“controlled” government of St. Lucia, Pip recently said, “we reserve the right to have the friends we want!” Of course, he deliberately omitted saying, that “we reserve the right to have the ENEMIES we DESERVE”.
Perhaps, in this article he was exhibiting his gross naïveté by openly admitting, it was a dictate of the International Monetary Fund and the World Bank!
It is quite obvious Pip made beast during his Economics lectures; and further diminished his awareness of reality, by sidestepping the economic catastrophes imposed on Third-World countries by the IMF & the World Bank (who now have absolved themselves of guilt by calling them “developing countries”), throughout the latter half of the 20th century. Yet, these are the malevolent entities to which Pip has sold our heritage for a “pottage of stew”!
St. Lucia, welcome to 21st century slavery: Exchange of tenuous sovereignty for complete capitulation to the god of Mammon – our very real enemy!
UWPS will never like this.