CARIBBEAN STOCK REPORT 14 November to 18 November 2011

Prepared by the Department of Management Studies, UWI, Cave Hill

Prove That NIS Is Sound Before Investing In Four Seasons

Caswell Franklyn, Head of Unity Workers Union

Government was advised, by an actuary, to take steps to protect the National Insurance Fund because they had calculated that the NIS Fund would be in trouble by 2035 if pensions were continued to be paid at the then existing rate. They reasoned that Barbados was an aging society, and with current life expectancy and a declining birth rate that there would be too few persons contributing and too many persons receiving pensions for the scheme to remain viable. The Government had several options to ensure the fund’s viability, and this is what they have done so far:

1. Increase the pension age with the hope that more people would die before attaining pension age;
2. Increase contributions;
3. Change the formula for calculating the pension, resulting in a much smaller pension; and
4. Give people the opportunity to receive a reduced pension if they applied early, and an enhanced one if they deferred applying for their pension. They guessed that there would be a neutral effect on the fund because the people who opted for early pensions would somehow be offset by the numbers who deferred. Unfortunately, hundreds opted for early pensions and less that 10 deferred as yet according to my information.

The corrective measures clearly show that the NIS Fund is under stress. It is inconceivable that the fund is as healthy as the Minister of Finance is telling the country. For the sake of argument let us assume that the Government is correct in their assertion that the NIS Fund is healthy. Then they must also explain why they thought it necessary to sell off the NIS shares in the Barbados Light & Power Company which were paying handsome dividend yearly, and projected to do so for the foreseeable future. If they needed cash so badly that it forced them to sell off assets, how can they justify the gamble of putting $50 million in the Four Seasons apparent white elephant.

Barbados Entrepreneurial Foundation Think Tank, Outcomes

Dr Ronnie Yearwood

The Barbados Entrepreneurial Foundation recently held a think tank session to critique the need for a new Barbados governance model. One of the key players behind the initiative is Dr. Ronnie Yearwood. Last week BU posted ‘An Open Letter to Barbados on Forty Five Years of Independence: We Are the Change’.

Here is some more from Dr. Yearwood:

• Opening Remarks
• Some Ideas for Developing a New Barbados Governance Model

Some will not agree with Dr. Yearwood and this is good if the commentary is constructive.

Not So Fast George

Submitted by Hamilton Hill

 

Clyde Mascoll - will he force his way into the Arthur's 30?

Having taken issue with the foregone article “Not Accurate Mr. Clarke” I beg the indulgence of the promoters of this site in an attempt to tell it as I think it is. While it is neither here nor there when it raised its ugly head, we are quite sure that disrepute found its way into the hive long before Mr. Clarke submitted for print his offering. He was warned about the journalistic imprudence of launching an attack on the leadership of the labour party.

As the writer chose to reference history in his piece so will I. Can it be that given the record as it stands Mr. Clarke stands to suffer the same fate as one Reudon Eversley who was tormented beyond belief for daring to take a similar stand? Is there anyone in Barbados that is willing to openly challenge the following? The present leader of the labour party was the most oppressive Prime Minister Barbados has ever known in relation to journalists and the practise of news  dissemination in our country. History tells that sordid tale.

Lets look at his invocation of Karl Marx’s pronouncement as it relates to Neville Clarke. Not only is such grounded in subjectivity but selective reasoning like a sore thumb sticks out at us. If objectivity is key to the base of journalism, can the writer say Branford? How about Price? So true is the old adage that spit in the air falls in our faces. Lets call a spade just that.

Jagdeo and the PPP Mafia Sold-out Guyana’s Security Apparatus To Criminals

By Richard Millington, Research Assistant – George Washington University Law School

 

Outgoing President, Bharrat Jagdeo

Details are emerging about the contempt US government officials developed for Guyana’s President, Bharrat Jagdeo. Apart from his obvious criminal associations, officials were incensed by Jagdeo’s People’s Progressive Party (PPP) government’s 2006 audacious attempt to use US law enforcement to emasculate the role of then Police Commissioner, Winston Felix. “They aggressively employed draconian measures to undermine Mr. Felix to protect their criminal axis and sought our assistance to enable that subversion,” a US diplomat contends.

Jagdeo’s alleged criminal associations are so far-reaching and alarming that it motivated a senior official of the Colin Powell State Department (DOS) to regard him as a “Mafia” Head of State. Then US Ambassador to Guyana, Ronald Bullen, in a 2006 cable to DOS stated that Guyana was believed to be “a narco-state” and that “If Guyana is a narco-state, then Khan is its leader” – An indication that Jagdeo was compromised and had surrendered governance of the country to Khan’s criminal enterprise.

Felix drew the ire of Jagdeo over his aggressive pursuit of drug lords connected to Jagdeo’s ruling PPP, including now convicted criminal and accused murderer Roger Khan. Currently serving a 15 year sentence in the US for exporting and distributing narcotics in the US, Khan was Jagdeo’s ally and financier of the PPP. The Guyanese President has condemned his arrested in Surinam and extradited to the US, via Trinidad and Tobago, as “another US “rendition.”

Do Not Touch Our Blasted NIS Money!

Tony Marshall, Chairman of the NIS Board was summoned by the Prime Minister last week to Government headquarters

The taxpayers of Barbados have risen from their slumber this morning to the report that the NIS Board – headed by retired banker and talk show host Tony Marshall -  has been ‘briefed’ on the Four Seasons project by the Cabinet of Barbados and ‘ordered’ to relook its imminent investment decision. The Four Seasons project stalled when capital markets went soft as a result of the global financial crisis. The decision to work with Professor Avinash Persaud to revitalize the project was steeped with optimism given his reputed international connections. However after many promises that the project would have restarted the government is now seen as the creditor as last resort.

It is evident from commentary on BU and on the ground that Barbadians are very weary of using social security funds to bail the Four Seasons project. The 101 reasoning by many is if the project is as viable as Minister Chris Sinckler and the IDB believe then why is it so difficult to acquire private sector investment?  It was not very long ago in response to an actuarial study the NIS adjusted its pension eligibility as a result of the state of the NIS scheme vis a vis our ageing population. Barbadians have become very sensitive of late about how decisions are being taken about at the NIS. By the way has the CBC repaid that one million dollar loan yet? Did any heads roll as a result of the cockup with mailing old age pension cheques?

Related Links:

• Peter Boos email in response to Gregory Hinkson’s full page in todays Nation newspaper (20/11/2011)

• Peter Boos’ article released on 13/10/2011 to give context to the discussion on NIS pending decision to invest in the Four Seasons project

• ISSA Study Group on the Investment of Social Security Funds – Guidelines for the investment of social security funds

The Empire Strikes Back II, The Big Picture

The most effective way of using the Empire as an arts venue is to have it run under the auspices of the Central Bank management who currently administer  the Frank Collymore Hall (FCH). In this way, the administration is minimized with both operating under the same management team. We have to approach the task at hand in a holistic way, it is the only way, it is the only way.

While the Empire would run as a performing arts venue solely, the FCH ought to be marketed for business meetings, equipped with the latest in teleconferencing services, presentations, recordings,  other ancillary services and of course serve as a performing arts venue. The FCH has limited wing space, no fly space, a shallow stage and no orchestra pit and its seating is small. To put in an orchestra pit would mean sacrificing about 100 to 150 seats and the expense of excavation to access the pit by underground  would take it out of use for a long period of time.

The work begins with the need to build competitive packages to attract record companies that meet or undercut other international studios. This would include a cooperative effort by local stakeholders; the waiving of taxes on equipment brought in by recording companies by government and the like.

Then, there needs to be a major marketing push, Barbados, because of Rihanna has become a top of the mind name across the globe, we are ideally placed to be able to approach prominent names in the business. People like Simon Cowell, Mick Jagger  and L.A. Read to name three. If we build it, they will come because Barbados is not unfamiliar, these people have become known faces on the West Coast of Barbados over the years.

Not Accurate, Mr. Clarke

George C. Brathwaite

I begin this response to Mr. Neville Clarke’s submission that appeared in the Thursday, 17^th November 2011 edition of Barbados Today under the caption ‘Division Hurting Hive’, by admittedly and deliberately referencing a snippet of history. I make mention to a distinguished Barbadian and parliamentarian who was a native of St. James. There is detail in the brief history I present, and the contrasting scenario being staged by the journalistic and almost jingoistic pen of Neville Clarke.

On Tuesday 14^th January 1975, contributions of sympathy and tribute were made in the House of Assembly reflecting the life of Mr. Elliston Lauriston Carmichael. It was clear that Carmichael was a man of intellect and more notable, that he was possessed with what C.E. Thalma called ‘sterling abilities’ and ‘fine qualities’. There was another fine man who spoke of Mr. Carmichael that day and I think it is fitting and appropriate that I share those sentiments with readers before delving into the apparent mischief that is likely to come about, if one should accept Mr. Clarke’s submission as being crafted carte blanche.

Mr. J.M.G.M ‘Tom’ Adams made comments then that should enlighten us today. Adams quipped:

At no time that I can recall did anyone ever accuse Mr. Carmichael of unnecessary conflict or being unnecessarily or offensively contentious in a political context. Indeed, without wishing to re-open wounds, I think I can safely say that it was from the members of his own party in the House of Assembly that he perhaps suffered the greatest rebuffs of spirit in his time as Deputy Speaker.

LIME’s 4G Advertisment Offensive To Women

St. Vincent Out Front On The Domestic Abuse World Stage

Keturah Cupid recounts her life filled with domestic abuse and beatings. She is longing to know her daughter whom she hasn't seen in 20 years - Credit: The Star

Here is an article about domestic violence in St. Vincent (Note the Headline -  Is this Caribbean idyll the worst place in the world to be a woman? – about the worst place in the world for women).

“KINGSTOWN, ST. VINCENT AND THE GRENADINES—Hungary, China, Namibia, Colombia, Mexico. These are among the top 10 countries from which refugee claims to Canada are made. But one of the world’s tiniest nations has started appearing on the list, a place many Canadians couldn’t find on a map: St. Vincent and the Grenadines.”

I don’t have any comment I will leave it to those closer to the scene but the words of the Trinidad based psychologist are damning and I quote “In the Caribbean, violence has traditionally been viewed as a “normal part of the relationship dynamic,”

Often times we discuss the issue of domestic abuse through a myopic lens.