Barbados Underground

Entries categorized as ‘Barbados Government’

What Is The Song And Dance About The Hike In Water Rates?

July 9, 2009 · 48 Comments

Hartley Henry - DLP Political Strategist

Hartley Henry - DLP Political Strategist

Two separate but yet related matters sparked my attention this past week. First, there was the predictable hue and cry from “professional opposers” to the increase in water rates. Second, there was Barrack Jagdeo swiping and getting clean bowled by his fellow countrymen.

It is clear to me that if water rates had been increased by five cents a gallon the reaction of some in our midst would have been the same.

What took the cake for me in the gas station last Sunday afternoon was this known Barbados Labour Party operative and spokesman who approached me, in their usual arrogant and bombastic manner, claiming that “the new water rates will kill poor people”.

My intended response would have been to set forth the argument in favour of the need for an increase in rates, given the magnitude of the capital development programme about to be undertaken by the Authority as well as the ongoing desire to enhance both the quality of and accessibility to the resource. I am sure I could have made a compelling argument, but this gentleman gave me the perfect opening when, in approaching me he armed himself with nothing less than a two litre bottle of water, which, from the label, I became aware was bottled in Trinidad and Tobago.

I deliberately asked him to buy me a similar drink, because quietly I wanted to discover the price he had so willingly paid a few seconds ago for imported drinking water. The price at the register was $3.40.

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Categories: Barbados · Barbados Government · Consumers · Prices
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Constituency Councils Of Barbados Take Root

July 5, 2009 · 73 Comments

CCTVAlmost like a thief in the night the much discussed and contentious Constituency Councils (CCs) will be given life today at the Lloyd Erskine Sandiford Centre at 4.30PM. Recently when asked by a local reporter what are some of his government’s immediate objectives and priorities, Prime Minister Thompson listed the implementation of the CCs high on that list. The governments unswerving commitment to rolling out the CCs has attracted criticism from the Opposition ranks mainly as it relates to structure and process. Renewed criticism has taken root of late based on the cost associated with the rollout of the CC’s in the prevailing economic climate where government resources are known to be  scarce.

This evening 6 CCs will be handed instruments:

  • St. Michael North
  • St. Michael North West
  • St. Philip South
  • St. George South
  • Christ Church South
  • St. James North

BU family members interested in some detail should visit the Constituency Councils of Barbados website.

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Categories: Barbados · Barbados Government · Barbados News · Blogging · Caribbean · Caribbean News · David Thompson · Democratic Labour Party · Governance · Mia Mottley · Politics · democracy

On The Road To Perdition: A Decade Of Distress And Discontent

July 3, 2009 · 88 Comments

Submitted by Looking Glass

debtAnother deficit budget is hardly surprising. Given the economic structure and reliance on fickle tourism and construction more deficit budgets will likely continue. The net effect will be to expand the gap between happiness and misery. There is a correlation between public and private debt in a population whose mental set permits lavish consumption and government unrestrained borrowing and spending, moreso when personal saving is insufficient to finance government spending. The inability of governments to generate surplus will result in more debt, drag us deeper in the red and on to perdition.

Our predicament reminds me of Marlow’s Dr. Faustus, a man of learning who, longing to possess the treasures of Nature, sells his soul to Mephistopheles (the Devil) for 24 years. In the last couple decades we sold the country for not much more than a seat at the beggar’s table and the retention of power. Today we are at the bottom of the table, mega billions in debt and the lenders/givers are taking over. Hell has no limits.

The road to perdition (deficits, debt, corruption, unprincipled regimes etc.) didn’t happen overnight. As previously stated, it is not the direct result of the current world financial crisis. Nor is it the consequence of a natural business cycle. Past regimes forewent the exacting standards of fiscal discipline. They forgot that economic prosperity depends on the productivity with which national resources are employed, and indulged in non-income generating and short term employment generation projects. In the process they failed to keep programme spending to real per capita terms, i.e. increase spending by no more than inflation. The current world crisis merely exposed our ‘limitations’ and hasten our socio-economic decline.

Both parties are guilty of, among other things, an absence of smart thinking, moreso the BLP. But it is hypocritical to blame the current administration for the current condition, even though they are guilty of, shall we say, ‘errors in judgment’ and are savvy short. (more…)

Categories: Barbados Economy · Barbados Government · Caribbean · Caribbean News · Caricom · Finance · Politics
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The Water Debate: Opposition Party Advises Government To “Hold Strain”

June 30, 2009 · 52 Comments

barbadoswaterauthorityIt is interesting to listen to the current debate triggered by the government’s decision to hike water rates by 60% effective July 1, 2009. In a previous blog we skimmed the subject of some of the challenges facing the BWA.

Barbados has been able to achieve and maintain a relatively high standard of living through what many agree can be attributed to astute planning and leadership. We have also enjoyed a stable social and political climate built on a universally respected education system, good infrastructure to support our tourism product and Barbadians. Those who may want to avoid partisan posturing on the issue would admit that there is a cost to maintaining the Barbados lifestyle. The challenge as we move forward as a country is to ensure the economic and social models underpinning the economy are managed expertly to ensure sustainability.

The failure of the Barbados Water Authority (BWA) in 2009, we understand it is close to being insolvent just fourteen months after a change in government is instructive. Bear in mind that the previous government would have governed for the most part of its tenure in an economic boom period. It is noteworthy that as a country and as a people we must accept responsibility for the policies of the previous government, this is true for the third term government of the Barbados Labour Party (BLP). Could the BLP have better allocated resources to ensure Barbados’ water supply was better protected? Many may say yes given it was a boom period.

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Categories: Barbados · Barbados Government · Barbados Labour Party · Consumers · David Thompson · Democratic Labour Party · Governance · Mia Mottley · Politics
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Barbados Water Authority: A Failed State Enterprise

June 17, 2009 · 62 Comments

water_nitratePrime Minister David Thompson announced in his recent Financial Statement 2009 that water rates will be increased to Barbadians, possibly as soon as next month. Although the Prime Minister has given the assurance that any increase will be negligible, the  impact must be judged by government on how the increase will affect Barbadians who are below the poverty line and businesses that use water as a significant input to production, we would urge the government to thread with care on this matter.

The revelation by the Prime Minister has triggered a side-debate about  the BWA not falling under the oversight of the Fair Trading Commission (FTC), an institution which remains pregnant with promise to consumers well passed its gestation period.  It is our understanding that the current legislation prohibits the FTC from hearing complaints from government enterprises. Our source confirms that there is a move afoot to change the legislation.

BU understands the thinking and motive of the previous to shielding the BWA and by extension the people of Barbados from a privately run BWA. BU can also understand that oversight of the BWA by the political directorate would more readily feel the pressure to keep water rates down. The experience so far of the FTC and LIME, formerly Cable & Wireless has not been a rewarding one for Barbadian consumers. One shudders to think if the BWA were privatized where would the water rate settle.

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Categories: Barbados · Barbados Government · Barbados News · Consumers · Governance · Health · Regulatory · leadership
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Is Barbados Being Sold Down The River By The Media and Opposition Party On The Immigration Issue?

June 14, 2009 · 497 Comments

Leader of the Opposition Mia Mottley

Leader of the Opposition Barbados Labour Party Mia Mottley

Mr. Harold Hoyte is a founding member of the Nation Group and is President and Editor-in-Chief of The Nation Publishing Company in Barbados.

Harold Hoyte Editor Emeritus of The Nation Publishing Company

Lindsay Holder, former Chairman of the BAMC

Lindsay Holder is a former Chairman of the Barbados Agricultural Management Company Limited

Over the last couple years BU has articulated, we hope dispassionately, on the issue of the open immigration policy which was practiced by the previous government. At no time have we supported xenophobic behaviour or bigotry in the ensuing discourse. We have simply held a position that while Barbados should be committed to its obligations under the Treaty of Chaguaramus, it does not mean that our borders should be assaulted by all and sundry seeking the proverbial streets lined with gold at the expense of the vision which Barbadians have held-up for itself through the years. BU readers can do a search using the keyword ‘immigration’ to access the many blogs posted on this subject.

The conspiracy which has emerged across the region to spin a false position in response to Prime Minister David Thompson’s Ministerial Statement after he announced an amnesty for CARICOM nationals, has been blatant and symptomatic of a political and social immaturity.

Any interested observer of regional affairs would conclude that the issue of immigration is a topical one. Since the announcement by Thompson of the amnesty the issue has become accentuated. In the Advocate Newspaper of 14 June 2009 a Mr. Lindsay Holder was as clear as anyone can be in elucidating on the immigration issue which Barbados and the region is currently battling, he did so without the use of jargon, fuzzy logic, ideological or jingoistic biases. We highly commend the Advocate Newspaper for giving voice to this important issue which is being manipulated by politicians, academics, Fourth Estate and prominent and other influential persons in Barbados and across the region.

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Categories: Barbados · Barbados Government · Barbados Labour Party · Barbados Media · Barbados News · Barbados Press · Caribbean · Caribbean News · Caricom · David Thompson · Democratic Labour Party · Guyana · Immigration · Journalism · Mia Mottley · Politics
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Opposition Opportunism!!!

June 11, 2009 · 26 Comments

Hartley Henry - DLP Political Strategist

Hartley Henry - DLP Political Strategist

For fourteen long years Democratic Labour Party Parliamentarians “stewed” in Opposition, never once flinching in their commitment and determination to advance the interest of Barbadians.Even in its darkest period, when the seat count went to two out of 29, the voice of the DLP remained strong and forceful. David Thompson and Dennis Kellman must be commended for remaining focused and staying the course during very difficult and challenging times.

Even then, it must be remembered, that personal and professional relations between the two were not at their strongest, but yet, they never reneged on the promises and commitments they made, first to their party and constituents and second, to the people of Barbados. Individuals like Freundel Stuart, Dr. Dennis Lowe, Christopher Sinckler, John Boyce, Patrick Todd, Steve Blackett and George Hutson took a hammering at the hands of the electorate and were roundly rejected, in most instances twice, before finally being elected. Yet, they never flinched, because their motivation was to serve and their cause was honourable.

Knowing some of those individuals, had they even lost in their attempt to win a seat or had the DLP not been successful in its fourth attempt to wrestle the government from the Barbados Labour Party in the last elections, those personalities would still be out there today sloughing away, because, for them, politics is about people and it is about service to one’s country. I guess that’s part of the imbedded culture of the DLP, handed down by its late revered leader, the Rt. Excellent Errol Walton Barrow.

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Categories: Barbados Government · Barbados Labour Party · Mia Mottley · Politics

Never Take A Moment In Time For Eternity

June 9, 2009 · 78 Comments

Submitted by Slyvan Greenidge, Press Secretary to former Prime Minister Owen Arthur

BLPOn January 18, 2008 Barbadians elected the Democratic Labour Party to manage the affairs of this great Nation. The DLP’s victory in that election could not be deemed a watershed by the stretch of anyone’s imagination. Indeed when one closely examines the number of extremely close margins of victory for quite a number of the DLP candidates, one can hardly call their victory a vote of confidence.

It is against that background that the DLP would want to pull back from the kind of arrogance and roundhead behaviour for which it has publicly been displaying since coming to office. The number of verbal attacks by Ministers on individuals and groups within the private and public sector has helped little in enhancing their ability to improve on their votes in the next general election, constitutionally due within a short three and a half years.

The fear of public servants to speak out on matters that effect them as they did under the previous BLP administration and the general lack of interest by the private sector to offer constructive criticism on critical matters effecting the country is evident that this Government has been left on its own to manage this country in the very difficult economic times. If the saying that “no man is an island” is true and I believe that it is, then this country stands on the threshold of the greatest socioeconomic and political challenge it will face since the 1930s.

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Categories: Barbados · Barbados Government · Barbados Labour Party · David Thompson · Democratic Labour Party · Governance · Mia Mottley · Politics

The Director Of Public Prosecutions, Director Of Finance, Public Accounts Committee ALL Accused Of Not Prosecuting Malfeasance In The Civil Service By Auditor General

June 8, 2009 · 42 Comments

Auditor General Leigh Trotman

Auditor General Leigh Trotman/Nation Newspaper

It is refreshing to read Nation journalist Wade Gibbons exposing the Auditors General Report. Perennially, just like the 11-Plus Examination the public engages in the debate about the reported irregularities inflicted by the the various government departments on the taxpayers of Barbados. What will make this year any different is the 64 thousand dollar question.

Just last week BU blogged about a few of the eye-raising findings delivered by Auditor General (AG) Leigh Trotman.  It is no secret that BU has been very critical of the office of the AG since coming into existence. While we might agree that the governance of Barbados through the years appears to have benefited from a good civil service, one startling observation has been its inability to visibly discipline itself. How many civil servants have been suspended, fired or any action taken as a result of gross incompetence exposed by the AG over the years?

Perhaps what has made the Auditor General’s Report 2008 so interesting is the fact that Nation journalist Wade Gibbons has encouraged AG Leigh Trotman to vent his frustration by making the following statement:

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Categories: Auditor General · Barbados · Barbados Government · Barbados Judiciary · Barbados Media · Barbados News · Barbados Press · Corruption · David Thompson · Governance · Journalism · Justice · Regulatory · democracy · leadership
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How Money Can Triumph Over A National Strategic Plan For Agriculture

June 6, 2009 · 40 Comments

Posted as a comment by John

plantationRobert Goddard in his article published in 2001 in Agricultural History figures it was an imbalance between factory and field which set the stage for the collapse of the Sugar Industry. He reckons if I understand it right that there were two factors which were the origin of this imbalance:

  1. One factor “intrinsic” to the industry was the change in the industry’s leadership from factory-owners/planters to purely planters.”
  2. The other factor was a pattern of “questionable” land use decisions taken by government agencies which alienated arable land in unpredictable ways, making it impossible for the industry’s leadership to match factory capacity to field supply.

“In one striking case the two came together when the building contractor, C.O. Williams, became simultaneously the island’s largest landowner and an aggressive advocate of non-sugar agriculture”

“Williams played a paradoxical role during this time. Single headedly he stripped the factory division of 50,000 tonnes (metric tons) of cane supply while charged with guiding the industry as a member of the BSIL board.”

The article goes further:

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Categories: Agriculture · Barbados Government · Blogging · Consumers · Land · Politics · environment

Government Lead Strategy For Expanding The Manufacturing Sector In Barbados

June 1, 2009 · 19 Comments

Submitted by Corey Weekes MSc, CPIM, CIRM, CSCP - Operations/Supply Chain Management Consultant and Director of Tropique Wines

Submitted by Corey Weekes MSc, CPIM, CIRM, CSCP - Operations Supply Chain Management Consultant and Director of Tropique Wines

As the right honourable Prime Minister indicated in his latest budget speech, we are experiencing very difficult times, and now more than ever, it is important to embark on strategies that generate sustained future growth in exports and foreign exchange. The strategy outlined in this article is penned with the idea of propelling the country on such a journey. It relates to the question of how we can bolster our manufacturing sector for greater foreign export earnings

Despite the policies of several governments, the challenge of increasing manufacturing’s contribution to Gross Domestic Product (GDP) remains. A review of central bank reports leads one to the conclusion that successful manufacturing in Barbados is a mirage, with no future in today’s apparent world of services. But, before we detrimentally forecast this sector’s demise, let’s examine a model of success that continues in this area, and serves as a platform for sectoral development.

I have written before that the success of the medical device manufacturer, Lenstec Barbados Inc, is no accident, and has precedence for where team Barbados’s focus should be. The initial attractiveness of Barbados as a destination for manufacturing foreign direct investment (FDI) is very much present, in the form of low tax rates and duty-free material access etc, as found in the international business company act. These policies are the first important pillar for a successful manufacturing strategy, and remain laudable and attractive, but by themselves, are not enough to lure industrial FDI en masse.

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Categories: Barbados · Barbados Business · Barbados Economy · Barbados Government · Business
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Who Is Guarding The Guard As LIME Continues Its Monopolistic Ways?

May 24, 2009 · 75 Comments

Rosevelt King - Intervenor

Rosevelt King - Intervenor

Barbados Underground is fortunate to have Roosevelt King (ROK) and Chris Halsall as members of the BU family.  They are better known in Barbados for the role of Intervenors when the Fair Trading Commission (FTC) meets to rule on applications submitted by the utility companies. Two recent comments posted by the good gentlemen have resonated with the BU household and given us cause to question the effectiveness of the FTC and by extension the government of Barbados as far as its oversight duties are being managed.

In 2001 when the FTC legally subsumed the Public Utilities Board and was given a wider scope to monitor, educate, investigate, and enforce fair competition and consumers’ rights by service providers and consumers, there was high expectation by the Barbadian public. This came against a background where historically there was an acceptance, especially in the absence of a vibrant culture of consumerism, that consumers were being taken to the cleaners by the utilities and merchants in general. We remember well that the then government represented by Arthur, Toppin, Eastmond et al did a good job of selling Barbadians on the FTC concept.

Eight years later the jury is out on whether the FTC has been able to satisfy the expectations of the Barbadian public. Have they been effective and proactive as set out in their core values?

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Categories: Barbados · Barbados Business · Barbados Government · Blogging · Caribbean · Caribbean News · Consumers · Telecommunications · World News
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Hope You Are The Right Man For The Job David Rice!

May 22, 2009 · 19 Comments

There has been some debate about the recent appointment of David Rice to the job of CEO at the Barbados Tourism Authority (BTA). Minister Richard Sealy was forced to defend himself against the accusation from the Opposition regarding the appointment. The position of CEO of the BTA is one of the most important positions in Barbados in our view. The tourist industry has been and will continue to be the one leg which has to support the Barbados economy. The key decision makers must therefore be the best that we can afford to buy to effectively manage the number one industry.

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Categories: Barbados Government · Tourism

The People’s Business Is Paramount

May 20, 2009 · 87 Comments

Leader of the Opposition Mia Mottley

Leader of the Opposition Mia Mottley

In is no secret that the world is facing an economic and financial crisis of an unprecedented nature. It is now well documented that the crisis was precipitated by the indiscipline fueled by greed practiced by the suits on Wall Street. Most economies of the world are now intertwined  based on the free trade concept which underpins globalization. The inherent flaw in the concept of globalization is if the developed world stutter the developing world immediately contracts the fits.

Barbados economic stewardship to date is one which is envied by many. The benefit is seen in a per capita income which belies our size and resources. At this juncture of an unprecedented global economic crisis we have a new government which has to manage a complicated set of circumstances.

It is not our intention to pontificate on matters of economics and finance which are somewhat above our pay grade. We will leave that to Mr. Jones over at Living In Barbados blog and Hartley Henry.  What we know is the challenges that lie ahead demands that we depart from the usual protagonist roles which Westminster politics breeds, and reach across the political aisle to lead our beloved country through this perfect economic storm.

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Categories: Barbados · Barbados Economy · Barbados Government · Barbados Labour Party · Barbados Media · Barbados News · Barbados Press · Caribbean · Caribbean News · Caricom · David Thompson · Finance · Governance · Politics · World News · leadership

Time To Rally Around Prime Minister David Thompson

May 17, 2009 · 248 Comments

Rickey Singh

Rickey Singh

Prime Minister David Thompson promised when he assumed office that he would established a Cabinet sub-committee to investigate the Immigration problem which was visibly evident in Barbados.  In keeping with his promise he issued a Ministerial Statement last week which focused on a new policy to tackle the problem. The issue of immigration is one being battled all over the world, Barbados no exception. Since issuing the statement all hell has broken lose with the most pointed yet covert attack coming from Prime Minister of St. Vincent Ralph Gonzales who elected to issue his own Ministerial Statement in response.

Prime Minister David Thompson although a rookie Prime Minister is a seasoned politician, and we are confident that he will make the right moves to protect the borders of Barbados and by extension the well being of the society which Barbadians have laboured to build in a post independence era.

Prime Minister Patrick Manning had earlier requested a CARICOM Heads of Summit to discuss the global financial crisis but we

Roxanne Gibbs - Executive Editor Nation Newspaper

Roxanne Gibbs

suspect that a lot of the time will be spent addressing the decision by the Barbados government to document immigrants. Already Prime Minister David Thompson can expect that Prime Minister Gonzalves et al will be frothing  at the mouth come Sunday in Trinidad to attack the government of Barbados’ decision to arrest the large number of undocumented workers in Barbados. It was yesterday we read Secretary General Edwin Carrington of CARICOM suggesting that the matter will be discussed. He was at pains to point out that member countries in CARICOM had a right to make decisions with respect to sovereignty but he was concerned with how they do it. This we consider to be a most inappropriate comment even before this matter has been discussed given the obvious inference to Barbados.

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Categories: Barbados · Barbados Government · Barbados Labour Party · Barbados News · Caribbean · Caribbean News · Caricom · David Thompson · Immigration · Politics · World News
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Is CLICO Being Used As Target Practice?

May 9, 2009 · 51 Comments

Parris (left) having a chat with director Leslie Haynes, QC, minutes after the meeting. (TM) (Picture by Nigel Browne of Nation newspaper.)

Parris (left) having a chat with director Leslie Haynes, QC, minutes after the meeting with Prime Minister David Thompson. (TM) (Picture by Nigel Browne of Nation newspaper.)

The expected deal between CLICO Holdings Barbados Limited and Insurance Corporation of Barbados Limited seems to have gone off the boil. Terse announcements from ICBL and CLICO suggest that both parties were not satisfied with the tenor of the negotiations. No sooner the announcement was made the Opposition Barbados Labour Party (BLP) reinstated its call for the regulators to take hold of the company.

BU in a previous blog has expressed our concern at the haste with which some parties in Barbados seem to want to dismantle CLICO Holdings Barbados Limited. This is despite the assurance by Prime Minister David Thompson that the government of Barbados will protect the policyholders and investors of CLICO Holdings, the Opposition Party led by Mia Mottley seems hell-bent on escalating the call for the liquidation of CLICO’s assets.

The question to be asked is why no similar concern expressed at the recent downgrade in A.M Best Rating of Sagicor? ALICO which is a subsidiary of AIG has not raised even a murmur. AIG we know is the US based holding company which has been deemed to large to fail and has been on life-support for over six months now.

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Categories: Barbados · Barbados Government · Barbados Labour Party · Business · Caribbean · Caribbean News · Caricom · David Thompson · Finance · Insurance · Politics · Trinidad · World News

A Case Of The Fatted Calf Being Slaughtered?

April 28, 2009 · 57 Comments

arable-landBloggers around the world are being asked  to take action to combat the poverty and hunger affecting more than 500 million people worldwide and responsible for the deaths of over 15 million children each year through a campaign Blogger Unite For Hunger and Hope. BU although concerned about people everywhere the campaign (blogging)  has served to bring to the fore again the little regard Barbadians have for agriculture and by extension food security.

BU commenter Nostradamus reminded us recently that there is an application in Town Planning to change 136 acres of agricultural land, representing 30% of Staple Grove Plantation, from agricultural to residentialthere will be a Consultation at the Meeting Hall of St. David’s Anglican Church on Monday April 27, 2009 at 6:00pm. The meeting will allow for comment and discussion on the proposed plans for the subdivision of lands at St. David’s Village, Ch. Ch and Staple grove Ch. Ch. Into lots for residential purposes.

The government led by Minister Michael Lashley has been on a quest to generate housing solutions to deliver on a Democratic Labour Party campaign promise. The government led by Minister Haynesley Benn has also been on a quest to move agriculture back to the centre of our economy. The two Ministers maybe on a collision course given all that has happened during the previous government when there were many accusations levelled that prime agricultural land was being sub-divided willy-nilly for residential and other purposes.

In light of the above BU’s interest was peeked when commenter Nostradamus made his intervention.  Luckily we were able to persuade a BU family member to attend the Consultation on the sub-division of lands at Staple Grove, St. Davids for residential purposes and report back her findings.

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Categories: Agriculture · Barbados · Barbados Government · Barbados News · Blogging · Construction · Governance · environment
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Is Barbados At The Tipping Point?

April 19, 2009 · 67 Comments

morals-ethicsIt was just over one year when the ascension of a Democratic Labour Party (DLP)  to the government was heralded in the fanfare of song, dance and religious ceremony at the newly built Kensington Oval. All of those who were in attendance or viewed it on TV witnessed the religious flavoured ceremony, the spiritual upliftment was felt and welcomed by many.  There was much back slapping and relaxing of frowns caused by a growing belief that there was rampant moral ineptitude overrunning our small Christian society.

Not since the disestablishment of Church and State in Barbados had a government been so bold as to bridge the gap between the two. Prime Minister David Thompson many felt wanted to send a clear signal to all that the time for moral atonement had come. His government would be giving priority to increasing the moral reservoir of the country.

It seems ironic that 1 year and some later the country has become embroiled in debate about whether we have become a country of too much feting especially during Lent, the number one Christian season!

Barbados is accepted as a Christian country.

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Categories: Barbados · Barbados Government · Blogging · David Thompson · Morality · leadership

Will The Estimates Debate 2009 Be One With A Difference?

March 18, 2009 · 61 Comments

Prime Minister of Barbados Hon David Thompson

Prime Minister of Barbados Hon David Thompson

The Estimates Debate for the financial year 2009 started in parliament today (18/03/2009). It is expected to be an Estimates Debate with a difference, expected to be followed with keen interest by many because of the grave economic times which is afflicting the world. Unfortunately the BU household was unable to listen to 100% of the debate but we anticipate that members of the BU family who did may want to use this blog space to share their views and opinions.

We missed part of the Prime Minister’s opening address, what we heard was delivered in a debating style which Barbadians have become familiar. Our opinion at this early juncture in the debate was a clear lack of a priority one focus  by the Prime Minister on an economic strategy considering the global financial meltdown.

Like Obama Thompson needs to be engendering confidence in the PEOPLE that his government is prepared to roll out economic strategies to stabilize and energize. We must plan on the basis that there is the opportunity to position Barbados to build on its economic prosperity in a post-meltdown global economy.

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Categories: Barbados · Barbados Government · David Thompson

The Role Of National Financial Institutions

March 7, 2009 · 25 Comments

Submitted by Dr. Justin Robinson, Department of Management Studies, UWI Cave Hill

barbadosnationalbank1The Prime Minister of Barbados has stated that his government has an interest in working with private players in Barbados to take a controlling interest in the Barbados National Bank (BNB). The Prime Minister’s statement has generated comments from highly trained and respected experts in Economics, Finance and Business, among others. The consensus among a number of commentators seems to be that the acquisition of a controlling interest in Barbados National Bank might not be best use of public funds at this time.

I certainly have found nothing in the Prime Minister’s comments to suggest that his government was interested in dipping into the public purse to acquire a majority stake in BNB. I have interpreted the Prime Minister’s comments to mean, that his government sees net advantages to the existence of a financial institution whose ownership structure would make it more likely to act in the national interest if called upon to do so. For example, to expedite the bailout of a troubled financial institution, such as the role played by First Citizens Bank in Trinidad and Tobago. If my interpretation of his position is correct, in my view it is an interesting position and one worthy of further debate. (more…)

Categories: Banking · Barbados · Barbados Economy · Barbados Government · Business · Caribbean · Caribbean News · Finance · Regulatory

The Problem Of Debt

March 5, 2009 · 10 Comments

Submitted by The Looking Glass

Central Bank of Barbados

Central Bank of Barbados

There is a correlation between Public and Private/personal debt in a society whose mental set permits both lavish consumption and government misuse of borrowed funds, more so where private saving is insufficient to finance government spending (like jails, roundabouts, flyovers (and borrowing to prop up the Treasury) that do nothing but add to the debt. The debt ratios of households and government are at an all time high.

When a regime can no longer effectively underwrite the control and production of the country then you do as you were told. The opportunity to be held hostage increases when too much of the debt is held by foreigners. Thus it is safe to say that in our case debt will retard the independence of the nation and leave us in a state that is “financially imprudent.” As long as part of the debt is covered by borrowing its value will keep on rising, and like long term fiscal policy is not sustainable.

The IMF in 2006 projected debt at 75% of GDP by 2011. The 2008 report is anything but an improvement. According to the report “total debt rose to 95% of GDP or a stall high of 87% if earmarked sinking funds are netted out….A 75% likelihood that medium term debt ratio will exceed current levels…and predicts an average debt ratio of 106% by 2013.” This suggests that, despite the privatization and sale of profitable assets in the last decade, the national debt is one hell of a lot more than was ever openly acknowledged (add in “off-budget” loan guarantees and contingencies to get an idea of the true national debt). Debt stabilisation means nothing more than stabilizing it as a proportion of GDP sufficient to ensure the debt will be serviced not principal reduction.

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Categories: Barbados · Barbados Government · Blogging · Governance · Politics · World News
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No Confidence Motion In Minister Of Finance David Thompson Read After Storm In Tea Cup

March 3, 2009 · 130 Comments

In case you missed the 12 hour  no-confidence motion brought by Leader of the Opposition Mia Mottley against the Minister of Finance David Thompson, click on the 4-audio links below which averages 3 hours per link! – Parts 1 23 4

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Categories: Barbados · Barbados Government · Barbados News · Blogging · Caribbean · Caribbean News · David Thompson

Prime Minister David Thompson And Opposition Leader Mia Mottley Expose Weakness In The Office Of Supervisor Of Insurance

March 2, 2009 · 44 Comments

carlos_belgrave

PRIME MINISTER David Thompson (right) with Supervisor of Insurance Carlos Belgrave and Barbados Central Bank Governor Dr Marion Williams/Nation Newspaper

A member of the BU household was fortunate to listen to the mid-day call-in program hosted by veteran journalist David Ellis. If we were not convinced that politics has enveloped the CLICO Affair, we are now convinced after listening to Mottley and the Prime Minister on the call-in show. Previous blogs have discussed the unravelling CLICO saga ad nauseam.

Our concern centres on the admission by Leader of the Opposition Mottley that she left government not knowing that the CLICO statutory fund was in deficit. She confirmed that the Supervisor of Insurance report for 2005 was only submitted in early 2008. The Prime Minister put forward the very logical argument that if Mottley can claim ignorance after years in office how could he be expected to know a deficit existed after one year in office.

Shameful!?!

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Categories: Barbados · Barbados Government · David Thompson · Insurance
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Prime Minister David Thompson To Meet The Press, AGAIN!

February 28, 2009 · 54 Comments

Prime Minister of Barbados Hon David Thompson

Prime Minister of Barbados Hon David Thompson

A feature of the current David Thompson administration after just over one year in office has been the frequency with which the Prime Minister has made himself available to the Barbados media to answer questions. Compared to the number of press conferences which former Prime Minister Owen Arthur held during his 14 year tenure, Thompson must be on course for some kind of record.

Based on the report posted on the Caribbean Broadcasting Corporation (CBC) website Barbadians can look forward to a press conference with a twist. Members of the general public have been invited to participate. We are not sure what is the criteria for participation but we can only hope that it was random and or political and NGOs were fairly invited to participate.

Although we are forced to give kudos to the Prime Minister for winning the prize for being very accessible to the media, and he has delivered himself well, it has been done against a predictable performance from our media practitioners. We are hopeful that tomorrow we will see an improved performance from them. The honeymoon period is over and although the prevailing tough economic times may still generate some goodwill for the Prime Minister the people want to hear concrete proposals on how the government intends to confront the challenges facing our small country. Issues to deal with the economy and employment – maintaining competitiveness in tourism, protection in the offshore services, food security and IMMIGRATION policies among others.

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Categories: Barbados · Barbados Economy · Barbados Government · Barbados Media · Barbados News · Barbados Press · Blogging · David Thompson · Journalism · Politics · World News
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BAPE And The Highway…Part 2

February 27, 2009 · 37 Comments

Submitted by BU Family Member

wildeyHaving written before on the role of the Barbados Association of Professional Engineers (BAPE) and their criticisms of the ABC highway project in the run up to the last elections, what has been puzzling is its complete silence on the highway since then.

My primary concern is the “Wildey Merge Mania” where traffic coming from St. David’s that wants to go to Wildey must come to a junction which is structured that you must look OVER your shoulder to see oncoming traffic (which is coming at speed down a hill) to race forwards, to cross not one but THREE lanes of traffic in less than 100 meters. While at the same time contending with traffic coming from Collymore Rock that is doing the same thing (looking over the shoulder to avoid mainstream traffic and merging across three lanes) in the other direction! It is a miracle that no one has been killed in this madness.

To put the above into perspective, the distance available to merge across three lanes of traffic is LESS than what is available to people joining the highway in the Belle who only have to merge into the next lane and don’t have to deal with crossing traffic. BAPE raised a stink about the Belle junction, but they have been silent about the Wildey situation.

To quote from the BAPE’s position paper:

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Categories: 3s Structural Steel Solutions · Barbados · Barbados Government · Blogging · Transportation

When Will Barbados Rollout Economic Stimulus Package?

February 5, 2009 · 39 Comments

Prime Minister of Barbados David Thompson

Prime Minister of Barbados David Thompson

The BU household continues to struggle to understand some of the tactics being used by some developed countries in the tizzy of the prevailing global financial crisis.  The United States remains the mother of all free markets and in the thrust to sustain its thirst for profits it created the trade phenomenon, globalization.

BU family members maybe aware that there is an initiative on the way in the USA to entice Americans to buy local which Obama intends to attach to his stimulus plan: how ironic!

Among the world’s financial analysts there is the majority opinion that the USA is responsible for triggering the economic tailspin the world finds itself, yet they seem so willing to implement protectionist measures as a strategy to stimulate homespun industries. Conversely developing countries like Barbados and others have had to expose themselves to the brunt of WTO policies, EPAs and all, by dismantling national trade boundaries.

Where is the logic?

Where is the equity?

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Categories: Barbados · Barbados Economy · Barbados Government · Caribbean · Caribbean News · David Thompson · Governance · World News

Should Our Merchants Be Tarred And Feathered?

January 29, 2009 · 37 Comments

ground-provisons1We have to admit that we came up empty when we tried to do a follow-up on a previous Foreign Eggs Are Coming! which we posted leading up to the Christmas period. From all the feedback received there was no significant downward movement in the price of eggs. It is regrettable that our local media has not done a follow-up story by asking what, why, who, when and where. Maybe we are being harsh on them, they seem to have their hands full trying to defend why journalists in Barbados should not pay professional fees.

In all fairness the local media has kept the issue of high food cost in Barbados as a centre issue. On a related note the Trinidad media has been reporting this week that there is overwhelming evidence the price to the consumer of imported food is starting to trend downwards. The main reason given is the depressed oil price which has impacted freight cost.

The information coming out of Trinidad requires that some explanation from Barbados merchants is required. The immediate would be to question the sourcing of suppliers used by Barbados merchants  vis-à-vis those in Trinidad.

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Categories: Agriculture · Barbados · Barbados Economy · Barbados Government · Consumers · Prices · Regulatory

Failures Of The Barbados Government After One Year In Office

January 19, 2009 · 52 Comments

Submitted as a comment by Carson C. Cadogan

top_ten

  1. Failure to have DLP parliamentarians declare personal assets. This is going to come back to bite them in the fanny
  2. Failure to implement integrity legislation
  3. Failure to reduce the sky high cost of living in Barbados by any means necessary. All we got were excuses. This is a huge failing of the DLP Government. If anything the cost of living has increased under their watch. This can not be good for them and they will find this out at the next general election
  4. Failure to arrest and charge ANYONE with corruption of any type. They all know about the massive BLP corruption as we all do but they have chosen to do ABOSOLUTELY NOTHING about it. Everyone is deeply disappointed about this. This will have general election implications for the DLP
  5. Failure to foresee the devastating effects increasing taxation on alcohol would have on the hospitality industry our main foreign exchange earner. The guests are fuming at the high cost of alcohol in Barbados. Trust me they will take their business elsewhere (more…)

Categories: Barbados · Barbados Government · David Thompson · Democratic Labour Party · Politics

Immigration In Barbados, An Informed Government Response

January 17, 2009 · 230 Comments

Submitted by Yardbroom

Senator Arni Walters - Minister of State responsible for Immigration

Senator Arni Walters - Minister of State responsible for Immigration

Many months ago David – at Barbados Underground – and a few concerned bloggers brought to public notice the issue of immigration in Barbados; as they felt the majority Barbadian view was not being adequately represented.  David suffered the chagrin of many news outlets and some pseudo intellectuals for daring to raise such a delicate subject.  Despite this vilification David persisted.  At times immigration topics on BU became heated as some commenters allowed their frustration to be vented in colourful language and in a “few” instances, unnecessary disrespect to specific groups.  As a result individual comments were taken as the agenda of Barbados Underground.  It must be understood I cannot speak for BU, as I have no remit to do so, my comments are simply general observations.

It is with some satisfaction that in his briefing to reporters at Ilaro Court on Wednesday 14 January Prime Minister Mr. David Thompson remarked:

…there was a revocation of some of the discretion that was allowed the department, so we could look and see how the system was operating…

…there will be a shakeup…

…I believe that there are going to be major administrative changes coming in the new year in the Immigration Department

The question which immediately seems appropriate, was the system or discretion being abused in the Immigration Department?

David and BU have been vindicated, the patriots you are have withstood  the hubris masking itself as intellectualism and paraded before the populace as representing the majority Barbadian view, although they had no regard for the citizens whom they deign to disregard. (more…)

Categories: Barbados · Barbados Government · Immigration

Prime Minister David Thompson Meets The Press After Year One

January 14, 2009 · 76 Comments

Prime Minister David Thompson

Prime Minister David Thompson

Tonight Prime Minister David Thompson faced the nation one year after assuming office. Barbadians may well feel satisfied that compared to previous governments the Prime Minister has been accessible to the Barbados media. As a footnote, most glaring was the absence of CBC Head of News Richard Cox. The nights event was moderated by CBC’s Michelle Arthur

Here are our thoughts about some of the issues raised during the press conference.

Economy

We were not able to discern that there is a clear-cut strategy mapped to manage the Barbados economy through the anticipated economic crisis. The Prime Minister although he referred to some projects in construction, housing and a few other initiatives to be started shortly, we are not happy with the wait and see approach. We don’t have to be an economist to know that there is a lag period which would impact the rollout of economic policies. Our gut suggests that the Prime Minister is holding a few cards close to his chest.

Corruption

The Hardwood matter and the progress of government investigations into corruption was discussed. Without regurgitating the details our conclusion is that the government is moving on. Any expectation by Barbadians which were fuelled in the last election that former government ministers et al would have found themselves before the law courts or prison may have become a distant desire. Prime Minister Thompson’s position has now changed to: he is not the police and is not in a position to prosecute matters. While this is true Prime Minister the tenor of your responses on the questions of corruption seems to have changed in the opinion of the humble BU household. After listening to the Prime Minister expound on this matter a sense of déjà vu overwhelmed us – business as usual it seems to be.

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Categories: Barbados · Barbados Government · Barbados Media · Barbados News · Barbados Press · Caribbean · Caribbean News · David Thompson · Governance · Politics