St. Lucia’s Prime Minister Phillip J Pierre has voiced his concerns over the gradual shift by banks in the Caribbean towards cashless transactions.
Highlighting the impact on specific demographics, Pierre expressed caution in his critique of banking policies but underscored the necessity of addressing this change.
The dilemma of cashless transactions
The Prime Minister expressed concerns about a bank in St. Lucia informing customers of its plans to transition to cashless transactions.
He questioned the fairness of denying cash transactions to those who have traditionally relied on this method, especially when their savings are held within these banks.
Pierre plans to discuss this issue with other Caribbean finance ministers, arguing for the necessity of maintaining diverse transaction methods to cater to all societal segments.
Comparisons and international standards
Drawing parallels with banking practices abroad, Pierre pointed to recent mandates in England requiring banks to provide at least one automated teller machine for every 3,000 residents.
Concerns over proof of income requirements
Another point of contention raised by Pierre involves the stringent demands by banks for vendors and taxi drivers to provide proof of income when exchanging U.S. dollars.
He criticized this practice as overly burdensome and not aligned with practices in other regions, such as the United States. Pierre highlighted the absurdity of assuming small-scale transactions as potential money laundering activities.
Call for policy reevaluation
Urging a reevaluation of the impending cashless policies, the Prime Minister voiced his strong opposition to the elimination of cash transactions, highlighting the impact it may have on the elderly and those unable to adapt to digital financial services.
