The government of St. Kitts and Nevis is moving forward with efforts to establish a fair share agreement between the two islands, with the help of an independent body facilitated by the World Bank. The initiative aims to address equitable revenue distribution and ensure fairness within the Federation.
In a recent interview, Prime Minister Hon. Dr. Terrance Drew stressed the importance of this initiative, emphasizing its role in fostering collaboration and transparency between St. Kitts and Nevis.
“This administration is committed to fostering fairness, transparency, and collaboration between St. Kitts and Nevis,” Dr. Drew said. “An independent body will provide the objectivity and credibility required to develop an agreement that reflects the best interests of all citizens, ensuring a sustainable and equitable framework for generations to come.”
A key factor driving the need for the fair share agreement is the growing revenue from non-taxable sources, such as the Citizenship by Investment (CBI) program. Dr. Drew noted that while the Constitution outlines how taxable revenues are shared, the rise in non-taxable revenues has introduced new complexities that must be addressed.
“Our goal is to ensure that both islands benefit equitably from the Federation’s economic progress while maintaining our commitment to good governance and fiscal responsibility,” Dr. Drew explained. “The framework we are developing will address these challenges and align with constitutional provisions.”
The Prime Minister also pointed out that the federal government continues to provide significant support to Nevis, including funding for critical services like national security, ports, airports, and fire services, as well as monthly budgetary contributions.
Dr. Drew expressed confidence that involving the World Bank will add credibility and impartiality to the process, ensuring that the final agreement adheres to international best practices.
“This initiative will bring clarity and resolution to a matter that has often been contentious,” he said. “It demonstrates our commitment to resolving complex issues with integrity and transparency.”
As the process unfolds, the Prime Minister called for patience from citizens, reaffirming that the government is determined to create an agreement that stands the test of time. “This is a matter of great importance, and we are determined to get it right. The engagement of an independent body ensures that the final agreement will be one that reflects the principles of fairness and equity,” Dr. Drew concluded.
