Prime Minister Mia Mottley has given assurance to the business community that it will not be left in the dark as her administration gets ready to implement the Barbados Economic Recovery and Transformation (BERT) 2022 plan.
Bridgetown reached a staff-level agreement with the International Monetary Fund (IMF) at the end of September, and it will go before the Washington-based institution’s board on December 7 for final approval for financing under the Fund’s Extended Fund Facility (EFF).
The Government is expected to receive funding for the BERT plan to the tune of about US$500 million in the form of budget support, with US$183 million coming from the IMF, US$150 million from the Inter-American Development Bank (IDB) and US$100 million from the World Bank.
The BERT 2022 plan speaks to the need for private sector investment to be increased from the current 8.5 percent of Gross Domestic Product (GDP) or BDS$975 million (One BDS$=US$0 50 cents) annually to about 15 percent of GDP or about BDS$1.96 billion annually.
In addition to a targeted five percent annual growth rate, it also speaks to the establishment of a public/private sector growth council and delivery task force to promote and support the implementation of the growth strategy.
Prime Minister Mottley, speaking at the Barbados Chamber of Commerce and Industry (BCCI) annual business luncheon and discussion forum, said she is ‘truly amazed when I hear this government has not consulted enough”.
She was responding to BCCI president, Anthony Branker, who is calling for “an early seat at the table” when it comes to negotiations on economic issues with the administration.
Branker said while the business community was “thankful” that the country’s debt was being lowered and economic growth was returning, BERT 2.0 placed a great deal of emphasis on private sector-led growth and, therefore, engaging with the Government early was absolutely critical.
However, Mottley, who is also minister of finance, told Branker that he “need not worry about the level of engagement and consultation” since “what Barbados must look like over the next five to seven years requires all of us at the table”.
She made reference to a number of decisions made recently, including the capping of freight costs and value added tax (VAT) on some items which she said was done following consultation with the private sector.
The prime minister said her administration will establish a fiscal council by the end of March next year and that work has already started, through the implementation of various pieces of legislation, to encourage greater transparency and accountability.
CMC/
