Business

FINANCIAL LITERACY DRIVE

Government is intensifying its efforts to educate citizens about financial literacy, in an attempt to ensure they improve their money-management skills, and make better financial decisions. And, Consultant to the Financial Literacy Bureau and “FLB Champion”, David Simpson, said this sensitisation targets every citizen/resident of Barbados, regardless of age, gender, academic, or professional background.

Mr. Simpson emphasised the importance of financial literacy, saying it was critical to our future development as a people, and country. Therefore, he said, officials at the Financial Literacy Bureau (FLB) “will not stop until the objective has been achieved”.

Even children, the FLB Champion pointed out, will be brought into the loop, so they too will be armed with the necessary information to make good financial decisions with regards to any money they receive.

“The Financial Literacy Bureau has been working with the Ministry of Education and other community stakeholders to have our programmes included in each school’s activities.

“More importantly, we are working to have the school curriculum updated to reflect elements of financial literacy and money management being taught to our children from as early as nursery level, right up to university,” he disclosed.

In addition, Mr. Simpson said officials at the FLB had already consulted various community groups, and were actively preparing customised programmes for their members. He noted that the Bureau had also delivered financial literacy interventions for a few corporate entities and other social/community groups over the past six months.

Financial literacy refers to individuals possessing skills and knowledge on financial matters that enable them to confidently take effective action that best fulfils their personal, family, business, and community goals. Several countries across the globe have also introduced financial literacy programmes to help their citizens manage their personal finances.

Financial literacy refers to individuals possessing skills and knowledge on financial matters that enable them to confidently take effective action that best fulfils their personal, family, business, and community goals. Several countries across the globe have also introduced financial literacy programmes to help their citizens manage their personal finances.

Mr. Simpson explained that over the years, in Barbados, it became evident, not only to Government and its agencies but also business support organisations, the banking sector and the credit union movement, that the ability of their various constituents to navigate financial transactions and related matters was not at acceptable levels.

“Financial and money matters touch every single part of our daily existence – we work to earn money; we spend that money investing, saving and consuming – so Government realised that an intervention was required.

**Consultant to the Financial Literacy Bureau and “FLB Champion”, David Simpson. (BGIS)**

“This intervention is based on three key pillars – the improvement of money management skills; building a strong foundation for financial decisions, and promoting the creation of an investment culture that facilitates the creation of wealth that is intergenerational,” he pointed out.

Financial experts across the world are of the view that when people understand basic financial concepts, they are in a better position to navigate in the financial system. They agree that those who receive financial literacy training make better financial decisions and manage their money better than those who do not receive such exposure.

Indeed, some members of the public who participated in the financial literacy sessions here even reported that they have been applying the information shared and are already reaping success.

Mr. Simpson noted that the response to the sessions has been “exceptional”, especially since the weekly webinars were moved to the online Zoom platform.

He said this allowed the FLB to reach more people in the comfort of their homes, offices, etcetera. “Our attendees have valued the insights, information and content shared and have been very engaged in all of our sessions to date,” he indicated.

Financial experts across the world are of the view that when people understand basic financial concepts, they are in a better position to navigate in the financial system. They agree that those who receive financial literacy training make better financial decisions and manage their money better than those who do not receive such exposure.

He said the Barbadian population has been segmented into a few niche groups, namely households; businesses (especially small business and entrepreneurs); children (school aged and tertiary institutions), and community groups/non-governmental organisations, to ensure the sessions are effective.

Some of the areas being covered during the webinars are: Introduction to Savings and Investment; Managing Your Credit Cards; Retirement Planning; Understanding Social Security, NIS and Pension Benefits; Estate Planning – using Wills, Trust, etc.; Costing and Pricing of Products and Services, and Managing Your Credit Rating.

The FLB Champion pointed out that the course catalogue will be revised, so more courses will be available for attendees.

And, for those people who believe they are good at managing their finances, and may not need the training, Mr. Simpson reminds: “There is always room for improvement, so you can do better at financial management. This will translate to more savings, more investments, better consumption practices, as well as more focus on financial and other goals.”

Several small businesses have been impacted severely as a result of the COVID-19 pandemic, and the FLB Champion is encouraging entrepreneurs to join the FLB’s sessions, and receive valuable tips to help them transform their businesses.

“As with any crisis, self-reflection and analysis are important. COVID-19 mandated that we reassess how we conducted our business, how we used technology, as well as how we interacted with our customers and clients.

“This was necessary not only from a health perspective but also in terms of ensuring sustainability and future viability, as consumer spending habits and tastes were forcefully changed,” he stated.

One thing is clear, we have not been able to stretch our dollars like our grandparents did in the past. And, with the rising cost of living because of internal and external factors, the glimmer of hope seems to be fading.

However, if we take advantage of the financial literacy training being offered, we can put ourselves on the path to storing up that nest egg, not only for ourselves, but our children, thus creating that opportunity for intergenerational wealth. (PR/GIS)

Business

WORLD BANK TECHNICAL ASSISTANCE MISSION OCT 7-18

Central Bank of Barbados Partners with the World Bank to Modernise Local Payments System

During April to July 2024, the Central Bank of Barbados engaged in extensive discussions with financial institutions, the World Bank, and other key stakeholders to assess and enhance the local payments market an infrastructure. Following these talks, the World Bank conducted a thorough review of Barbados’ legal and regulatory payments framework and evaluated the Real Time Payments (RTP) system. As a result, the Central Bank, in collaboration with the World Bank, has launched the Barbados Payments System Modernisation Project.

To advance this initiative, the Central Bank will host a World Bank Technical Assistance Mission from October 7–18, 2024. The mission will provide updates on the project’s progress and gather feedback on the next steps. Key areas of focus will include legal and regulatory support, oversight, instant payments system interoperability, payments system usage, and digital financial literacy. (PR)

Business

Barbados To Host Regional Policy Meeting October 8 – 10

Barbados will serve as the host nation for the upcoming Regional Policy Meeting organised by the Caribbean Policy Development Centre (CPDC) from October 8 to 10.

This event, funded by the Open Society Foundations (OSF) and the European Development Fund (11th EDF), will be held at the Crane Hotel in St. Philip.

Minister of Labour, Social Security and Third Sector, Colin Jordan, will deliver the feature address during the opening ceremony on Tuesday, October 8, at 9:00 a.m.

The Meeting will see regional policymakers, civil society organisations, and international partners gathering to tackle the Caribbean’s most pressing challenges, including sovereign debt, food and nutrition security, and to chart a new course for governance, development, and climate resilience, all aimed at improving the lives of Caribbean people.

Speaking about the important timing of the upcoming meeting, Officer in Charge at the CPDC, Richard Jones, stated: “Now it is of paramount importance as Caribbean nations face a convergence of complex challenges that threaten to derail sustainable development and the well-being of their citizens. At this critical juncture, the region grapples with persistent poverty, rising inequality, food insecurity, and the existential threat of climate change.”

According to data provided by the CPDC, small economies, burdened by the legacy of colonial extractive practices, remain vulnerable to external shocks, such as global price fluctuations and natural disasters. Climate change, in particular, presents a grave risk, with increasing hurricanes and rising sea levels threatening entire economies, especially those reliant on tourism and fisheries. The Caribbean loses an estimated three per cent of its GDP annually, due to natural disasters, underscoring the urgent need for robust, coordinated regional responses.

To address these critical issues, the Regional Policy Meeting will feature an impressive lineup of regional and international thought leaders who bring deep expertise in policy, development, and advocacy, including:

Jwala Rambarran, former Governor of the Central Bank of Trinidad & Tobago, who will address the urgent need for financial stability and reforming international financial institutions.
Grace-Ann Cornwall, Social Development Professional, will provide insights on empowering vulnerable groups and NGOs across the region.
Christon Herbert, CPDC Policy Officer, will lead discussions on climate resilience, insurance solutions, and disaster risk financing.
Meghna Abraham, Director of Open Society Foundations, will highlight the importance of international solidarity in achieving sustainable development goals.
Jeremy Stephen, economist and development finance expert, will present innovative approaches to debt relief and financial stability.

Other key speakers will be Assistant Secretary-General CARICOM Single Market and Trade Ambassador Wayne McCook; Director and Senior Research Fellow, Sir Arthur Lewis Institute of Social and Economic Studies, The University of The West Indies, Cave Hill Campus, Dr. Don Marshall, and Florida-based International Consultant on Food and Nutrition Security and Sovereignty, Dr. Tigerjeet Ballayram.

Agenda – “The Main 8”

Over the three days, the meeting will drill down into eight critical policy areas under the theme “Forging Ahead”, which addresses the eight most urgent challenges threatening progression in the region:

Sustainable Development
Reform of International Financial Institutions
Debt Relief and Financial Stability
Empowerment of Vulnerable Groups
Capacity Building for NGOs
Food and Nutrition Security
Climate Resilience
Good Governance

Mr. Jones, stated: “These areas are not only crucial but also interconnected. For example, the Caribbean’s food security is directly impacted by climate change, while sovereign debt threatens the region’s ability to invest in resilient infrastructure; we will therefore focus on comprehensive solutions that encompass a range of considerations.”

Noting that progress was already underway by the CPDC in many of these areas, he added: “By building on existing projects and facilitating high-level discussions, the Meeting seeks to generate momentum for collaborative action on food security, financial mechanisms, and policies that prioritise the empowerment of vulnerable communities, ultimately fostering a more resilient and equitable Caribbean.” (PR/GIS)

Business

Annual Education Awards Ceremony

Light and Power Employees Co-operative Credit Union Limited (LPECCUL) Celebrate

The Light and Power Employees Co-operative Credit Union Limited (LPECCUL) recently hosted its annual Education Awards and Trevor Browne Scholarship ceremony; this event recognises academic excellence and promotes the importance of education within the community. This year, nine junior saver members who would have sat the Common Entrance Examination were awarded. Each student received prizes and cash vouchers. While the Trevor Browne Scholarship, was awarded to Melissa Austin, who is currently pursuing a degree in Physical Therapy in the Faculty of Medical Sciences at UWI Mona Campus.

The highlight of the event was an inspiring keynote address delivered by Lt. Col. Trevor Browne, a founding member of LPECCUL, who shared his insights on the importance of education and personal development. His words were echoed by the President, Sheena Edwards, who emphasized the credit union’s ongoing commitment to supporting the educational aspirations of its junior members and their families. Additional remarks were given by other board members and members of the management team, all underscoring the role of financial literacy and good budgeting practices in shaping the future of the next generation.

Lt Col Trevor Browne presents scholarship

In addition to the presentations and speeches, the students received valuable guidance on financial literacy, underscoring the Credit Union’s philosophy of promoting financial empowerment from a young age. The event aimed to equip students with knowledge and tools to manage their financeswisely, as they move forward in their academic journeys.

Once again, congratulations to this year’s awardees for their performance in the Common Entrance:

Teyen Bostic – The St. Michael School

Maria Gill – Christ Church Foundation School

Neymar Gill – Graydon Sealy Secondary School

Rommaldo Holford – Queen’s College

Nathan McKenzie – The Lodge School

Remy Nurse – The St. Michael School

Akil Priddee – Challenor School

Jaylan Priddee – Deighton Griffith School