Business

Pilot Payment System Partnership For CARICOM & African Trade

The Central Banks of Barbados and The Bahamas have agreed to a partnership to set up a pilot payment system platform to facilitate trade between the region and Africa.

Prime Minister Mia Amor Mottley made the announcement recently, as she addressed the official launch of the Afreximbank CARICOM Office at Hilton Barbados Resort, Needham’s Point, St. Michael.

Ms. Mottley told the gathering and those tuning in virtually that the programme would allow African and regional traders “to be taken on the basis of settling net differences rather than having to look for hard currency for every single transaction”.

She explained that the CARICOM Multilateral Clearing Facility (CMCF) was established in the late 1970s as a centralised payments clearing and settlement accounting system that allowed CARICOM member states and firms to use local currencies to settle transactions, among other things.

However, the operations ended by 1983 and the Prime Minister insisted that a replacement facility was needed in the region to settle trade transactions with each other.

“I refer to the CARICOM Multilateral Clearing Facility only because had we had an entity such as Afreximbank at the time, to underwrite that facility, it might not have become dormant 30 years ago,” Ms. Mottley proffered.

She insisted that the opening of the bank was linked to Government’s Reclaiming Our Atlantic Destiny (ROAD) project, while pointing to the opportunities to be had by pursuing trading outside of traditional North Atlantic countries.

“For all of our independent life, our dealings focused on North Atlantic countries, everything went north. We determined that as we moved in the second or third generation of our independence that we were certainly old enough, with enough grey hair, to say for ourselves with whom we would want to trade, relate and be among,” Ms. Mottley stated.

The Prime Minister publicly thanked the President and Chairman of the Board of Directors of Afreximbank, Dr. Benedict Oramah, for his assistance during the COVID-19 pandemic via the African Medical Supplies platform.

“This speaks not just to the passion but also the fact that the numbers and opportunities can work for both of us. This can be your platform for taking a far greater role in not just the Caribbean but the Americas, a must that will see you move from the $33 billion in assets to $60 billion by 2030,” Ms. Mottley underlined.

Meanwhile, Dr. Oramah spoke about the investments in the region, including a $200 million renewable energy project in St. Kitts, and others in tourism and hospitality, financial services, and creative industries.(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