Government

V20 Finance Ministers Call For Shift From Austerity To Prosperity

Finance Ministers from the Vulnerable Twenty (V20) Group, representing 70 climate-vulnerable nations, convened their 13th Ministerial Dialogue today on the sidelines of the World Bank Annual Meetings in Washington, D.C. Ministers at the meeting issued a communique, calling for urgent financial governance reforms and far more equitable climate finance.

A V20 Communique, adopted at the meeting, endorsed initiatives and recommendations to deliver fair access to climate finance and debt solutions with relief and disaster support, while promoting resilience and sustainable development. Finance ministers at the meeting pointed out that recent climate disasters have exacerbated the debt and climate vulnerabilities of V20 nations.

The V20 Communique criticized the current financial system for “diverting crucial funds from the poorest nations to the wealthiest,” and stressed the need for better representation of climate-vulnerable economies in Bretton Woods Institutions, through more inclusive discussions and balanced governance.

Highlighting the work of the G20 Independent Expert Group (IEG), the Communique pointed to the “2023 net outflows from Emerging and Developing Countries which rose by USD 68 billion to USD 200 billion through extractions from private creditors in interest and net repayments.” This trend is forcing V20 countries to cut spending on health, education, and infrastructure.

Speaking at today’s Ministerial Dialogue, Prime Minister of Barbados, Mia Amor Mottley, Chair of the CVF-V20 Presidency, said: “The difficulty relates to scale and speed. In the absence of definitive decisions that can give us more space and time [to invest in climate and development], this is very worrying. The world is distracted by war, elections and geopolitics. That is our current reality. If I could recommend to this body a single action that would buy us more space. It would be settling a global methane agreement.”

Prime Minister Mottley added that new measures, such as a global taxation on shipping, should be used to fund adaptation needs in climate vulnerable countries, particularly coastal countries.

In addition to matters related to the impact of the climate crisis on debt and liquidity for CVF V20 members, during the two years of the Barbados presidency, Prime Minister Mottley will also focus on the impacts of climate change on human health, placing increased stress on health care systems, and the multidimensional nature of climate crisis.

Sovereign debt resolution was a core part of today’s discussions, as climate impacts exacerbate the debt crisis, further limiting the fiscal space needed to drive climate resilience investments. Finance Ministers noted “the need for the Common Framework to be overhauled to involve creditors, expand eligibility to middle-income countries and produce debt relief proportionate to climate and development investment needs.”

Significant emphasis was placed on Debt Sustainability Analyses (DSAs) that incorporate climate shocks and the full benefits of development-positive climate investments as well as climate-positive development investments.

Key Points from the V20 Communique:

The communique adopted following today’s discussions highlighted that “debt crises and climate impacts feed off each other, choking fund flows needed for resilience.” The Communique emphasized, “resolving sovereign debt must be central to any climate finance deal.”

It echoed the CVF Leaders Declaration issued during the UNGA in New York in September, which called for better representation of climate vulnerable countries in the International Monetary Fund, noting that the 15th and 16th General Review of Quotas ended without much-needed realignment.

Further highlighting “the inadequacy and inequitable structure of the Global Financial Safety Net,” the Communique called on the IMF to contribute to shock-proofing the global financial system. It also called on the IMF to launch a replenishment drive for the Catastrophe Containment and Relief Trust (CCRT).

The Communique emphasized the crucial role of the New Collective Quantified Goal (NCQG) to correct past shortcomings of the $100 billion target. “The NCQG must be ambitious, trackable and actionable,” the Communique stated. (PR/GIS)

Caption: Barbados’ Prime Minister and Chair of the CVF-V20 Presidency, Mia Amor Mottley, speaking at Vulnerable Twenty (V20) Group 13th Ministerial Dialogue in Washington,

Government

Barbados Votes To End Embargo On Cuba

Barbados joined the United Nations General Assembly (UNGA) in condemning the United States’ economic embargo of Cuba for the 32nd consecutive year, when the resolution entitled: “Necessity of ending the economic, commercial and financial embargo imposed by the United States of America against Cuba” was considered during a meeting held on Wednesday, October 30.

The United Nations overwhelmingly passed the resolution by a vote of 187 (in favour) to two (against), with one abstention. Only the United States and Israel voted against it.

During the delivery of the national statement, Chargé d’Affaires/Deputy Permanent Representative of Barbados to the United Nations, Kereeta Whyte, informed the UNGA that: “The sentiments we express today are not new. They reflect the deep conviction we have articulated in this Assembly over the years. Indeed, since this resolution was first introduced in the General Assembly at its 46th session, in 1991.

“The Government of Barbados once again calls for an immediate end to the embargo and urges the removal of Cuba from the US Department of State’s list of alleged state sponsors of terrorism, a designation that only exacerbates the suffering of the Cuban people.

“We believe that dialogue is the path forward. Barbados values its strong relations with both the United States and Cuba and calls on the US Government to engage in meaningful negotiations with Cuba to normalise relations. This step would not only reduce tensions but also pave the way for greater peace, cooperation, and development in our region.

“Barbados will continue to advocate for the lifting of the economic, commercial and financial blockade, which is critical for the people and Government of Cuba to achieve full prosperity.” (PR/GIS)

Government

MORE WORK NEEDED TO ACHIEVE SUSTAINABLE DEVELOPMENT GOALS

As the year 2030 quickly approaches, countries, including Barbados, need to speed up their efforts to achieve the United Nations Sustainable Development Goals (SDGs).
This word comes from Minister in the Ministry of Economic Affairs and Investment Senator Chad Blackman, as he addressed Friday’s Validation Workshop for the Baseline Study on the Priority Sustainable Development Goals Indicators for Barbados at the Sagicor Cave Hill School of Business, where he insisted that countries had become too lax in meeting the necessary targets for the 2030 Agenda for Sustainable Development, which adopted by all UN Member States almost a decade prior.

He said, “We are virtually at the end of 2024, which now leaves us just six years to that magic number of 2030. Whilst there are a lot of goals that Barbados has achieved, the world, including Barbados, has still not met a number of them in the way that we should. And, therefore, we have six years to really redouble, or some might argue, re-triple our efforts, so as to be able to tangibly achieve these objectives. But, we can’t do it alone.
He added, “The government can’t do it on its own; the private sector can’t do it on its own; civil society can’t do it on its own; it has to be government, private sector, civil society, the man on the street…. So that the entire society moves forward in a cohesive way…to meet these targets. Therefore, it calls for an out of box approach so as to ensure that we can meet these targets. Therefore, we have to use all our creativity. We have to use nonconventional ways of trying to help us to achieve these targets.”
Blackman noted that an “out-of-the-box” will be necessary for Barbados and other countries to effectively move the needle to reach the set targets.

Government

XVI Ministerial Forum On Development Starts October 30

The Government of Barbados, the United Nations Development Programme (UNDP), and the Economic Commission for Latin America and the Caribbean (ECLAC) will host the XVI Ministerial Forum on Development in Latin America and the Caribbean, as a space to discuss opportunities to build resilience against future shocks that continue to challenge development in the region.

The Forum will be held from Wednesday, October 30 to Friday,1 November at the Wyndham Grand Barbados Sam Lords Castle. The event will be inaugurated by Prime Minister Mia Amor Mottley, UNDP Administrator Achim Steiner, and ECLAC Executive Secretary, José Manuel Salazar-Xirinachs, and is expected to have over 150 participants, including more than 20 Government delegations from the region. The full agenda is available here.

This gathering builds on the discussions initiated at the XIII Ministerial Forum in Antigua and Barbuda in 2021, which discussed disasters and social protection systems in the context of protracted crises. The XVI Ministerial Forum will discuss how the region can advance and protect social gains in the context of more frequent and intense shocks.

A Ministerial Declaration is expected to be the outcome of the Forum. The Declaration aims to be a roadmap for transformative policy action and impactful initiatives that transcend boundaries, ultimately steering the region toward a more equitable and resilient future.