International Monetary Fund presses Barbados to devalue the Barbados dollar

UPDATED November 5, 2013

Preparing the population for devaluation?

Once again there are calls for Barbados to devalue its currency – this time from the Inter-American Development Bank.

There’s talk on the radio and in some of the local rags. How will devaluation impact me? Will more tourists come? Will imported food go skyrocketing or will homegrown food crops rise again?

I don’t trust anybody anymore. I just know that things are not going to get better anytime soon. Here’s what Marcus wrote about this time last year…

Original article published October 31, 2012…

Devaluation: How would it impact me?

“To most of us in the Caribbean, it does not seem rational to impoverish yourself to grow your economy. To us, it is obvious that is what devaluation implies. The point is not so obvious to Americans and Europeans.”

… Dr. DeLisle Worrell, Governor of the Central Bank of Barbados

We’ve been saying for several years that things are not getting better, and that the future on Bim isn’t pretty. The best and brightest of our young people regularly pack their bags for the USA and the UK if they are at all able – and who can blame them?

Want to know what the future will bring? Have a look at what your Members of Parliament are doing. Duguid is headed for Canada. Donville Inniss family maintains property, business and finances in the USA. Those gentlemen aren’t stupid, you know.

Bajans have been living high – way too high for our productivity. That’s true for us as individuals and it’s true for the country. Now those chickens are coming home, and they are some thin chickens.

An interesting press release by the Central Bank of Barbados that we haven’t seen in any of the local papers. Did we miss it?

It seems obvious that Bim is now under some pressure from the IMF and others to devalue our dollar that is currently pegged to the US dollar at two for one.

Should we devalue? What does that mean for me? What does that mean for my children?

“What good will devaluation do if we don’t address the lack of productivity, the degrading tourism environment and the prevalence of corruption in public service?”

Sometimes there isn’t an easy way out…

Central Bank of Barbados : Press Statement

10/29/2012



The issue discussed at the breakfast meeting with the Managing Director of the International Monetary Fund and the President of the World Bank was whether devaluation was beneficial for small economies. Madame Lagarde was of the opinion that a devaluation of the Barbados dollar would make our tourism more competitive and help our economy to grow. To most of us in the Caribbean, it does not seem rational to impoverish yourself to grow your economy.

To us, it is obvious that is what devaluation implies. The point is not so obvious to Americans and Europeans. In a recent publication that was distributed during the Annual Meetings in Tokyo, I try to explain why things appear so differently from the point of view of small open economies (See my article at www.group30.org).

The Caribbean values very highly the opportunity that the International Monetary Fund and World Bank provide us, to air our concerns in frank and open discussion. In correspondence after the breakfast meeting, I reassured Madame Lagarde that, like my colleagues in the region, I am highly appreciative of the initiatives that the International Monetary Fund and the World Bank have undertaken to focus on the concerns of the Caribbean and other small nations. Madame Lagarde sent a gracious response confirming her commitment to the ongoing relationship. 

The dialogue between Barbados and the International Monetary Fund is continuous, and there are several opportunities each year for face-to-face contact with International Monetary Fund staff, including at the Annual Meetings.

Our aim at all times is to arrive at a full understanding of Barbados’ circumstances, and of the options open to us. We engaged in discussions with the International Monetary Fund towards this end in Tokyo, and that dialogue continues.

 The breakfast meeting of the Managing Director of the International Monetary Fund and the President of the World Bank is a private meeting with Ministers of Finance and Governors of Central Banks of the Caribbean, at which no press are present and no record is taken for public circulation. It is unhelpful if such private exchanges, offered in the search for better understanding among the parties, are made public, creating an impression of conflict where none exists.

Dr. DeLisle Worrell, Governor of the Central Bank of Barbados

48 Comments

Filed under Barbados, Economy

48 responses to “International Monetary Fund presses Barbados to devalue the Barbados dollar

  1. Owen Arthur devalued the dollar in 1997 with VAT by 15% then Sinckler sent it further to 17.5%

  2. We need to produce more, be more creative and actually use our brains in barbados to be business savvy and financially independent of the degrading tourism product. Any leader with intelligence will know tourism is a sideline money earner only. Devaluing the dollar creates very short term challenges, once the politicians use their brains and encourage the electorate to do likewise the country will grow and overcome. As long as we have polititians who are boasting about how many business interest they and their families own in several different countries, while in the same breath encouraging bajans to be tourist dependent and import dependent, this island and its people will go nowhere and will continually be exploited by those who can see. !ajans are totally unaware that the polititians use all the trade agreements and opportunities for them and theirs while leaving the electorate in the dark. People are only seen as votes to these leeches.

  3. Willie & Rib Bone

    Me and Rib Bone are workin’ on a plan to bring bigger and better to our paradise.
    Trouble is, our pilot plan ain’t working at 110%. The gamblin’ equipment has been seized, the girls from Ukraine bin denied entry, de crops been ripped off by some other entrepeneur, the paper and copy machine ain’t here yet [so we can’t revalue the BIM-Dollar. We gonna need the help of qualified partners in politics to help get de economy movin’ and so we can share de wealth with them..

  4. Peltdownman

    Worrell is, of course correct, and Lagarde, not for the first time, is wrong. She fails to take into account what it costs in imports to feed those same tourists – imports that will be more expensive after devaluation.

  5. Harry callihan

    well well,
    what we reap we harvest.better hurry and horde that us money abroad small fries..pay back is a bitch.

  6. Anonymous

    do away with he Barbados dollar and use American OR Canadian currency!
    That is what we give our prices in anyway and hoard up !

  7. Vonrick

    They are not going to allow you to use their US or Canadian currency. This is a contolled demolition of poor economies. Yo probably will never understand this but I am hoping that here are wise people ot there who will get it.

  8. theone

    @ well well

    i agree, polititians are only for themselves and they dont care about the average man, and its ao amazing that some of us average people would get on the blogs and the call in programs and cuss we one anudda while the politians laughing and engaging each other in light coversation and evening dinner.

  9. Beefcake

    The Barbados dollar has already been devalued on the world market. Because we are pegged to the US Dollar, and the US Dollar is weak against other currencies, we share in that same weakness. It is reflected in the stronger buying power that the Canadian dollar, Sterling, and Euro have on our market. Furthermore, almost everything we sell (tourism and other exports) is already denoted in US dollars.

    The biggest problem from further devaluation is that everyone’s lifestyle will be negatively impacted. It will be come more expensive to travel abroad and you’ll have less money to buy things from abroad. Wages will be slow to rise, despite the efforts of unions.

    Devaluation can benefit an economy that sells raw and manufactured goods as a major source of income. Barbados doesn’t have that. If I recall my university textbooks, devaluation imposed by the IMF made living conditions worse for all instances except two.

  10. Options?

    The alternative to simply lowering a pegged rate based on a depreciating US currency might be increasing the VAT similar to some Europpean countries

    http://dalje.com/en-economy/croatia-denmark-sweden-hungary-have-highest-vat/273911

    Barbados needs to do a lot more things at the same time such as increasing its own food production, investing in infrastructure, changing its attitude to tourism, investment and other possibilities.

    Don’t hold your breath with the current batch of elected parasites.

  11. skinnin mah teet

    Reality check People Reality check!!!!!!!!!!!!

    If you got a goldmine why you keep talking crap about digging for coal.

    Barbados in deep manure ,because of circumstances . Not shite about production and exporting and the like.

    What we make, people take always,I talking about rum and the like and “the little man ” cant make NUFFIN any body wants cos its EXSPENSIVE and only produced with a rip off mentality. Learned from tha actions of those who “RUN” the country. and bled white by excessive taxes everything he needs milked dry before it gets to him.Not a dogs chance to produce a damned thing competitative .only that can be foisted on his brothers at exhorbitant prices as they have no choice.

    Look at pathetic Tourist trap(joke ent trap nobody yet)set up right outside the port , I shamed,every time I does pass.

    Makes us look like a bunch of hicks , no class and no education.Like a stickle brick creation of an idiot that ent ever been anyplace and has no idea what they want. Destroyed and then resurected .Not a blind bit of difference except to somebody connected bank account.

    I does never see a soul in de place. Village ,it more a ghost town.

    Must be every damn tourist ever come to this rock see it an laff.

    Look athe Independance square. Looks like an open air public lavatory in coloured glass bricks.

    What de hell ,tourists does think of us

    Ignorant Locals.

    Dont nobody who ever had a thing to do with passing and paying for this eyesore rubbish ,ever go away to maybe Margarita or Spain or someplace where most peoples go.Dont they see and learn Nuffin. We have a gold mine called BARBADOS and these Idiots fill it with Crap. We going down the Pan ,cos we run by people who could NOT run a public toilet.

    Look at de careenage, crying out for some shady trees,some peaceful shady cafe’s and seats in the open air.

    Where people,can sit and spend (time and money) and absorb the tranquility and see the beauty and have an imprint of a country with some Class. Not roast their butts on concrete slabs ,lick down by de heat and surrounded by coloured bricks.

    The circumstances I referred to above are that de whole world in trouble and we gettin licks on de back of this.

    All de gold dug out of our goldmine Barbados , long time in some “Big up” bank account .No “rainy day” money no place..

    WE destitute,on money and people who know what de hell to do.

    You better hang onto your hats people cos winter is here.
    This year to come will see people in de streets and crying MURDER.
    In the Land the Blind the One eyed man is King.
    And there is none so blind as those who will not see!
    All de clap trap and runnin off de mout not ,anygood now.This situation will only be saved by commonsense and lack of personal greed.
    So where we gine find that in BAHBADUS??

  12. watcher

    The Barbados dollar is overvalued, plain and simple. Look around at the value of our neighbours currencies. The problem in Barbados is complicated by the government having spending deficits which leads to foreign exchange leaks. 11% unemployment which is likley about 22% of people not working for the Government, with inflation of about 10% should be sounding the alarm bells. When the country is going to rely on Four Seasons and Merricks for foreign exchange inputs you have to conclude there is a certain amount of desperation going on. Let the dollar float and we will all be better off in the long run becasue to survive we will have to work and develop tourism. We have been getting our butt kicked by those countries who have figured this out.

  13. Am still trying to figure out why people continually talk about we feeding the tourist, it is an asinine comment, who feeds u wen u travel to the states, canada and england, if they want to eat Like they still abroad they should walk with their own food. Far as I know they come down to west indies to eat local food and not the crap they eat on a daily basis out here. So must B’dos pay for them to visit and feed them foreign food too, what is wrong with this picture. Wat is being taught in the schools there ane for Gods sake where have all the common sense gone on the island.

  14. The Watcher!

    This could be a long discourse of a brief one. I’ll star by saying this: ” The Central Bank Governor is no fan of mine. Neither is he a foe!” I will agree with him on his response to that blasted witch Christine Lagarde ( cud care less if I mis-spell her name) Y is it that Europe is being handled so carefully with these millions of chances to get “right” but we should devalue? So white folks can come here to buy it up and own it? Think “natives” arr as willing to sit an l tet you pale skins do as you please over and over?
    Bunjee Garlin said it plainly some time ago in a soca track. ” Ah tired ah de same tine, ovah and ovah!”
    Fix the country by identifying novel ways of revenue generation that eliminates the status-quo
    Take us down devaluation road, and you will know!

  15. Mark

    @ Watcher

    Do us a favour and leave the racism at the door.

  16. Harry callihan

    wonder why?
    taken from TripAdvisor

    “Paynes Bay- a pain if you are a cruiseshipper!”
    1 of 5 stars Reviewed August 11, 2009
    3
    people found this review helpful

    While I agree with the previous writer, Bacarra, in some things, I don’t think enough was said to highlight the problems for Cruise ship goers who arrive at paynes bay because they get a taxi from the ship and say to the taxi man, “bring us to a nice beach”! Apart from the locals selling dodgy chairs, there are NO FACILITIES on this beach! The Monkey Bar that was mentioned last post CLOSED last year.
    Was this review helpful? Yes
    Problem with this review?
    Ask lovetheshoes about Paynes Bay Beach
    This review is the subjective opinion of a TripAdvisor member and not of TripAdvisor LLC.
    Bacarra_no1
    Barbados/UK
    1 review
    17 helpful votes 17 helpful votes
    “Paynes Bay is simply wonderful….BUT !!!”
    2 of 5 stars Reviewed February 24, 2009
    17
    people found this review helpful

    Before I write this review I feel its only fair to explain a bit about me.

    We have visited Barbados for over 15 years and own a holiday let on the Beach at Paynes Bay, you will find us at Paynes Bay 4-6 times a year we sometime stay for up to 6 months and for the record Paynes Bay is our favorite bay on the West Coast and Bottom Bay is another favorite – more about that later. We our in our late 30’s with 2 teenage sons.

    If your renting, visiting for the day or holidaying at Paynes Bay make sure you read this review first😉

    Paynes Bay is simply beautiful our heaven here on Earth (we love it) your can swim with the turtles in just a few strokes, and if your feeling hungry try the Blue Monket restaurant – it’s devine😉 The water is really calm, blue and simply wonderful and yes, the sad is very soft😉

    BUT……half way up the Bay to the left of Dolphin Bay Villa (if u face the sea) the local “Beach Bums” or “R***holes” (locals will know what I mean) and near St James Apartments ls where up to 12/16 colorful characters live…. they sleep, smoke drugs/crack cocaine, drink- large qualities of Rum, argue (very rarely fight)
    “IT ‘S HOME” to these guys.

    Now, not a bad butch of guys if like me you know them, however, they can take adavantage of the holiday makers from time to time. .

    DO NOT……

    1) Do NOT buy any drugs from these guys, its illegal here in Barbados and will land you in prison if caught (red stripes do walk up and down the beach regularly) also, do you really know what your buying/taking it could be anythink….so be careful please.

    2) A couple among the group will try various crafty ways to distract you -never happened to us, nevertheless, it does happen…luckily these paticular guys are not there daily- just be careful.

    a) DO NOT….leave your Windows/Doors open even if you sit on the beach outside your accommodation- lock them Please.

    b) DO NOT…..be easily distracted even for 3 secs – it takes moments to take a priced camera and the like.

    “Let the Fighting Begin”

    Now, they can get very loud on occasions (2-3 times a day) however, it’s very rare to see them really fall out and fight -usually, when another bottle of Rum arrives they settle back down to drinking, but, it can get a little frightening to watch especially if you have young children or your not ” street wise” so be aware where they congregate and sit further up the Bay (the bay is large). See photos attached😉

    Sunbeds etc……

    Now, apart from the Drinking and Drugs they supply “Sun Beds” sold at a very reasonble price so don’t worry about purchasing at all.

    Boat rides…..

    You can swim out to see the turtles, however, if you do fancy a trip up the coast don’t be afraid – one of the guys offers “inexpensive” boat trip, all safe and very pleasurable, but, insurance if something goes wrong !!! Maybe not😉 So again be careful guys……. he’s a very confident sailer – also a fisherman (sells his fish to aid his drink/drug habit)

  17. Harry callihan

    need more explanation?
    taken from TripAdvisor.

    joe a
    Duncan, Canada
    1 review
    “TOURIST TRAP”
    1 of 5 stars Reviewed October 28, 2012 NEW

    we arrived on the 17 on the princess we really had no plans just walk outside and see what comes up.me and my wife.
    well as soon as we exited the gate there were taxi men suggesting island tours and beaches.
    one of them told us about paynes bay and we said OK lets go.
    after a about a half hour drive we were dropped at a little alley leading to a beach.
    as we walked down we were already being asked for chairs and umbrellas which the price was not bad so we got one.
    as we shed our clothes to expose our bathing suits.immediately a comment was made about my wife.fresh meat or something like that.i just let it go as my wife is very pretty.
    we went into the lovely water whee we were attacked by jet ski men talking loud and rough
    quarreling amounts each other about who would get us to go.
    we declined and nasty comments followed.one said he would take my wife for free, laughing.
    now i am 6 foot 7 and 245 lbs and a martial arts expert.
    i certainly did not want to start a fight so i took that again.just barely managing to hold back my self.i must admit i did not expect such nasty behavior on a island used to tourist.
    finally after the glass bottom boat asked us if we wanted to see the turtles and we said no thanks we went to lie in our chairs and i went to get us some drinks from a little wooden bar
    just cokes as we don’t drink.5 dollars bds for a coke .wow.
    as i returned to my wife a local man was trying to sell her a message said his name was Dr love
    we said no thanks as where his hands were before would be not known and i don’t really respect strangers wanting to rub down my wife thanks.we sat and chatted at he beauty of the beach.then some more locals tried to sell us jewelery ,he made a point of sitting on my wife’s chair within her personal space.she looked at me not happy.
    so i told the man we did not need anything right now but thanks.
    he also made a comment about my wife.something like to his friends shouting man i would love to hit that.
    that was the last straw form me and my wife.
    we decided to leave so we walked back down this little alley where by some locals we were questioned why we leaving.i said i was looking to go some where else.they touched me and tried to guide me back to the beach.
    i refused and words and slang was used .i asked for a taxi and one was there happily.
    we returned to the ship disgusted at the nasty ways of the locals.we went back to our room balcony and suntanned feeling relieved to be away from such bad vibes i would call it.
    now i could have beat all those guys with one hand but i just wanted to get out of there with no trouble.i will never return there again,as i do not want to end up hurting anyone.the islands before had none of this.very good to know.
    were leaving

  18. The watcher. While am no fan of the IMF one has to be practical, give any of these two parties millions to bale out and most of it will be bailed into their bank accounts with little regard for their own skin color. I see two choices rigt now both bitter, but one short term the other indefinite. Sit and continue the tunnel vision of centries long dependency of tourism or develop new areas of generating income, bajans boast of the high standard of literacy, add a heavy dose of common sense and force the lying polititians to allow the large amount of people with ideas of exporting to generate foreign exchange pursue them without these ideas being stolen by the same funding agencies and banking employees, cut the delays and deterrants put in place to stop businessminded people from developing while allowing the arrogant monopolies on the island to continue to make millions of the locals backs. The population in b’dos is not so huge that it cannot be done. Hope worrell does not end uo cap in hand begging IMF seeing he is not the one who will ultimately suffer.

  19. Sith

    @the watcher

    Which countries in Europe have a currency that is pegged to the US$ that include foreign exchange controls. The Euro trades freely on international money markets. The Barbados dollar has no trading market. The problem for Barbados is that it needs US$ or other free trading currencies to pay for its imports. Those imports include virtually everything used and consumed on the island from cars to toilets. So where are the US$ going to come from to pay the import bill if tourism goes away? You can’t pay for imports in Barbados dollars because nobody wants them. So how can Barbados get more US$ to pay its bills. It has to become more competitive in the tourism market. Another alternative would be to let the Barbados dollar float and be traded freely on the financial markets. On its present path of deficit spending and declining tourism Barbados is going to run out of foreign exchange. With no money to pay imports life will get harder and inflation greater.

  20. Beefcake

    Maybe it is time to retire the Barbados dollar and adopt the US dollar? Think of all the advantages and convenience. No more exchange controls, no more currency hoarding, no more variance on the buy/sell rates. It will means loss of revenue for Central Bank and the commercial banks, and it will have an emotional impact on people who believe in sovereignty needing to have your own currency. A deep topic that a few lines don’t give justice to.

  21. Sith

    @beefcake

    You could be right on time to use the us$. The initial exchange of Barbados dollars would certainly have to be at a much lower rate than 2 to 1. The T & T dollar is trading at about 6 to 1. That makes the Barbados dollar at its fixed rate worth some 300 percent more than the T & T dollar. There are no fundamentals in place to support this large overvaluation. If the course we are on does not take a drastic change the economic problems are going to get worse

  22. skinnin mah teet

    Man!! You ent real!!
    All of this talk about common sense and sensible things to do.
    You a STUPE?
    You gonna argue with Rabid dogs.
    We in a PRISON made by dem who have the control in the hands,we is just like stocks to dem folk.They keep us to produce wealth that make dem richer and life better,but not for us.
    When you goin to wise up man and stop this “erudite”Shite and realise you a sheep or a goat.You see the farmer caring about he’s stocks beyond keeping dem alive and clean so as to produce the most return.
    You ent shite but a producing unit.
    You free to say what you like ,as long as what you say dont mean nuffin .
    Black man ,white man.What difference.
    If you gettin screwed ,you gettin screwed.Don matter what colour de doggie.

  23. Skinning me teet- Only if u allow them to continue. And we really need to get rid of the notion that we cannot survive if the Island gets another main money earner and uses tourism only as a sideline, that is hardheaded thinking and wat the leeches in charge wants u to think so they can continue lining their pockets without thinking too hard . The U.S has a multi-trillion dollar tourist industry but know they will starve to death if they depend on it soley for survival. :ow many americans do u thing will be coming to bim this tourist season.

  24. skinnin mah teet

    OK Genius.
    Name one of dem tings we can do?
    Like if we can fly to de moon or been born wid half a brain.
    U jus don get a damn ting I sayin.
    U gone! U dead.!
    U been so busy and run off de mout ,but still on U boxi.
    Dem is “up an attit”
    While U is “surmising”
    U quote USA dis or USA dat,when u know de USA is jus a bag of Shite.
    Worse Hippocrites ,any place.
    What we does need we ent got.!
    “If the Island gets another main earner”
    FROM WHERE??FROM WHAT?? Maybe a magic wand?Instant salvation BY MAJIC.
    HMmm I see u is a master of nailin jelly to de roof.
    Our lil rock is jus dat!”A lil rock”
    God ent a bajun.So wise up.
    “De king ent got nah threads”
    We bin,jus chillin ,and now we is “jus payin” for de pleasure!
    We screwed and is up de crik an ent got no paddle!
    Take a look at we is offered as “Saviours” dem scrabling around ,clueless and helpless.Who dem is anyway??Lawyers? Politicians?
    LAWD SAVE ME?? HE need to.
    I lookin for help from dem dat done put us down in de first place!!
    We bin ridin de wave and we done “WIPE OUT”
    Man,open yah eyes and u brain, we is sunk,and soon we is in Purgatory.
    BAHBADUHS ent de world,jus a speck on de map,what I got to say, you got to say don mean shite.
    Dey done brek up de life boat.

  25. The Watcher!

    @ Mark.
    Sorry buddy. Racism is alive and well. Just because it’s not manifested in the same manner in Barbados that it was manifested in Soweto doesn’t mean that it’s not flourishing. I don’t wait to “see” things in print or on the TV before I accept them as fact. I can extrapolate from the happenings around me, the comments key individuals make, behaviours of the classes, and other sources of information to reach the conclusion that I have. If you don’t like, or accept it, that’s your business. If your world is different from mine, then that’s fine too. But don’t you dare tell me to leave out a problem whose roots give rise to many other issues we are facing. Don’t you dare!

    @ well well.
    I can agree with you there 110%. Ideas will be stolen and re-emerge in some foreign market without the originators being given as much as a crumb. The banks and other landing agencies will exploit the ideas of those who have no backing and possibly no way to seek retribution when gravely wronged. The political establishment will line their pockets, you name it, and you’ve said it. I keep saying that for any meaningful change to occur here, it has got to be a grassroots effort that starts in a community (i.e. a group of like-minded unselfish people) who want to see something done here to the benefit or ALL! Not just the status-quo or “Special Interest Groups” who bare that mode of behaviour without the specific label. My hypothesis is that those communities will function like small businesses in a depressed economy, circulating and pursuing ideas which will drive innovation and foster a competitive spirit. The best, or better ideas will rise giving birth to new industries and opportunities. I probably sound like a positivist here, but the same old ideas re-packaged and presented in a new form, just don’t amount to new ideas. So I’m with you on this, just not in a position to enact meaningful change in a measurable time.

    @ sith
    I am no economist neither do I pretend to understand all of the nuances of this type of work. I know we’re pegged to the US $ for whatever reason. I know we need foreign exchange to be able to trade with the world, and for now, the US$ is that standard by which we seem to trade with the world.
    I also KNOW that Tourism has FAILED! We PAY people to come here and they don’t spend here so we don’t recoup our investment. We’ve got lots of PARASITES masquerading as hotels here in Barbados sucking down taxpayer dollars, lining the pockets of the owners with OUR monies, providing baseline employment at best to our population, and providing no real measurable value! Mark tells me to leave the racism at the door, but when I examine the top 25 players in the tourism market in this country, they don’t look like me. Yet they get millions of dollars generated on the back of my labor and those like me to live “high on the hog!” I don’t know about you, but other than Laundromats, I can’t think of a business which takes in less cash than it puts out and can be considered a success in any language. So a Forensic Audit conducted simultaneously by a local and an international company is needed here to determine what is really happening to this Tourism industry with respect to how monies allotted to them are spent.
    I fear that supposedly rational individuals who continue to seek the re-resurrection of this product have deep vested interests in it. If you want it, you exhume it and keep it. Barbadians are being shielded from the truth regarding this failure. Barbadians are being lied to regarding this failure. Barbadians are at fault for not demanding value from this failure. Its time that Barbadians fine a foreign exchange earner that breaks the monotony and monopoly of status-quo industries, starts to level the playing field, gets the population involved and working, and benefits the country in a holistic manner. Not just a few people who think that their entitlement “to have” and “to be” must be facilitated by the rest of us!
    My ideas won’t ever be popular here because they affect to gravely the way in which we’ve done things for centuries. Our Colonial masters are truly just that, Masters, for they have passed on or away, but their impact and effect on us has stood the test of time such that we cannot break away from the mental shackles which they have placed us in. The ones among us who dare to be different and call the others away from this restrictive thinking will be ridiculed and possibly if it is an available option, persecuted for our call to rally the masses to the benefit of us all.
    We represent that element in society which is dangerous to the livelihood of those who are entitled.
    Barbados will go NOWHERE with this sort of thinking at its helm. It will cease to progress and grown with people who accept and revere the status-quo to their own detriment.
    If we TRULY wish to have success, we have to embrace CHANGE and dispense of those who seek to keep us in bondage!

  26. @well well and @sith I could not have said it better but skin me teeth can’t see the reality. We can’t now sit and say its over, time to fight back, unfortunately we are our biggest enemies for allowing the minority 3-5 percent and the majority of brainwashed to enable the continued dismantaling of the spirit of free enterprise for the majority. Now we are stuck with the selfish, smallmindedness of those who wants to keep the caribbean as a whole and b’dos in particular dependent on tourism indefinitely and imports forever. We have to find the unselfish few who could break that bondage of wait for tourism and import food, can’t find it with the present lot of no vision, tunnel visioned crowd. Singapore had to find a way and they did it successfully. We have bajans abroad willing to help, but they will have to go through the present crowd who are inflicting all the damage. This committee will have to be set up outside of bim. Even the agencies from euro and northamerica are aware of wat these two parties, the funding agencies and bank employees do to businessminded people. It has been exposed. Something will give.

  27. skinnin mah teet

    Well Well ,I love u man.
    But u jus ent hearin what I sayin.
    I ent say we dont fight.I jus sayin assess u position afore you does move or advocate moves .
    Assess it as body that does live on this rock and subject to the actions of dem who is “better” than we.
    Cos that de way dey heads does work.
    Come at it from a position of reality.
    U ent nothin bout heah, you ,me and all.
    We jus de hired help, and hired help dont get choices dem gets ORDERS. Ifn dey is stupid nuff to”talkback” lashes man , bare licks from everyplace.
    If you got a book on brainsurgery U ent a brain surgeon,same as de Law cos there are statutes don mean dat we have Law.
    DPP a good example,half caste Guyana man,puffed and pompous but dangerous .Can take the “Law”, bend it, Brek it, wipe he boxi on it.Do any stupidity he does feel like and as yet ent a body say one word.
    Dat Law is WE Law , and said to be justice for we too.But it ent.
    Just fancy words,twisted bout,by big up Lawyers, till de like of we ent understand shite.
    I ent wann get on and on,just pointed u head to some realistic thinking.
    if you ever bin unfortunate enough,to mash de foot on some big up in dis area of DEmocracy called Barbados,you gets full lashes and den some.
    You in shite up to an over u head.
    U ent got no rights and de Law is jus a word.
    De Nation News suddenly deaf n dumb and you ent welecome no place.(Why U feel we writing here on de “Underground”)
    Ifn U intend to fight back,what position you in tah defen u self, cos ifn u intend to jus wave the bible and shout JEHOVA.I does feel u ent gonna last 5 minutes before the dogs bin set on u and u is Barbados Steak tartare.
    U also ent understaning de way of de world.
    No committe an No board and NO NUFFIN gonna be set up anyplace ,cos Barbados is a Sovereign Juristiction and as such a DAMN GOOD EXCUSE for all a dem Politicians Worlwide to do absolutely NUFFIN.Cos dem gine say,” we cannot interfere with the LAW of Barbados”
    In other words .Get lost.( Barbados??? where the HELL is Barbados)
    As for starting some thing that will ,Restart the economy,well yes ifn U got maybe 100years to be alive still.
    Unless U are JESUS miracles ent something U got to use.
    If U talkin agriculture ,dont waste your breath,we got very little anybody wants and ifn dey did ,NOT at the Barbados cost.
    Because EVEYTHING we have or USE has to have a COST ADDED for de pocket of a body dat run de place,we are totally uncompetative.
    U wanna look at de Sugar “Industry”, I use the word “Industry” in a jocular fashion.
    I does read we should ignore the fact it runs at a loss cos it brings much needed Hard Currency.
    HMMMm?? Somebody mad bout heah???
    WE spend millions on keeping “Sugar ” running,that in de end we subside every bag that we export,we ship IN every damn ting dey does need,tractors fertiliser, ploughs harrow , spares oil , deisel name what you like ..
    Hmmmm ??Sensible ;spend out foreign exchange to bring back half we spent.
    BUT we does have a lot of pleasure in understanding ,some very fat cats getting a lot of cream.
    Plus de politicians veiw it as “cos its moving its working”.Understand it ??U crazy!!
    .Dem never ,dey ent paid to understand just go to parliament and run de mout.Faithfully reported by de Nation,Yes de same NATION dat say nuffin when LAW is twist and distort.
    You gettin your head round de fact dis rock is a privet bank.yet?

    Facts is Barbados, done raped and broken, robbed blind and squandered,ever damn ting used up and squeezed out.
    We only got what the LORD did give us,SAND SEA and SUNSHINE.
    U found a way to package that and send it to some internet customers ?Good let get going.
    If U was lucky enought tah be a fly on de wall in Goverment now U gonna see a lot of hangers on and yard fowls runnin around like dey headless. Dem Use less and clueless.
    Dem only know squandermania an teefin while de pot was full. Now dem just “Pissed at the last lot” as dem inherit an empty pot.
    An even de spoon done lick and tro back in de pot.
    OK I does give dem credit and dem get the pot fill with a 40 odd million $ roundabout .(40 MILLION for a ring of grass and some rocks and a few lights?????Hmmm.Dat jus is unbeleivable)
    U got tah get real my man.
    Yes resist, yes Fight back..
    But be specific.I lookin for some one like U.
    Lead on I right BEHIND U,
    Peace and love brother.
    PS.
    when tings to de bone,I glad to share wid U.

  28. victor

    Devaluation could work. Stop selling the tiny an precious commodity of land to development corporations. Get a grip on reality. We can’t expect to eat imported apples every day, drink coffee imported from Italy, it is madness. People have got used to buying Hellmans mayo, cars, phones, wide screens etc. everyone thinks they are living in the first world, they are not. Watch TV think you are just the same as the people in 90210! No, you are not. Sober down and read the pages of the Nation or Advocate and realise just how different this society is to L.A., London or New York. The local newspapers are full of school sports days, endless awards given to local people, Court reports on somebody setting fire to somebody garden etc., stealing crops or muggings at Boscobel. That’s the reality of small island life.

    Should our newspapers tell us more about what is going on in the wider world? After all, an economy based on tourism ought to be up there, if pretending to be a part of the first world. No, of course not. Most Bajans couldn’t care less and why should they? If there was a need for more information, the newspapers, subsided by advertising, would provide it but most Bajans are very ignorant about what is driving the rest of the world, their only interest in it is through soap operas on TV., the artificial world in which they would love to live. How many Bajans sit down and ponder the EU situation, wonder about the rights and wrongs of the South American corn trade? Who, amongst your friends has a clue about what is happening in New Guinea where native populations are being robbed of their forests by neighbouring Malaysia?

    Answer: the majority of Bajans don’t have a clue and do not give a flying f about these global issues. The wake up call is that unless every Bajan becomes like a resident of Switzerland where every inhabitant is constantly aware of the whole world, stop trying to pretend you are part of the global elite, shuck off the greedy developers and pay some attention to politics for goodness sake, get out of your little local ruts, grow some proper politicians and take part! Stop the endless moaning that one party is as bad as the other and produce some involved politics.

  29. Some useful information I just came across online, greece we know had been totally dependent on tourism for too long now they have paid the price. Some young and may I add brilliant professionals have given up on the imploded paper system and have now formed theor own towns that are touting the age old barter systemn along with small business. They have successfully formed about 4 of these communities, I have given the key words, now u can google. Time to start copying the positives for once and make a difference, teach the greedy polititians that live does not begin nor will it end with them.

  30. Skin me teet – am a sister, mother, aunt, grandmother, hope u will still follow me.

  31. woolie woolie@sunbeach.net

    Ok now I nuetered by Well Well,I guess I gotta sit peaceful and fiddle wid mah panti.
    I hear you Victor.
    I gone.

  32. sith

    @well welll

    A great amount of the the problems in Greece relate to how much money is (was) being spent by the government in support of social programs. For example they have 2 police forces. One that works and one that is retired and still gets paid even though many of them are well under 55 years of age.

    So in the new bartering system , who is going ot pay for the infastructure of roads, sewers, water, hospitals etc?. I suspect the problem in Greece is similiar to the problem in Barbados, the Government has been spending more money than they take in. So if you are in Gernmany and can retire at 63, how do you feel about having your government make a contriubtion to the Greeks so that they can retire at 55. The only way the problem can be fixed in Greece or Barbados is to stop deficit spending. and build up reserves. Barbados economic condition is further complicated by having a currency that can’t be traded on a open market. If it were freely traded we would see what it is really worth and it is only then we will see if a value of 2 to 1 to the US$ is over or under stated.

    Interesting times ahead.

  33. Mark

    @ Watcher

    “Sorry buddy. Racism is alive and well.”

    Didn’t say it wasn’t. But either you’re part of the solution or part of the problem. And referring to “pale skins” vs “natives” – whatever you incorrectly think than means, particularly in the context of Barbados – only contributes to the latter.

    And I’ll call you or anyone else on racism any time I see it. So like I said, leave yours at the door. It’s doesn’t contribute anything to this discussion.

  34. Mark

    @Sith

    “The only way the problem can be fixed in Greece or Barbados is to stop deficit spending. and build up reserves.”

    I’d generally agree. But you have to be careful of a declining spiral, where less Government spending leads to less investment in infrastructure, which in turn results in less tourism, lower tax income, and the need for more Government spending cuts. A workable solution needs to address both economic development and spending. Under that scenario, as with any business, it might make sense for certain deficit spending if it has a reasonable chance of a longer term payoff. The challenge right now is that a lot of it doesn’t satisfy that condition and therefore is just wasteful.

  35. kurt

    we to dam small not to be self-sufficent. Its these intellectual who are sinking us.

  36. A lot of wasting, a lot of stealing, a lot of black bajans not considering black americans, canadians, british or anyone of their own skintone tourists and show total disrespect resulting in these tourist not returning and spreading the word. So wat is going to happen if something is not done. Am saying these things from a great distance, it does not impact me b ut I have experienced them full blast in bim. I guess the locals will have to do like our great and grandparents and suck some serious salt, the difference being our foreparents weren’t lazy, and did not think days of our lives was the limit to their existence. Right now the big countries know they have look after their population and have very little patience or resources to waste on small island mentality filled with pettiness and smallmindedness, hope it all works out.

  37. The germans will bale out the greeks, the euro was their cute idea to begin with. In saying that these people know all about teamwork and seeing the big picture along with the very gifted skill of thinking and planning 1000 years ahead, something positive for us to copy. I won’t worry about them, they will get it together. They employ their youngest and brightest minds to come with up solutions. Unlike us who think that unless u related or friendly with someone in gov or have money u should not be allowed to spread ur wings.

  38. The Watcher!

    @ Mark.
    Let me start by saying that you are 100% right. If you aren’t part of the solution you are part of the problem! Couldn’t have said it more accurately myself. Let me now say this. I didn’t start the problem and I don’t believe that as long as its allowed to exist, it should turn a blind eye to it in the misguided hope that it goes away quietly. Take one of the most recent examples of the N.J lady who with her two children went out into the wrath of hurricane Sandy in search of shelter as the devastation bore down on her. She knocked on a door in desperation and was turned away most likely because of the way she looked. The outcome is known. And yes, people come out and laid waste to the person seen as responsible for the demise of that family. Truth be told, he didn’t have to let them in and was in his rights(legally at least) not to. But he’s fiercely apologetic in the wake of public ridicule. My opinion is he did what he did because its part of how and who he is at heart. What he saw did not matter to him because it didn’t fit in with his with criteria for assistance. Go back into the historical accounts of the likes of Amadou Diallo, turning his key to enter into his foyer to go home and is cut down in a hail of police bullets. I can go on and on with documented injustice after documented injustice. So what am I supposed to think and say? Is that’s what I should leave at the door?
    I will not accept this passive approach to a problem which isn’t going to go away by leaving it alone or by trying my best to ignore it. I can draw tons of examples, both active and passive, overt and covert which shows that the way in which white folks think of us and treat us, is racists and leads to many of the issues which we are now facing. So no, I “won’t leave it at the door because it doesn’t contribute to the discussion”. I will call it out wherever and whenever it is forcefully of subtly injected into an issue or it itself at the root of an issue.
    If you should dare to peel away the many layers of distractions that are helping to cover the root cause of these problems you will arrive at the Racism and Greed roots. On arrival at these core “values” and you will start to expose the behavior and belief system of one race of people and their inherent thinking that they are ENTITLED to have it all and to hell with anyone and everyone else. So it MUST be addressed Mark, it just must.
    If in my discourse you are offended because you believe that there is a better way, very well. Propose it. We’re all ears. But in our race to be bottom I will tell you this. Fire is best and most effectively fought with Fire when the prospect of winning the battle with water has been exhausted.
    It is what it is!

  39. The Watcher!

    @ all
    What does the previous discourse have to do with the IMF issue anyway? Well, a deep look into the IMF and it’s policies toward Small Island Developing States (SIDS) and other areas which aren’t as affluent or that have natural resources which can be better “managed” by non-nationals is one of devaluation and destruction. And It has always been. I don’t care how you disguise or veil it, that’s what they set out to do and do well. I am yet to see an economy emerge from under IMF control or influence and it it does do as a successful and valuable economy to the people who are the core of the workforce of that economy. So will someone please show me irrefutable evidence of an economy which after the IMF is done with it is successful, flourishing and benefits significantly and measurably at its deepest levels, the workforce of that economy. In short, the messes are better off for the IMF being there.
    I am certain if you can find one to meet the first two criteria, it cant meet the third.
    Peel away all the fluff and feathers being proliferated and pontificated in this argument over devaluation, and where we, the Barbadian workforce should go economically, and you will find the IMF is no friend of anyone except those who’ve set it up to work exclusively as their tool of world destruction and domination.
    This is a race to be bottom, are we really going to be caught up by the suction created by those feverishly rowing backward!

  40. As one thinking person put it b’dos is way too small not to be self sufficient. What would happen if it was large enough to hold one milliion? There is barely 300,000. Wat would happen if it had the capacity to hold 1/4 billion? Someone said the polititians would steal more, am puzzled.

  41. yatiniteasy

    I understand that in 2011 the Barbados Central Bank changed the Forex spending allowance for local credit cards, so that a Platinum card can get US$20000 per year, a gold card US$10000, and a regular card $3750…if this is true, is this not a form of discrimination…ie, one citizen being able to spend more foreign exchange than another, simply because he/she has a card of a different colour?

  42. Due Diligence

    “To most of us in the Caribbean, it does not seem rational to impoverish yourself to grow your economy. To us, it is obvious that is what devaluation implies. The point is not so obvious to Americans and Europeans.”

    … Dr. DeLisle Worrell, Governor of the Central Bank of Barbados

    So IMF, Americans, Europeans and everybody else have it wrong.

    Who needs them, Barbados has the “Butch” solution.

    “What good will devaluation do if we don’t address the lack of productivity, the degrading tourism environment and the prevalence of corruption in public service?”

    One year later, has “lack of productivity, the degrading tourism environment and the prevalence of corruption in public service” been addressed?

  43. Alternative

    I believe there is an alternative to devaluation, which for an import reliable economy as Barbados would have severe consequences. If government sits down with the tourism partners and they find a way of lowering the operation costs of the hotels and operators, mainly by lowering the tax burden, then these can lower their rates by the same percentage as a devaluation would.do. Also, how will a devaluation lower the hotel and operator rates if their (importation) costs go up?

  44. Kevin

    As described in the tripadvisor above the coke will now be sold at $10 bds instead of $5. No difference for the visitor – huge difference for the locals. Float the currency.

  45. Anonymous

    Since we import 80 % of what we consume, a devaluation would have a devastating effect on our spending power. If you think supermarket bills are high now, wait till a devaluation hits.Devaluations only benefit countries that have the raw materials and capacity to export…otherwise, it means disaster.
    With a 30 % devaluation(as an example), a new toyota corolla would sell for about BDOS$ 120,000.

  46. Due Diligence

    ALTERNATIVE

    You say

    “If government sits down with the tourism partners and they find a way of lowering the operation costs of the hotels and operators, mainly by lowering the tax burden, then these can lower their rates by the same percentage as a devaluation would.do.”

    Suggest that government sit down with itself and find a way of lowering government’s operating cost; so it might be able lower the tax burden on the hotels and operators.

  47. When government spends beyond it’s means, who do you think actually pays ? When the housewife does it, the result is clear and relatively quick. A problem or weakness with democracy, you get up and say “money for de poor people if you elect me” I get up and say “we cant afford to give away willy nilly, we got to cut somewhere, you then say “see dat fella don’t care bout poor people” so are who you going to vote for.
    It used to be thought that education of the people would make them wiser in these regards, you see any headway being made. The people who do shit are not held to account. What you going to do then ?

  48. Carson C. Cadogan

    “NEW YORK, United States (CMC) – The US-based Moody’s Investor services is calling for a devaluation of the Eastern Caribbean (EC) dollar in a bid to assist the region address the debt crisis.

    In addition, Moody’s Investor is also suggesting that the sub-regional Organisation of Eastern Caribbean States (OECS) adopt the US dollar as its official currency.

    Governor of the Esatern Caribbean Central bank (ECCB), Sir Dwight Venner said last month that maintaining the stability of the EC dollar and the Eastern Caribbean Currency Union (ECCU) financial system has been the Bank’s major achievement over the 30 years of its existence.

    The EC Dollar has been pegged to the US dollar at a rate of EC$2.70 to one US dollar since 1976 and as the global crisis continues to affect the economic performance of the ECCU member countries, the ECCB, in collaboration with its member governments and with the support of regional and international agencies, has been implementing measures to strengthen the ECCU financial system.

    The ECCB established in 1983 serves as as the monetary authority for Anguilla, Antigua and Barbuda, Dominica, Grenada, Montserrat, St Kitts and Nevis, St Lucia, and St Vincent and the Grenadines.

    But in a report, Moody Investor asked what would be the best option for the region, noting that the Caribbean is indeed faced with a debt burden that is sporadically being serviced.

    The US-based financial group said in addition, productivity within the region has been under the microscope for some time.

    Moody’s said, “currency devaluation and the dissolution of the Eastern Caribbean Currency Union (ECCU), while unlikely, could enhance the region’s competitiveness.

    “We do not see policymakers voluntarily choosing these options because they would sacrifice price stability (Caribbean countries rely heavily on food and fuel imports) and risk political upheaval,” the report stated.

    It noted that “only a balance of payments crisis (similar to what happened in 1989 in Trinidad and Tobago, when it abandoned its currency peg and subsequently defaulted on its sovereign debt) could force policymakers to choose these options”.

    Moody has given a negative outlook on the future of regional debt.

    “Severe domestic adjustments through deficit reduction and structural reforms intended to stimulate growth, are the only options that remain. We see the defaults of Belize, Jamaica and Grenada over the past year as being part of a broader debt crisis in the Caribbean.

    “At the moment, we see a high probability that Belize and Jamaica will relapse into default. In addition, Grenada is currently restructuring its debt for the second time since 2004, which mirrors broader distress in the ECCU.”

    The Moody’s report noted that St Kitts & Nevis defaulted on its debt in 2011 and that Antigua & Barbuda restructured its debt in 2010.”