The Parliament of Saint Lucia has authorized a government guarantee for a substantial EC$121.5 million loan designated for the reconstruction of Berth No. 4 at Port Castries. This aging cargo facility, operational for approximately half a century, is entirely distinct from the separate cruise port redevelopment project being undertaken by Global Ports Holding (GPH).
Prime Minister Philip J. Pierre, who also serves as the Minister for Finance, explicitly clarified this distinction to legislators. He emphasized that the cargo berth rehabilitation is a sovereign infrastructure responsibility and is wholly unrelated to the GPH cruise port agreement, a point aimed at addressing public commentary and confusion.
The Saint Lucia Air and Sea Ports Authority (SLASPA) will be the borrowing entity for the project, with the full financial backing of the government. The loan terms stipulate a 15-year repayment schedule with a two-year grace period on principal repayments and an annual interest rate of 3.75%. The structured payments will amount to either EC$2,962,884.32 quarterly or EC$985,246.50 monthly over a total of 156 months.
Beyond the principal and interest, the loan agreement entails several additional costs: a lead arranger fee of EC$243,000, an annual agent fee of EC$24,300 payable to the Bank of Saint Lucia, and a sizable commitment fee of EC$607,500 due upon signing. The terms also include an amendment fee for material changes and a prepayment penalty of 2% if more than 10% of the loan is repaid within the initial three years.
The berth in question is a 150-meter-long, 15-meter-wide reinforced concrete wall structure constructed in the 1970s, which is now nearing the end of its intended design lifespan. It is a critical asset for the nation’s logistics, handling containerized cargo, break-bulk goods, and new and used vehicles. It also serves as the base for the mobile harbor crane essential for unloading container vessels.
This necessary upgrade underscores the government’s ongoing duty to maintain cargo operations, which remain outside the purview of the private GPH cruise terminal lease. The project is deemed essential for safeguarding Saint Lucia’s primary cargo gateway, ensuring the continued safety, efficiency, and reliability of the supply chains that fuel the nation’s economy.