Carib Scope

分类： business

  • Measures facilitating participation of Cubans abroad in the national economy

    Measures facilitating participation of Cubans abroad in the national economy

    In a landmark economic reform, Cuba has eliminated longstanding restrictions that previously limited domestic investment exclusively to permanent residents. The new provisions now empower Cubans residing abroad to invest directly in private enterprises and form partnerships with Cuban private economic actors under the Foreign Investment Law.

    Deputy Prime Minister and Minister of Foreign Trade and Foreign Investment, Oscar Pérez-Oliva Fraga, announced these transformative measures as part of Cuba’s comprehensive strategy to update its economic model. These changes reflect ongoing dialogues with the Cuban diaspora and demonstrate the government’s commitment to strengthening ties with global citizens who wish to contribute to national development.

    The reforms represent a significant decentralization effort aimed at increasing foreign capital participation and diversifying private sector involvement across economic sectors. The most notable change removes the permanent residency requirement that previously barred diaspora investment, while simultaneously opening banking sector opportunities and establishing new cooperation and investment funds.

    Under the new framework, expatriate Cubans can now establish partnerships with private companies through overseas-registered entities—a privilege previously reserved for state-owned enterprises. The financial sector reforms authorize diaspora participation in creating non-bank financial institutions and investment banks, subject to Central Bank approval, including opportunities in virtual asset services.

    To facilitate operations, diaspora investors will enjoy equal banking rights as domestic residents, including foreign currency account access. The government is also creating specialized funds to streamline cooperation efforts and maximize impact in priority areas.

    Food production receives particular emphasis, with the government encouraging agricultural investment at municipal levels. The Deputy Prime Minister cited successful Vietnamese rice production ventures as potential models for diaspora engagement through land usufruct arrangements.

    Despite these openings, officials acknowledge the persistent challenges posed by the US economic blockade, which restricts access to capital markets and financing. The humanitarian consequences include disrupted medical treatments, food production limitations, and widespread energy deficiencies affecting water access.

    The government is concurrently improving administrative mechanisms to ensure efficient processing of investment proposals, with enhanced business opportunity portfolios and reduced bureaucratic delays. These measures collectively represent Cuba’s strategic commitment to engaging its global diaspora in building a prosperous and sustainable economy grounded in social justice principles.

  • Infrastructure Development Loses to GOB’s Ballooning Payroll

    Infrastructure Development Loses to GOB’s Ballooning Payroll

    A pressing fiscal crisis is emerging in Belize as the nation’s budget faces severe structural imbalances. Economic experts are raising alarms that escalating government expenditures on wages, salaries, and pension benefits are systematically diverting crucial funding from essential infrastructure projects.

    Prominent economist Dr. Phillip Castillo has identified a dangerous trend where recurrent spending—primarily consisting of compensation for public officers—now dominates the national budget. This pattern creates a significant constraint on capital investments necessary for long-term development, including schools, healthcare facilities, and transportation networks.

    Current data reveals the alarming scale of this imbalance: approximately sixty percent of Belize’s budget, equivalent to forty-five cents of every collected dollar, is allocated to recurrent expenditures. Dr. Castillo characterizes this situation as fundamentally unsustainable, noting that successive administrations have recognized the problem yet failed to implement effective solutions.

    The economic challenge is further compounded by recent compensation increases for public officers, including a four percent salary adjustment scheduled for this year, building upon the four-and-a-half percent increase implemented in 2025.

    Dr. Castillo emphasizes that while public officers deserve fair compensation, the current trajectory requires urgent systemic reform. He advocates for a collaborative approach involving government, unions, and stakeholders to develop sustainable solutions, particularly through transitioning to a contributory pension system. The economist also recommends revitalizing dormant committees focused on revenue enhancement and cost-saving measures to expand the overall fiscal capacity without sacrificing essential public investments.

  • Magín Díaz: government acts to cushion Iran crisis impact

    Magín Díaz: government acts to cushion Iran crisis impact

    SANTO DOMINGO – Finance and Economy Minister Magín Díaz has unveiled a comprehensive governmental strategy designed to insulate the Dominican Republic’s economy from escalating global instability, primarily fueled by the Iran crisis and subsequent surges in international oil prices. The administration’s core objective centers on preserving macroeconomic stability as the fundamental defense against external economic pressures.

    Minister Díaz confirmed that authorities are implementing targeted measures to mitigate the domestic impact of increasing fuel costs and to ensure an uninterrupted supply of essential commodities. This proactive approach involves continuous inter-institutional coordination with key bodies, including the Ministry of Agriculture and the Central Bank, to uphold both economic and social equilibrium.

    A critical element of the nation’s defensive financial planning was the early securing of a substantial portion of its 2026 national budget financing. This forward-thinking maneuver has created vital fiscal flexibility, enabling the potential reallocation of resources to support vulnerable economic sectors should the need arise. Díaz further pointed to the country’s robust credit rating and ample liquidity within its financial system as pivotal assets. These strengths provide the government with access to international funding under favorable conditions, forming a crucial buffer.

    While acknowledging that higher oil prices inevitably pressure electricity generation and other areas, the Minister expressed confidence that the nation’s increasingly diversified energy matrix would significantly dampen the shock compared to previous economic crises. He contextualized the current challenge as the latest in a series of consecutive global shocks, following the COVID-19 pandemic, the Russia-Ukraine conflict, persistent trade tensions, and an environment of high worldwide interest rates.

    Addressing fiscal policy, Díaz recognized the longstanding constraint of a structural deficit, which hovers near 3% of GDP and has historically curtailed public investment. Emphasizing a forward path, he stressed the imperative to ramp up infrastructure expenditure to catalyze economic growth and foster private sector development. Concurrently, he advocated for enhancing efforts to combat tax evasion and amplify government revenue streams to support these ambitions.

  • Govt revises Estimates as global turmoil worsens

    Govt revises Estimates as global turmoil worsens

    Facing escalating global economic volatility and Middle Eastern conflicts, Barbados’s re-elected Mia Mottley administration has executed a substantial $500 million budgetary revision to address surging fuel and import expenses. Finance Minister Ryan Straughn presented this adjusted fiscal framework during his inaugural Budget address in Parliament on Monday, marking his first presentation as sole minister of finance.

    Minister Straughn, representing Christ Church East Central, detailed how the government recalibrated both revenue projections and expenditure allocations in response to rapidly evolving international conditions. He emphasized that the global landscape had ‘fundamentally changed’ since initial estimates were formulated, necessitating immediate policy adaptations.

    While warning of an impending fuel and energy crisis, Straughn called for coordinated preparedness across government institutions, private enterprises, and individual households. The economist-turned-minister acknowledged the increasing likelihood of a global economic recession but highlighted Barbados’s significant economic achievements under current leadership.

    The administration has achieved record-low unemployment at 6.1% and reduced debt-to-GDP from a peak of 178.9% in 2018 to the current 93.3%. Foreign reserves have surpassed $3 billion, with all major credit rating agencies upgrading Barbados’s economic outlook. Straughn credited ‘decisive action and discipline’ for stabilizing public finances after years of fiscal challenges.

    Notably, 2026 marks the first budget presentation outside an International Monetary Fund program, though the minister confirmed maintaining ongoing dialogue with the IMF. The government has successfully restructured both domestic and external debt, redirecting funds toward public services and infrastructure rather than debt servicing.

    Additionally, Barbados has achieved significant regulatory milestones by removal from all adverse listings by the Organisation for Economic Co-operation and Development (OECD), Financial Action Task Force (FATF), and European Union. The island now meets international standards for financial transparency and regulatory compliance, including adherence to the US Foreign Account Tax Compliance Act (FATCA) and FATF protocols against money laundering and terrorist financing.

  • Straughn: Government doing its best to cushion impact on Barbadians

    Straughn: Government doing its best to cushion impact on Barbadians

    Barbados Finance Minister Ryan Straughn has issued a stern warning to businesses against exploitative pricing practices while unveiling comprehensive economic safeguards during his parliamentary budget address. The government’s intervention comes as global shipping disruptions and volatile fuel markets threaten to drive unprecedented cost increases for imported goods throughout the Caribbean nation.

    Minister Straughn articulated grave concerns regarding the compounding effects of international oil price fluctuations and new emergency surcharges imposed by major shipping carriers. He revealed alarming projections that shipping container costs from China could quadruple from current levels of US$4,000 to as much as US$16,000 per container should oil prices reach US$150 per barrel.

    The minister detailed immediate countermeasures including a transformative fiscal policy that will cap freight values for tax calculation purposes effective April 1 through March 2027. Under this temporary mechanism, import duties and VAT will be calculated on capped values of US$3,000 for 20-foot containers and US$6,000 for 40-foot containers, rather than on actual inflated shipping costs.

    Straughn specifically called out bunker adjustment factors—floating fuel surcharges that have recently escalated from US$200 to US$700 for 20-foot containers and from US$400 to US$1,400 for 40-foot containers. These defensive measures by shipping giants including CMA CGM, Mediterranean Shipping Company, Hapag-Lloyd, and Maersk will shortly impact Barbados’ import economy.

    The government will additionally introduce transfer pricing legislation to regulate transactions between related companies within import supply chains, preventing artificial price inflation through intermediary structures. Enhanced monitoring systems will provide real-time surveillance of essential consumer goods pricing.

    While emphasizing government’s commitment to cushioning citizens from external economic shocks, Straughn urged private sector entities to revisit sourcing and pricing strategies, recalling their previous collaboration through the 2022 Social Compact. He maintained that price gouging would ultimately prove self-defeating for businesses while acknowledging consumers must understand the genuine global pressures affecting supply chains.

  • Bajans ‘to feel tax relief’ as gov’t moves to ease cost-of-living pressure

    Bajans ‘to feel tax relief’ as gov’t moves to ease cost-of-living pressure

    The Barbadian government has announced a significant fiscal intervention designed to alleviate economic pressure on households, with Finance Minister Ryan Straughn detailing a comprehensive package of tax reductions and credits. Effective from the 2025 and 2026 income years, the strategy targets low-to-middle-income earners and pensioners grappling with elevated living expenses.

    Central to the initiative is a one percentage point reduction in personal income tax rates for the 2026 fiscal period. Individuals earning between $25,000 and $75,000 will see their rate drop to 11.5%, while those above the $75,000 threshold will be taxed at 27.5%. Minister Straughn emphasized that these adjustments will collectively return approximately $26.1 million annually to working citizens, thereby boosting disposable income without compromising the nation’s progressive tax framework.

    Simultaneously, the reverse tax credit will be elevated from $1,300 to $1,700 for taxpayers with annual incomes up to $25,000 starting in 2025. Furthermore, eligibility for this credit will be expanded to include individuals earning up to $35,000, who will receive a $750 benefit—a measure expected to extend support to an additional 17,221 people at a cost of $12.9 million.

    The compensatory income credit will also see its income ceiling raised from $35,000 to $50,000, benefiting 18,415 taxpayers by allowing them to retain a larger portion of their earnings.

    Pensioners stand to gain substantially from the new provisions. A one-year cost-of-living cash credit of $100 per month will be introduced from April 1 for those with incomes under $50,000. Administered through the National Insurance and Social Security Service in coordination with the Barbados Revenue Authority, this support is available to recipients of contributory and non-contributory pensions, survivors’ benefits, and retired public officers. The payment frequency can be tailored to quarterly, semi-annual, or annual disbursements based on individual preference.

    Additionally, the taxable allowance for pensioners will increase from $50,000 to $75,000 effective in the 2025 income year. The program also extends to individuals who have not qualified for a pension due to insufficient contributions and those on welfare benefits.

    Minister Straughn acknowledged that global challenges—including geopolitical conflicts, supply chain disruptions, and inflationary trends—necessitated fiscal discipline, but affirmed the government’s commitment to providing further relief as economic conditions permit.

  • Farmers to get more help with heat stress, praedial larceny

    Farmers to get more help with heat stress, praedial larceny

    In a significant move to bolster national food security, Barbados’ Finance Minister Ryan Straughn has unveiled a sweeping agricultural support initiative during Monday’s Budget address to the House of Assembly. The comprehensive package addresses critical challenges facing the farming sector, including climate-induced losses, production costs, and persistent praedial larceny.

    The poultry industry receives particular attention following devastating heat-related losses that have crippled small-scale operations. Minister Straughn revealed that extreme temperatures annually claim hundreds of thousands of chickens, creating substantial economic damage for farmers with limited infrastructure.

    Effective April 1, qualifying small poultry farmers can access a 100% rebate—capped at $15,000—for implementing heat-reduction technologies such as specialized reflective paint in poultry housing. This enhanced support will remain in effect for two years before transitioning to a 50% rebate available every three years.

    Concurrently, the government is intensifying its battle against agricultural theft. Beginning April 2026, the farm security rebate ceiling will increase from $10,000 to $15,000, covering half the costs of approved surveillance systems including cameras and electronic monitoring equipment. These systems must comply with Barbadian legislation and meet Ministry of Agriculture specifications while forming part of broader enforcement strategies under the Protection of Agricultural Products Act, which will involve strengthened collaboration with the Barbados Police Service.

    The agricultural stimulus extends to sustainable farming practices with an annual $5,000 rebate for initiatives utilizing organic materials for fertilizer and plant/animal inputs, aimed at reducing dependency on imported chemical products and lowering long-term production expenses.

    Additionally, the apiculture sector gains substantial support through a 50% annual rebate—up to $5,000—on essential beekeeping equipment including hives, frames, smokers, and tools. The government will further facilitate the commercial distribution of locally produced honey and explore developing protective clothing for beekeepers in partnership with Export Barbados.

  • Guyana’s outdated credit union legislation flagged for modernisation

    Guyana’s outdated credit union legislation flagged for modernisation

    In a landmark gathering at the Four Points by Sheraton on Heroes Highway, Caribbean credit union officials launched their premier Caribbean Development Education (CaribDe) training program in Guyana for the first time, delivering a powerful appeal for legislative modernization. The event spotlighted Guyana’s outdated 1948 Cooperative Societies Act as a regional anomaly requiring immediate reform.

    CaribDe Programme Director Melvin Edwards emphasized the critical inadequacies of the nearly 80-year-old legislation, noting its complete absence of provisions addressing contemporary financial challenges. “An almost 80-year-old piece of legislation cannot be relevant to the present day,” Edwards stated, highlighting the act’s failure to incorporate modern standards against money laundering, terrorism financing, proliferation risks, International Financial Reporting Standards (IFRS), and credit union prudential management protocols.

    Edwards formally urged Labour Minister Keoma Griffith to collaborate with local and regional credit union movements to overhaul Guyana’s cooperative framework, pointing out that most Caribbean nations have already updated their legislation. The Caribbean credit union sector represents a substantial economic force, serving 2.8 million members across the region with accumulated assets of US$3.5 billion.

    In response, Minister Griffith revealed that Guyana has been receiving technical assistance from the International Labour Organisation (ILO) to conduct an extensive review of the Cooperative Societies Act. The objectives include strengthening legal provisions, improving governance structures, and ensuring greater accountability. Griffith confirmed that Guyana is examining Jamaica’s cooperatives legislation among other models to inform their modernization efforts.

    The minister concurrently acknowledged concerning governance issues within segments of Guyana’s cooperative sector, noting that some societies “have operated in ways that have undermined public confidence and weakened the effectiveness of the movement.”

    The event also addressed internal divisions within Guyana’s credit union leadership. Edwards made a direct public appeal to Secretary of the Guyana Cooperative Credit Union League Colin Beaton and Chairman of Guyana Public Service Cooperative Credit Union Ltd Trevor Benn to resolve their differences before the Caribbean Confederation of Credit Unions’ 2026 Annual International Convention in Barbados this June. Both leaders indicated ongoing efforts to resolve what Beaton termed “little teething issues,” with Benn emphasizing his organization’s commitment to improvement and membership growth.

  • Farmers brace for uncertain sugar crop

    Farmers brace for uncertain sugar crop

    Barbados’ historic sugar industry commences its 2026 harvesting season Tuesday amid profound structural challenges and growing uncertainty about its future viability. The Portvale Sugar Factory will begin accepting cane at daybreak, launching an agricultural tradition that veteran farmers warn stands at a precarious crossroads.

    Richard Mayers, manager of Edgecumbe Plantation with 47 years of industry experience, embodies the sector’s concerning trajectory. “This crop season marks my 46th harvest,” Mayers revealed to Barbados TODAY. “The industry now faces its most critical juncture in decades.”

    The current crisis stems from the collapse of a government-backed restructuring initiative announced in January 2024. The proposed cooperative ownership model would have allocated 55% ownership to Co-op Energy, 20% to workers, and 25% retained by government for public offering. Two entities were established: Agricultural Business Company Ltd to manage farms and Barbados Energy and Sugar Company Inc to oversee milling operations.

    This transition stalled dramatically when the Memorandum of Understanding between Co-op Energy and the state-owned Barbados Agricultural Management Company (BAMC) terminated last August. Government officials cited Co-op Energy’s failure to raise $16.5 million in equity financing, while the cooperative disputed this characterization, demanding audited financial records before releasing member funds.

    The breakdown halted what was promoted as a historic shift toward worker ownership, leaving farmers represented by Barbados Sugar Industries Limited (BSIL) hoping for alternative investment. BSIL Chairman Mark Sealy cautioned that traditional growers cannot shoulder the financial burden of recapitalizing essential infrastructure.

    Mayers emphasized the industry’s broader agricultural significance: “There’s nothing to replace sugar cane across our vast acreages. As plantations abandon cane, land returns to bush. We need cane for crop rotation with non-sugar alternatives.”

    Compounding structural problems, production forecasts appear bleak. Early projections suggest yields could fall 20,000 tonnes below 2025 levels, largely due to severe drought conditions during July-September 2025. Mayers estimates the Portvale factory requires at least 100,000 tonnes annually for viability, while BSIL farmers initially anticipated only 66,000 tonnes before drought impacts.

    Despite these challenges, harvesting commenced Monday on Mayers’ St. Philip farm as part of his meticulous preparation strategy. “I start early to identify equipment issues before the busy season,” he explained, noting trailers were being filled for Tuesday’s official mill opening.

    The industry’s future now depends on critical decisions that extend beyond individual plantations. “We at Edgecumbe play our part but cannot save the industry alone,” Mayers stressed. “Everyone must step forward. I hope to reach 50 years in sugar, but survival depends on choices made within the next three years.”

  • Caribbean Development Bank collaborates with 2X Global to promote gender-focused investment in the Caribbean

    Caribbean Development Bank collaborates with 2X Global to promote gender-focused investment in the Caribbean

    The Caribbean Development Bank (CDB) has forged a strategic alliance with 2X Global Limited to revolutionize investment practices across the region through gender-focused methodologies. This groundbreaking partnership will produce a specialized Gender Lens Investing Acceleration Toolbox, specifically engineered to address the unique financial challenges faced by women entrepreneurs in Caribbean nations.

    Funded by a US$350,000 technical assistance grant from the Bank’s Special Development Fund, this initiative represents a significant advancement in the Caribbean GEMS (Gender Equality for Market Sustainability) program. The collaboration aims to dismantle systemic barriers that have historically limited financing opportunities for women-owned businesses, despite their educational and professional advancements.

    The comprehensive toolkit will incorporate practical instruments, customizable templates, and expert advisory frameworks aligned with international 2X Global standards. Beyond resource development, the project will document region-specific case studies and facilitate certification processes for five Caribbean companies or funds, creating reproducible models for gender-responsive investing.

    Scheduled for announcement coinciding with International Women’s Day observances, the initiative additionally features a cutting-edge Digital Academy and regional training platform. These digital resources will provide specialized education for investors, financial institutions, and policymakers seeking to implement gender lens investment criteria throughout Caribbean markets.

    Lisa Harding, Division Chief of CDB’s Private Sector Division, emphasized the transformative potential: “Through Caribbean GEMS, we’re positioning women entrepreneurs at the center of economic transformation, enabling enterprise scaling, innovation, and resilience building.”

    2X Global CEO Jessica Espinoza echoed this sentiment, stating: “This partnership expansion allows us to strengthen the gender lens investing ecosystem and ensure women-led enterprises access crucial growth capital.”

    The collaboration builds upon CDB’s 2023 integration into the 2X Global network, amplifying the Bank’s commitment to women’s economic empowerment through targeted investment strategies that complement existing initiatives like the SheTrades Caribbean Regional Hub.