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Showing posts with label Caribbean region. Show all posts
Showing posts with label Caribbean region. Show all posts

Monday, March 21, 2011

What was the process applied in appointing the new Caribbean Court of Justice (CCJ) chief justice?

By Ian Francis


The recent news from the Caribbean Court of Justice and the CARICOM Secretariat indicating that Sir Dennis Byron has been appointed as chief justice of the Caribbean Court of Justice (CCJ) came to many regional observers as a great surprise and possible disappointment. It was popularly felt that injection of new and progressive blood was necessary for the CCJ, given the enormous amount of work to be undertaken for the future growth and sustainability of the organisation.

The appointment of Byron is not being opposed in this article, as it is felt and known that he is a very competent jurist who has served the region with great distinction. I want to wish Sir Dennis good luck and longevity as he prepares to assume the position of a regional court with only three members. Given Sir Dennis’s legal and administrative skills and experience, there is very little doubt that he will attempt to make a very valuable contribution to the CCJ, focusing on its future growth, which must include an increased membership.

While the selection and appointment of Sir Dennis as chief justice of the CCJ is not being viewed in a negative light, the need to delve further and gain valuable information about the selection and appointment process method applied by the Council of Ambassadors are reasonable questions to ask with the hope that truthful and credible answers are shared.

If the Council of Ambassadors were to adopt the notion of transparency and good governance, then it is reasonable to assume that the average “Joe Blow” in the region will get a much deeper insight into the decision-making process of the Council of Ambassadors. They are obligated to enlighten the region’s population about their decision making process within the CARICOM organisation. In an era of transparency and accountability, the sharing of this information is necessary if the recognised need to enlighten, increase awareness and understanding about CARICOM and its Council of Ambassadors is to be realised.

Prior to the inter-sessional pow wow in Grenada, it was known throughout the region that the Council of Ambassadors had two very critical appointments to make with respect to a new secretary general for the CARICOM Secretariat and a chief justice for the Caribbean Court of Justice. While it is recognized that the Council or Heads have the authority or mandate for such appointments, their authority should not be blindfolded or impaired by ensuring that proper human resource principles and practices are adopted when making such important appointments.

In July 2010, when former Secretary General Carrington and CCJ Chief Justice de la Bastide indicated that they would demit office, it was felt that the broad regional clamour for transparency and accountability in CARICOM might begin with the newly touted of “Council of Ambassadors”. There was great hope and expectation that the Council of Ambassadors would be more progressive, innovative and strategic in their approach with the decision making process in the Secretariat.

Unfortunately, based on internal information gleaned and received from credible sources within the Secretariat, it would appear that the newly touted “Council of Ambassadors” returned to their “old dog tricks” by applying an old decision making model of appointment by consensus..

With all of the above observations, it would appear that the development and implementation of a human resource strategy for the Secretariat has been ignored. There was no written job description for the chief justice position; no posting for the vacant position; no search, interviewing and recruitment committee established. Had these measures being in place, it would have afforded a broad spectrum of applicants from throughout the Caribbean region seeking the position of chief justice.

While at this stage the selection and appointment of a secretary general is unknown, it is sincerely hoped that the Council of Ambassadors will return to the drawing board by recognising and understanding that the process for selecting and appointing a new Secretary General of CARICOM requires a more visionary approach.

I wish Sir Dennis well in his new challenge. There is no doubt that he is indeed a formidable jurist and will do extremely well at the Caribbean Court of Justice. However, if the visionless Council of Ambassadors had seriously applied a transparent selection process, many more like Sir Dennis could have emerged and been considered for this very important position.

Now that the Council of Ambassadors have returned to their governing sanctuaries following their inter-sessional meeting in Grenada, they must once again be reminded of the wise comments made by Prime Minister Douglas of St Kitts and Nevis. He has requested fellow colleagues to be more reflective and analytical when handling important CARICOM matters.

In my view, Douglas’s comments require great attention and should influence our regional leaders with their governance and decision making style. They really need to measure up or face the emerging forces that are clamoring for change and participation. There are already clear warning signs in St Lucia, Grenada and Antigua that are likely to bring about electoral changes. It is very doubtful as to whether the Council of Ambassadors can influence the outcome of the pending electoral changes.

Let’s watch our Council of Ambassadors and their forthcoming report scheduled to be delivered at the next CARICOM meeting scheduled for the Federation of St Kitts and Nevis in July 2011.The region’s population are getting wary of the Council of Ambassadors’ tomfoolery.

Ian Francis resides in Toronto and writes frequently on Caribbean affairs. He is a former Assistant Secretary in the Ministry of Foreign Affairs., Grenada. He can be reached at info@vismincommunications.org

caribbeannewsnow

Thursday, February 3, 2011

How can CARICOM countries decrease the upswing of criminality?

By Ian Francis


Every day, the Caribbean region’s population, through the various and diverse media organs of print and radio resources, is bombarded with news of crime ranging from homicide, armed robberies, rape and other violent crimes against innocent citizens, who are later described as victims, after facing the trauma of being attacked and victimized by these misfits in our community.

As an exiled Caribbean person in North America, I understand the individual pains felt by victims and the lacking inadequacy of our law enforcement agencies to apprehend and bring many of these offenders to justice. Although, some of these alleged offenders are apprehended and brought to justice, the growing inadequacy of the justice system further compounds the situation by apparent backlogs, timid Crown prosecutors and lawless legal lawyers, who show very little respect for the judicial system by constantly plotting and finding schemes and alibis on circumventing the justice system.

Many of these legal misfits can be found throughout the regional court circuit and are very well known by sitting judges and magistrates. Unfortunately, the legislative disciplinary mechanism is still in draft or review in many regional states so these misfits enjoy disciplinary immunity.

So, a careful analysis of the crime upswing in the region should not be only attributed to the senseless hardcore criminals. Therefore, when the question of crime and criminality is posed to the ordinary citizen on the street, the usual response is “all ah dem in crime”.

Getting such comments, it became necessary for me to delve further into these damaging comments and the outcomes were as follows, with both victims and potential victims identifying group and individual contributions to this untenable situation in the region. Based on my frank and open discussions, it is fair to conclude that crime escalation in the region cannot be blamed only on hardcore criminals. There are many other accomplices, which include:

-- Crooked, lawless and unethical lawyers versed in running red short around the judicial system;
-- Rogue cops who wear the uniform but act as the ears and eyes to inform criminals and their accomplices of planned police operations against them;
-- The revisionist habitual criminal offenders and their known accomplices who have no respect for law and order and invasion of individual rights
-- Public servants who live above their means and in order to maintain the lifestyle, they have no alternative but to divert to corrupt practices, which often go undetected
-- Corrupted elected and appointed parliamentarians who see a niche where they can advance themselves by amassing wealth through money laundering and other corrupt practices
-- Corporate and small business owners who manipulate the customs, excise and tax systems.

These strong perceptions and feelings by the population cannot be ignored anymore. Respective Caribbean governments need to take immediate action.

The situation is very gloomy throughout the region. It was only a few days ago that Trinidad’s National Security Minister accused crooked law enforcement officers of renting their weapons to criminals to commit serious crimes. With this and other allegations emerging from around the region, there should be no doubt or uncertainty in the mind of decision makers that “it is time for house cleaning”.

Yes, there are strong possibilities that many will be caught and, of course, there might be embarrassment; however, if CARICOM governments are committed to disrupting the criminal elements in their states, action and cleansing is needed on all fronts. These are some of the critical elements of transparency, accountability and good governance. Criminality is in our midst and it must be flushed out with vigilance and aggression.

CARICOM governments have from time to time talked about assets declaration. Rather than lamenting whether elected and appointed officials should make the necessary declaration, it is incumbent on respective governments to move swiftly with such legislation. In my view, all public servants in the employ of central governments and statutory bodies should make a declaration on what they own? How was it acquired? Current value and plans for future economic activities.

To put it bluntly, a police corporal with no relatives abroad, no significant local inheritance, no previously known and published financial accomplishments in his or current position is the owner of several houses, fishing boats and “one mores”. A careful examination and monitoring of this individual life style shows minimal activities in an existing financial institution. However, at the end of the day, he or she boasts assets to the tune of millions. Well, as a Jamaican friend would say, “da en sound right”.

This is the reality of criminal and unethical conduct in the CARICOM region. Rather than thinking that the criminal troublemakers are only deportees, it is ample time to dig deeper and identify other perpetrators. They are amongst us and detection is reasonably possible.

There are so many examples of public servant misconduct and alleged corruption in the region that the time has come when it cannot be ignored. Take a simple look at Stanford’s behaviour in Antigua, where he controlled a key staffer in the financial regulation department. Certainly, it occurred in Antigua but it will be very silly to think that there are no other misfits within the region.

Criminal lawlessness is not only amongst the poor. Let’s take a holistic approach and the results will be very surprising.

Ian Francis resides in Toronto. He writes frequently on Caribbean Commonwealth Affairs. He is a former Assistant Secretary in the Ministry of Foreign Affairs, Grenada and can be reached at info@vismincommunications.org

February 3, 2011

caribbeannewsnow

Sunday, September 12, 2010

Saga of Taiwan politics/business in Caricom

ANALYSIS

RICKEY SINGH



WHETHER at the level of its government or private business interests, Taiwan seems to be creating problems for some of the member states of the Caribbean Community (Caricom) as it continues its long, arduous battle for international recognition to secure membership of the United Nations as a sovereign state.

In our Caribbean region, Taiwan -- which the Chinese officially view as a 'renegade province' of the People's Republic of China — has been investing in what came to be known as "dollar diplomacy" to influence support among political parties.

Since the dawning of political independence 48 years ago in the English-speaking Caribbean, first in Jamaica, Taiwan's effort to win friends and influence votes on its behalf has proven to be a dismal failure.

The present count of converts is a mere four of the 14 independent countries of Caricom -- Belize, St Kitts and Nevis, St Vincent and the Grenadines and St Lucia -- as more and more community partners walked away from diplomatic ties.

That's despite the financial generosity displayed by the Government in Taipei towards parties across the political divide in this region -- at times dealing with both ruling and opposition parties in the same country. St Vincent and the Grenadines has long been such an example.

While it suffered losses in once-firm relations with countries like The Bahamas, Dominica and Grenada, it is in St Lucia that Taiwan was to secure a very surprising return with a change in government in Castries at the December 2006 general election after the defeat of the then two-term St Lucia Labour Party (SLP) by the United Workers Party (UWP).

$$ diplomacy


And it is in that Windward Island state that Taiwanese-style 'dollar diplomacy' was to manifest itself in a most aggressive and contemptuous manner in political financing which reportedly contributed significantly to the return of the UWP to power and subsequent severing of relations with China.

The daughter of the late founder-leader of the UWP and once long-serving prime minister, Sir John Compton, was to show courage and honesty in post-election financial accountability.

Shortly after the UWP's return to power, Taiwan succeeded in replacing China in diplomatic ties, against the advice of the then seriously ill Sir John.

Following the death of her father, and amid open political controversies over Taipei's diplomatic replacement of Beijing, Jannine Compton was to disclose in Parliament how she had spent some EC $1 million, made available from Taiwanese funding, for projects in her Micoud North constituency.

As of this September, and with some 15 months more before a constitutionally due new general election -- though expected earlier -- none of the other 10 Government MPs of Prime Minister Stephen King's administration has yet accounted for expenditures in their respective constituencies as allocated directly by Taiwan through its embassy in Castries.

At this period in regional and international politics, when there are growing demands for accountability of election campaign financing -- an issue currently seriously engaging politicians and parties in Jamaica, for instance -- the Tawain/UWP $$ connection appears headed for a decisive phase in the electoral politics of that Caricom member state.

The Opposition SLP of former Prime Minister Dr Kenny Anthony, which -- like the ruling UWP -- is currently actively preparing for new general elections, has already made clear its anxiety for the expulsion of the Taiwanese ambassador to Castries for what it claims is his "arrogant and contemptuous" involvement in St Lucia's domestic affairs.

Embarrassing deal

Meanwhile, in Grenada, there is a different kind of problem for the Government of Prime Minister Tilman Thomas involving a deal with a Taiwanese group of investors that seems to have gone terribly wrong.

It has resulted from a Memorandum of Understanding (MOU) that Prime Minister Thomas signed in May this year with a Taiwanese company known as Sewang One World (SOW) for development financing of well over US$2 billion on various projects.

However, there came the sensational disclosure last month that primary figures of SOW had been arrested by the Taiwanese authorities for bank fraud and linked to the establishment of dummy companies in Taiwan, South Korea and the USA.

By September 3, the Grenada Government was ready to publicly confess its error in signing the MOU with the Taiwanese company without first undertaking an appropriate due diligence exercise.

Finance Minister Nazim Burke has stated that it was wrong to enter into the MOU without careful scrutiny of SOW. He has also disclosed to the media in St George's that it was "regrettable" that Prime Minister Thomas and his office were "exposed to the (Taiwanese) company without required due diligence". According to Burke, the entire business deal with SOW has now been abandoned.

News of the charges against the SOW representatives were first learnt of in Grenada from an August 24 report in the China Times of Taiwan.

Interestingly, this same Taiwanese company had first established business contact in 2004 with the then Government of former Prime Minister Keith Mitchell during the diplomatic romance between Taipei and St George's.

Later came the ditching of Grenada's diplomatic relations with Taiwan by the Mitchell Government in favour of China, which has been maintained by the current administration of Prime Minister Thomas.

What next, I wonder, in the saga of Taiwanese politics and business deals in the Caribbean?

September 12, 2010

jamaicaobserver

Friday, September 10, 2010

Caribbean globally uncompetitive: Time to get serious

By Sir Ronald Sanders:


Only one Caribbean Community (CARICOM) country made the top 50 countries in the World Economic Forum’s “Global Competitiveness Report 2010-2011”. Barbados is rated at 43 of 139 countries that were surveyed. Trinidad and Tobago, Jamaica, and Guyana were rated 84, 95, and 110 respectively.

No other CARICOM country was rated because of a lack of survey data.

Sir Ronald Sanders is a business executive and former Caribbean diplomat who publishes widely 
on small states in the global community. Reponses to: www.sirronaldsanders.comThis is not good news for the CARICOM area already beset by severe economic problems including high debt to GDP ratios, increasing unemployment, and contracting economies.

Barbados’ higher ranking over the three other CARICOM countries surveyed is due, according to the Report, to its better health and education facilities and technological readiness, but it got poor marks for inefficient government bureaucracy, access to financing, a poor work ethic among the labour force and foreign currency regulations.

Crime is rated highest among the problems that beset Trinidad and Tobago followed by an inefficient government bureaucracy and, surprisingly, access to financing. None of its rankings – not for basic requirements, efficiency enhancers or business sophistication and innovation - matched Barbados.

However, Barbados’ ranking in the specific areas of business sophistication and innovation at 52, suggests that there is need for the business community to improve its performance if Barbados is to continue to be a leader for the region in maintaining global competiveness.

The Report highlights University-Industry collaboration in Research and Development as a strong point for Barbados. With a ranking of 40, this is an area that Barbados could further develop, and that other CARICOM countries should emulate across a broad area of economic activity.

Like Trinidad and Tobago, crime was identified as the biggest problem facing Jamaica’s competitiveness. An inefficient government bureaucracy, access to financing and an inadequately educated work force were also identified among its major setbacks.

High tax rates headed the list of Guyana’s problems, followed by crime, and inadequately educated work force and access to funding. The enrolment rate for secondary education and hiring and firing practices were Guyana’s two most notable competitive advantages with rankings of 16 and 20 respectively.

So, who are the top ten most competitive countries in the world for business? In order of priority, they are: Switzerland, Sweden, Singapore, United States, Germany, Japan, Finland, Netherlands, Denmark, and Canada.

The inclusion of Singapore, a small island state, is significant. It shows that small size is not a barrier to being competitiveness in business. Singapore, incidentally, was the top recipient last year of investment of every country in the world.

And, what distinguishes these top ten countries from the other 129 nations in terms of their ability to be competitive globally and attract businesses? The World Economic Forum identifies 12 interrelated pillars for competitiveness, among them are: the strength of institutions and laws, political stability, the quality of infrastructure, public health, and education, and levels of technology and innovation. The Forum makes the point that “the pillars are not independent; they tend to reinforce each other and a weakness in one area often has a negative impact on other areas”.

In the case of Singapore, a physically small island state, it is ranked “number one for government efficiency; second for its financial market sophistication ensuring the proper allocation of these factors to its best use”. It is also ranked fifth for its world-class infrastructure with excellent roads, ports, and air transport facilities. In addition, it has a strong focus on education, providing individuals with the skills needed for a rapidly changing economy.

Singapore’s accomplishments are greatly to be admired particularly when it is considered that both Guyana and Jamaica at the time of their independence in 1962 and 1966 respectively were more prosperous than Singapore.

Clearly there are lessons to be learned by Caribbean states from Singapore’s success. Not all of them will be transferable because of the different work culture that exists between Singapore and the Caribbean, but there are other basic experiences and knowledge that Singapore could offer, among them: how to make government more efficient and institutions stronger.

Lessons might also be learned from Malaysia, which, like 13 of the 15 CARICOM states and Singapore, is a member of the 54-nation Commonwealth. Apart from Taiwan, China, and a few oil-rich Arab states, Malaysia is the highest ranked developing country in the competitive index at number 26. In business sophistication and innovation, it is ranked at 25 and 24 respectively of the 139 surveyed countries. Were it not for its security situation, Malaysia would have been higher up the list.

CARICOM countries have to do much better if they are to emerge from their present economic morass and rise up to claim a significant share of the world’s opportunities for investment and business.

Bringing crime under control has to be a top priority for CARICOM countries and they can best do so together. The sooner governments explore the establishment of regional machinery for collectively tackling crime within each country, the better.

Establishing the Caribbean Single Market also should be accelerated with mergers and acquisitions between Caribbean countries being facilitated by legislation. This will improve business sophistication, enhance efficiencies, and strengthen institutions. Taxation levels in many countries also have to be reviewed to make them more competitive globally. Importantly, access to financing should be a high priority that should be tackled by governments and the private sector collectively devising ways to do it.

The government bureaucracy that slows down investment also has to be overhauled rapidly. Inordinate delays and red tape that slow investment cost Investors money. They don’t hang around; not with a world eager to lure them.

A series of meaningful consultations between governments and the University of the West Indies; between governments and the regional private sector organizations; and the creation of task forces drawn from all three could offer implementable solutions to the problems of competitiveness that beset the Caribbean region.

It is time to get serious, or get left behind.

September 10, 2010

caribbeannewsnow

Wednesday, July 28, 2010

United States government would like to see closer integration between countries in the Caribbean

US 'would like closer integration' in Caribbean
By ALISON LOWE
Tribune Staff Reporter
alowe@tribunemedia.net:



THE United States government would like to see closer integration between countries in the Caribbean, with this a topic of conversation yesterday between a high level US official and Prime Minister Hubert Ingraham.

According to Dr Arturo Valenzuela, Assistant Secretary of State for Western Hemisphere Affairs, one of the major “pillars of engagement” that the United States government is hoping to promote in its relations with countries like the Bahamas and its neighbours in the Caribbean is the “strengthening” of the integration process that CARICOM represents.

Speaking to the Bahamian media during a press conference with US Ambassador to the Bahamas, Nicole Avant, at her official residence yesterday, Dr Valenzuela said this was one of a number of issues discussed with both Mr Ingraham and opposition leader Perry Christie during meetings that morning.

“We were talking about the CARICOM, how we see the evolution of CARICOM and what role could CARICOM play with regard to some of the issues (such as) climate change, security and economic development,” said Dr Arturo, a key adviser to Secretary of State Hilary Clinton on a broad range of political, economic and security issues that affect the Caribbean region, as well as South and Central America and Canada.

“There’s always room to see how we can improve processes of democratic governance and in particular in the Caribbean; (we want to) have a dialogue with leaders in the country about the possibility of increasing the integration process in the Caribbean – whether CARICOM and its framework can be strenghtened moving forward.

“Our co-operative efforts with the nations of the Caribbean have to be dealt with bilaterally – between the US and those nations – but at the same time we’re mindful of the fact that we’re better off if we can co-operate and discuss things in a broader context and in this sense a regional integration process is a process that would help in our own co-operation.

“Our security framework right now for example is within the Caribbean Basin Security Initiative (CBSI) and as you know much of our trade and economic policy has an overall focus on the Caribbean as such,” explained Dr Valenzuela.

The CBSI is a recently launched Shared Regional Security Partnership between the US and the Caribbean that seeks to bring all members of CARICOM and the Dominican Republic together to jointly collaborate on regional security with the United States as a partner.

The US is set to contribute $45 million this year and $79 million in 2011 to the initiative, which has as its core objectives the reduction of illicit trafficking, the advancement of public safety and security and the promotion of social justice.

July 27, 2010

tribune242

Friday, December 18, 2009

Caribbean Region needs to focus more on environmental leadership

There must be more emphasis on environmental leadership and regional co-ordination in the Caribbean.

This was the message of Dr. Mark Griffith, as his organisation CaribInvest
honoured seven regional luminaries that have made an outstanding contribution to environmental sustainability. The event took place on Wednesday evening as part of the two-day Second Caribbean Dialogue on Caribbean Economic Expansion, Investment and Opportunities Arising from the Economic Partnership Agreement at the PomMarine Hotel.

Griffith noted that the environment had not been one of the key issues taken on by CARICOM, but noted that there had been a lot of work on the issue in past decades which was not necessarily being recognised. To this end, the recipients have also been honoured in a book entitled “Nuts and Bolts” by Griffith and Derrick Oderson that is dedicated to issues relating to Caribbean Community law and regional environmental co-ordination.

“Essentially, the publication seeks to put into perspective what has taken place in the region since the late 1980s,” Griffith said during the presentation. This, he said, was derived from the lack of historical perspective on what our negotiators have achieved in terms of the evolution of environmental and sustainable development co-ordination in the Caribbean.

Griffith said the book was dedicated to several people who have made a significant contribution to the area of environmental sustainability, explaining, “The period late 1980s–mid-1990s is described in the book as the golden period of regional co-ordination.”

The honourees included Dr. Ted Aldridge, a Jamaican, who worked tirelessly to promote regional environmental co-ordination and Charles Leeward, a former Ambassador from Guyana to the United Nations Environment Programme, for his strong role in environmental co-ordination; both are deceased. In addition, Professor B. Persaud, former Director of Economic Affairs Division of the Commonwealth Secretariat and Minister Lincoln Myers of Trinidad and Tobago, who Griffith described as one of the most outstanding Ministers of Environment in the region, were both noted for their roles in the 1994 Small Island Developing States (SIDS) conference in Barbados. Furthermore, Myers was noted for his role in spearheading the creation of the Alliance of Small Island States, which was launched in 1989 and helped direct more focus on small island developing states.

Former Guyanese Foreign Minister Rashleigh Jackson was also honoured for the important guidance he provided for the designation of SIDS. Permanent Secretary in the Ministry of Foreign Affairs, Teresa Marshall, was recognised for her role in ensuring the success of the First Global Conference on the Sustainable Development of SIDS, which was held in Barbados in 1994. Griffith said Marshall played a significant role in bringing together the developing states to partner, without which the conference would not have been a success. Finally, former Prime Minister of Barbados, Sir Lloyd Sandiford, was lauded for the support he showed for the conference being hosted in Barbados despite the economic difficulties being faced. (NC)

12/18/2009

caribdaily

Friday, October 9, 2009

Who's listening when the Caribbean speaks?

By Ronald Sanders:

In Turkey, where meetings of the IMF and the World Bank were held during the week of October 4th, Caribbean Finance Ministers raised with the First Deputy Managing Director of the International Monetary Fund, John Lipsky, their concerns about “the need for better representation and participation of small, developing countries in key meetings and fora such as the G20, where decisions that can significantly impact these small economies are frequently made”.

Sir Ronald Sanders is a business executive and former Caribbean diplomat who publishes widely on small states in the global community. Reponses to: www.sirronaldsanders.comBut, Caribbean representation in the already overcrowded G20 will not happen without a strong case being made and accepted by governments currently at the table.

Similarly, much needed reform of the IMF and World Bank to benefit the Caribbean appears remote.

At the Bank/Fund meetings, the President of Guyana, Bharat Jagdeo, as current Chairman of CARICOM, led a team of Prime Ministers from the Bahamas, Barbados and St Lucia to make a case to the President of the World Bank, Robert Zoellick, that special attention should be paid to relieving and restructuring the debt of the highly indebted, vulnerable, middle income countries of the region.

And, Barbados Prime Minister, David Thompson, speaking at the formal meeting was emphatic that “limited access to World Bank funding has forced many middle income Caribbean countries to borrow in the private capital markets at substantially higher rates and shorter repayment terms”. Mr Thompson recommended that “further consideration be given to this issue of access by middle income countries to financing from the multilateral financial institutions.”

All of this is right. The entire Caribbean region is facing a serious reversal of its economic and social progress arising from a number of factors. It is true that one of the significant factors is poor economic management and decision-making by some of their governments, and this is a concern that Caribbean countries must themselves address.

The external factors are also real. Not least among them is the point raised by both Jagdeo and Thompson that the classification of Caribbean states as middle-income countries disqualifies them from concessionary financing from the international financial institutions and forces them into the commercial market for borrowing.

But, is anyone really listening? The moment for effective reform of international institutions is fast receding. Those industrialised nations that pledged themselves to reform in the wake of last year’s financial crisis are quickly retreating from their pledges as their economies begin to pick-up. The creation of the G20 and the provision of some additional resources to the IMF appear now to be the most they will do.

The new resources for the IMF are insufficient and, in any case, are not targeted to middle income countries such as those in the Caribbean; they are focussed on low income countries and on bigger countries such as those in Europe and Mexico.

A so called Flexible Credit Line has been introduced by the IMF “for countries with very strong fundamentals, policies, and track records of policy implementation”. Caribbean countries will not qualify for among the criteria are: a track record of steady sovereign access to international capital markets at favourable terms, and sound public finances including a sustainable public debt position.

Why these criteria should be relevant instead of ones that recognise the need to stimulate stagnant economies and provide support for social welfare programmes speaks to the anachronistic role of the IMF which still operates as an agency of the victors of World War 11, despite all the rhetoric.

As for the World Bank, the Turkey meeting deferred any increase in its capital until next year. Therefore, the Bank is faced with a limited lending capacity, and in this scenario, countries such as those in the Caribbean that are designated middle-income are not a priority.

Caribbean Heads of Government and Finance Ministers raising their concerns with Heads of the International Financial Institutions and in the formal sessions of the Bank/Fund meetings was absolutely right. They do not get much chance to do so, Caribbean countries have no seat of their own on the Boards of these bodies where they are represented by Canada. And, while Canada may be a sympathetic ally, there is no substitute for authentic argument from high representatives of Caribbean countries themselves.

In this connection, the prospect of any reform of the international financial institutions that would benefit the Caribbean in terms both of representation at the highest levels and change in IMF conditionalites and World Bank criteria for concessionary financing, does not appear to be on the cards anytime soon.

This is why Caribbean countries should adopt a collective and cohesive approach to this issue devoting resources to a joint and continuous diplomatic effort to put their case forcefully to the international community at every opportunity.

It is well within the region’s capacity to establish a task force of public sector and private sector professionals, under the umbrella of a special unit of the CARICOM Secretariat, to undertake this task. The task force could be mandated to produce documentation with all the necessary rigour for presentation to the Boards of the International Financial Institutions and to influential governments. Much of this work has already been done by a group established last year under Caribbean Development Bank President, Compton Bourne.

In turn, high regional representatives led by one or other of available Heads of Government could be appointed to engage the international community in an intense campaign on the basis of a well-debated and agreed CARICOM strategy.

The Commonwealth Heads of Government Conference in Trinidad in November presents a unique opportunity to make the Caribbean case to five Heads of Government of G20 countries – Australia, Britain, Canada, India and South Africa. They may not get far with Australia and Britain, but India and South Africa with whom they have close links, and Canada with whom they share a common neighbourhood should listen.

The Commonwealth Secretariat has itself done a great deal of work on small states and reform of International Financial Institutions. The November Commonwealth Summit, therefore, is an excellent forum for the Caribbean to advance a cohesive campaign.

October 9, 2009

caribbeannetnews