Barbados: Global economic and fiscal crisis still affecting Barbados development

Barbados said that it continues to suffer the devastating impacts of the world economic and financial crisis, and like other small island developing states (SIDS) has limited scope, capacity, fiscal flexibility or policy space to respond entirely.

Foreign Affairs Minister Maxine McClean told the 69th session of the United Nations General Assembly (UNGA) that the island is facing declining export request, decreased investment , and a contraction in services upon which the economy is dependent, such as tourism.

“Fiscal and financial stresses have forced us to make significant adjustments to our spending programmes. Against this backdrop, we face the daunting challenge of continuing to provide adequate social safety nets for the majority vulnerable of our citizens in a responsible and sustainable manner.”

The Foreign Minister said that deficit servicing and deficit unsustainability far too easily undermine the advances “we desire to make towards our sustainable development.

“Too often the plight of middle gain nations is overlooked on the presumption that by virtue of our GDP per capita we do not require international assistance.

“Barbados emphatically restates that GDP (gross domestic product) per capita cannot be the sole defining criterion for accessing concessionary financing”.

She said the social, economic and environmental vulnerability of nations such as Barbados must be taken into account and as a result the island is pleased to see that the 2014 Human Development Statement – Sustaining Human Evolution: Reducing Vulnerabilities and Building Resilience, incorporates the concept of vulnerability and places emphasis on strengthening the resilience of people, communities, and nations.

“It is our hope that these factors will give a additional accurate picture of the challenges which developing nations face,” she said recalling an before address by Prime Minister Freundel Stuart for new pproaches to be designed to assist middle gain nations which have been graduated from access to concessional resources.

“I echo this call today. I implore the international community to address the needs of middle gain nations in the elaboration of a Post-2015 Development Schedule.

“Accordingly, Barbados welcomes the International Conference on Financing for Development to be held in Addis Ababa in July next year,” she said, adding that the “outcome of this conference must make provision for the appropriate needs of SIDS and middle gain nations”.

The Barbados Foreign Minister said her country is fully cognisant of the responsibility which developing nations themselves bear towards achieving their development goals.

But she said the reality is that in seeking to meet these goals, they do so on an uneven playing field.

“The world financial and economic system and the governance process that accompanies it, continue to operate in an exclusionary manner.

“Barbados reiterates its call for a additional transparent architecture that is supportive of development objectives,” she added.

She said that Barbados has developed and implemented a cross-sectoral Green Economy Initiative which is predicated on the fragility of the small island ecosystems.

“The Initiative prioritises natural resource protection policy intervention; business and investment choice; human development programming; and the facilitation of export market development strategies.”

The Foreign Minister said that Barbados continues to partner with United Nations agencies to promote a transition to a resource efficient green economy.

But she warned that the efforts to transition to a green economy will be undone if the international community does not take immediate and urgent action to address climate change.

“The majority recent findings of the Intergovernmental Panel on Climate Change underscore, from presently on again, the vulnerability of SlDS particularly to the effects of climate change, sea-level rise, ocean acidification and extreme weather events.

“These represent an existential threat to SIDS. We therefore urge major carbon emitters to take all necessary actions,” she added.

In her wide ranging speech, the Barbados Foreign Minister as well commented on the ongoing wars in the Central African Republic, South Sudan, Syria, Iraq and Ukraine.

“Armed non-national actors and terrorist groups continue to destroy lives, destabilise nations and threaten national and international peace and security. In the face of hostilities and blatant acts of aggression, the Security Council has been paralysed.

“Barbados will continue to be actively engaged, within CARICOM (Caribbean Community), in negotiations on the reform of the Security Council,” she said, as well calling for an end to the decades old trade and economic embargo against Cuba.

“The government of Cuba has always demonstrated a willingness to assist the Caribbean, and indeed the developing world, in our quest for development. We join with the overwhelming majority of UN member states in opposing this unilateral action and look forward to a time any minute at this time at the same time as it will be relegated to the pages of history.”