Like a cautious batsman on a sticky wicket, Prime Minister David Thompson today began his first budget presentation to the people of Barbados by framing the island’s economic outlook for 2008-2009 within the context of a lethargic global economy. Indeed, he had no other choice. Based on current estimates, Barbados’ economic growth is expected to peak at 2.5% in 2009, limited by an inflation rate that is set to reach 7.9% by year-end, while public debt is to rise to almost 8% of the Gross Domestic Product. Figures, he says, are subject to review if the global economy performs even more poorly. In other bleak news, the trade deficit is set to increase due to a surfeit of local manufacturing output, while tourism and other key sectors are also expected to see declines.

Labeling this budget as one of restraint, the Prime Minister made it clear that this was not to be the typical ‘honeymoon’ budget of previous incoming governments, while at the same time curiously unveiling incomprehensible plans such as building port facilities for private jets and ships in the north of the island, as well as plans to reclaim land from the Caribbean Sea in a bid to address increasing shortages on the mainland. Indeed, the budget of restraint was, in many ways, very unrestrained; it came to include all the key buzzwords and concepts from a development textbook, while being overly optimistic about the island’s financial ability to meet them. Yet, this remains a feature of all budgets; grand projects with grand ideals, often emotive and compelling, thrown in to inspire awe and suggest moves to ‘modernity’ which we are largely ill-prepared to take.

In the end however, this budget will not be remembered for what it can’t deliver. David Thompson has managed to tap into the pulse of the people in a way that the former administration somehow forgot how to, addressing - on paper - the key issues of social and economic concern for the majority of Barbadians. Indeed, he has boasted of his success with ‘participatory governance’, having held extensive focus group discussions with Barbadians to gauge the public’s concerns and perceived needs.

Key elements of the budget are as follows:

  • Controversial capital-intensive highway flyovers - a hand-me-down from the previous administration - have been canceled.
  • Integrity and freedom of information legislation is actively being developed by a cross-sectoral board of advisors.
  • Statistical collection methodologies are to be modernized through technical assistance from the Inter-American Development Bank, with the aim of producing new, accurate data on controversial unemployment and public debt figures.
  • Affordable access to higher education is further being facilitated through an increase of over 300% on loan amounts from the Student Revolving Loan Fund, while repayment periods are to be extended to 30 years, with an interest rate fixed at 1.5% above prevailing bank savings rate.
  • Free public transportation for school children has also been introduced - both as a means to cull the divisive ‘minibus culture’ and reduce costs to poor families. Projected savings start from a minimum of $400 per annum for single-child families.
  • The National Housing Corporation is being put on target to provide 2,000 low income housing solutions per year. Meanwhile Value Added Tax on building materials will also be refunded to first-time home buyers with a gross income of up to $42,000 and for houses up to a value of $150,00, in a creative means-tested approach of alleviating the high costs involved in home ownership.
  • Foreign land ownership has been banned from Pico Teneriffe in the North to Skeete’s Bay in the South in a move to ‘protect the patrimony of Barbadians’. Tourism development is to continue when it is not deemed to be ‘in conflict with the aspirations of the population’.
  • Government is expected to liquidate $200m worth of shares in the Insurance Corporation of Barbados and the Barbados National Bank to fund the expansion of the Queen Elizabeth hospital. Further fundraising is expected to be sought through philanthropic donations and corporate sponsorship.
  • Government’s income is to be shored up by increased tax rates on banks, insurance companies and new-car dealerships, as well as tax hikes on lottery winnings, alcohol, tobacco products, road and license taxes and a monthly tax on mobile phone top-ups.
  • New taxes will add $104m to the Treasury, while benefits are expected to cost $82m, leaving a net revenue gain of $22m.

While moderately impressive on paper, it remains left to be seen what impact these new amendments will have on the cost and quality of living in Barbados in the trying times ahead, even as fears are already mounting that newly heavily-taxed companies will pass on increases to consumers, thus negating any dent in living costs. Through hiking taxes on key services, increasing demand on an already-ailing public transportation system, expanding social services in a time of economic restraint and increasing cost burdens on the private sector, uncertainty prevails among skeptics as to whether this seemingly all-encompassing budget will live up to its mandate to constrain inflation and escalating costs of living.

 Downloads & further links: 
      Prime Minister’s budget speech 2008

The electorate’s changing of the old guard of government on January 15th came with new hopes and aspirations for Barbados, most notably with respect to our social development.

Previous mention was made of the fact that the former government was not axed based on Barbados’ economic performance. We have long boasted of our economic success and resilience relative to the world’s developing countries, and could find little fault in our macroeconomic indicators. In contrast, families and households saw increasing individual poverty, high costs of living, underemployment and prohibitive housing costs which ultimately negated our macroeconomic boasts, and called for closer attention to be paid to our social policies.

While the new administration came with an overarching theme of change, there needs now to be specific dialogue on the social policy plans of the new government for its first term of office. Whereas much has been done by way of the bureaucratic formation of new ministries to replace the former Ministry of Social Transformation, little clarification has been given to the precise objectives and scope of the new ‘buzzword’ agencies of Community Development, Social Care, Constituency Empowerment and Family. Neither has there been mention of a revamp of the long-bedeviled bureaucratic procedures involved in the dispensation of social care under the agencies of the last administration.

Given the dynamics of policy planning, a comprehensive review of the policies which existed under the old fourteen-year administration needs to be urgently completed if the new government is to seriously effect improvements in the standard of living for the majority of Barbadians. As social change is without a doubt intrinsic to development, a continuation of the flaws of the previous administration’s social policies would inevitably render January 15th’s vote for change, pointless.

The Prime Minister, the Rt. Hon. David Thompson has announced his cabinet of ministers. It is a very lean cabinet, with some ministries being removed and others merged. Below is the full list of cabinet members. There has been no mention of Deputy Prime Minister, and it appears the Social Transformation Ministry has been disbanded, with new ministries of Community Development, Social Care and Family being created.

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The results are in and a new Prime Minister and cabinet is to be sworn in. Bees out, Dems in. It is a state of affairs that many Barbadians would not have thought possible just a few months ago: fourteen years of rule under Prime Minister Owen Arthur’s government have finally come to an end.

From today we officially welcome the Right Honourable David Thompson, Prime Minister, former underdog and much-maligned leader of a party that was thought to be too ineffective and weak to command popular support. Political pollsters have recanted, the incumbent has admitted its downfall and the public lies in wait for what is ahead under the new administration. Arguably, all that has remained constant in the wake of the election is change, and it was the electorate’s indulgence in the temptation to change that led to the incumbent’s defeat: at least, that’s how the former government sees it.

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The Right Honourable David Thompson was today sworn in as Barbados’ sixth Prime Minister, following the climax of yesterday’s general election which brought 20 seats to the former opposition Democratic Labour Party and 10 to the incumbent Barbados Labour Party. Freundel Stuart was also sworn in today as the island’s new Attorney General.

Our election headlines conclude this week with features on:

▀ Change for change’s sake, or resentment of the status quo?
    — Barbados election results revisited.
▀ News and commentary on Prime Minister Thompson’s new cabinet.
    (Due on Saturday, January 20 according to media reports) 
▀ Hopes and expectations for policy and governance in the new administration.

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Update 8:14 am Barbados time - Recounted constituencies have gone to the Barbados Labour Party as expected. The final split of parliament is as predicted ealier; twenty to the Democratic Labour Party, ten to the Barbados Labour Party. Result commentary is here.

The results of the 2008 General Elections in Barbados are in and the former opposition Democratic Labour Party has clearly won twenty (20) seats in parliament, with the Barbados Labour Party clearly winning eight (8). Two constituencies, St. Andrew and St. Joseph, are pending a recount and are expected to go to the Barbados Labour Party to bring their tally to ten (10) seats. The Prime Minister-elect is The Hon. David Thompson, who will lead Barbados into the next five years.

The Bajan Dream Project has provided real-time results throughout the vote counting process, and we thank our five hundred odd visitors who chose us as their source for Barbados Election Results 2008. Commentary and other updates are to follow later in the day, with our hopes for Barbados under this new administration and commentary on today’s results. Thank you for linking to us today.

Click below for complete results.

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Update: See how the boxes fell in our coverage of the elections here, as well as our result commentary

Anxious anticipation precedes tonight’s tallying of the votes in today’s general election in Barbados. The ‘fight for our future’, as it has been billed by both political parties, was preceded by three weeks of intense campaigning, coloured by themes of change, leadership, accountability and apparently, worship.

The seriousness of today’s election cannot be underestimated. International and domestic issues threaten the safety and stability of the Barbadian society and economy, and it demands a government that is capable, accountable and competent.

The electorate faces a tough decision. The incumbent party, which has been in power for a little under fifteen years, has been the only government that many young Barbadians would have ever known. Old habits die hard and truthfully, this government has not performed too badly during its three terms insofar as employment and certain human development indicators are concerned. In addition, the ruling party ran a tough and convincing campaign that challenged Barbadians’ natural predilection for change, no doubt bolstered by an intensive media presence over the past three weeks.

On the other hand, a new and re-energized Democratic Labour Party is at its closest taste of victory. Its solid performance in opinion polls and its mainstreaming of accountability, transparency, poverty eradication and democracy struck a chord with a number of undecided voters, causing this election to be inevitably too close to call.

Pollsters have predicted opposing victories while electors are taking no chances and turning out in record numbers. Barbados is witnessing a turning-point where it is widely recognized that the times ahead are hard, and our future depends on competent governance.

Today could be either party’s day for victory, but regardless of the outcome we believe that the voice of Barbadians who spoke so convincingly today will now play a greater role in shaping the quality of our leadership and governance. The wide public sentiment which has risen behind issues such as accountability and transparency will not easily die after tonight, as Barbadians continue to demand such from their elected officials.

What remains left to be seen however is whether the strong party support which we witnessed over the past few weeks will now take a backseat to what should be our first and only loyalty - loyalty to Barbados and the needs of the Barbadian people.

After nearly fifteen years of unbroken rule and the near-absolute power granted to him under our Westminster system, Prime Minister Arthur and his supporters appear to be under the impression that he is the Messiah, nay, the Jesus Christ of Boscobelle, St. Peter.

One only needs to take a cursory look at the ruling party’s campaign leading up to January 15th’s general elections to appreciate the gravity of these messianic themes. Whether it is that we are being told daily to “trust Owen with our future”, or hear him being welcomed in hymn to the strains of ”You Raise Me Up”, Arthur’s aura has been cunningly morphed into one deserving of reverential praise, submission and worship. Indeed, he has even taken to mimicking the original Jesus Christ, telling his audience in St. Peter “…I go to prepare a place for you, and I will come again to take you unto myself, that where I am, there you shall be also” (Barbados Nation, and ironically, John 14:3), to throngs of praise from his captive audience.

We should all be wary of this type of politics, whether it be poetic license or sinister sacrilege. People are not beholden to the Prime Minister; in fact, the converse is theoretically true. Arthur cannot have his cake and eat it. One cannot be the same ‘poor humble boy from Boscobelle’ in one breath and in another, the worshipped Messiah of Barbados. Lest he forgets, the original Messiah was rejected by his people and crucified among criminals. Arthur would do well not to follow too closely in His footsteps.

The Project Manager has taken the decision to postpone the Bajan Dream Project indefinitely.

As many of you would be aware, the Project began a recruitment drive in June 2007, seeking a new executive team to attend to the project management, financial and fund raising roles of the new NGO. The project’s model was also completely revamped to shift from its ‘charitable’ focus to a more ‘development-centred’ intervention, which would offer a basket of social services geared towards self-help and poverty alleviation.

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