OECS finance ministers meet to discuss impact of financial crisis

Finance Ministers from the Organisation of Eastern Caribbean States (OECS) are meeting in Dominica Friday to discuss the impact of the global economic crisis on their economies.

Host Prime Minister Roosevelt Skerrit, who is also the island's Finance Minister, is chairing the 65th meeting of the Eastern Caribbean Central Bank’s (ECCB) Monetary Council.

“We will be hearing from the various countries as to how they have been able to cope with the crisis," Skerrit told reporters ahead of the meeting.

The regional central bank has assisted in the development of an eight-point stabilization and growth program for the region as part of its efforts to deal with the crisis.

It includes:

• fiscal reform
• debt management
• public sector investment
• social safety nets
• an amalgamation of indigenous commercial banks
• the rationalization, development and regulation of the insurance sector

According to the bank's governor, Sir Dwight Venner, “One can only believe that, in these times of great uncertainty, the challenges faced will bring out the best in our people. We need stability, fortitude, unity and a strong sense of purpose to see us through these difficulties.”

Skerrit said that the plans to regulate the financial service in the eastern Caribbean which is of particular importance because of the problems that led to the Trinidad and Tobago government's bailout and takeover of the CL conglomerate.

Skerrit said “tremendous progress” has been made in dealing with the financial fallout from that, including problems associated with British American, one of the companies of the CL Financial Group operating in the sub-region.

“While the governments have no responsibility to the liability of British America, we are seeking to do everything within our own powers as governments of the monetary union to ensure that we can save the investments of the depositors as far as practically possible.

“We have made tremendous progress and we will continue to discuss this matter on Friday as well as the present world economic crisis,” he added.

The one-day meeting will also receive the Governor’s report on monetary and credit conditions and will provide directives and guidelines to the ECCB as mandated by the 1983 accord that governs the operations of the financial institution.

The OECS groups the islands of Antigua and Barbuda, Dominica, Grenada, St. Lucia, St. Vincent and the Grenadines, Montserrat, St. Kitts and Nevis, Anguilla and the British Virgin Islands.