#BTColumn – An economic overhaul (Part 2)

Disclaimer: The views and opinions expressed by this author are their own and do not represent the official position of the Barbados Today Inc.

by Guy Hewitt

I am in the process of assembling a team to chart, through a consultative process, a path to prosperity back to the Barbados that was recognised globally for punching above its weight. With the right leadership, the right team, and the right approach we can again look forward to a growing, opportunity-rich economy and a stable, secure society with a strong, growing middle class, where it doesn’t matter who you are or where you came from.

My mandate to the team will be twofold: the first goal, through consultation, is to formulate and execute an economic growth strategy that puts our economy on a rapid growth trajectory by an average of at least five per cent annually over the next ten years.

This will require us to critically evaluate and revamp the unique selling propositions of our tourism and international business and financial services sectors so that they can continue to be drivers in our quest for further growth and expansion.

At the same time, we can no longer postpone targeting the rapid diversification of our economy in the areas of agriculture, alternative energy, biotechnology, FinTech and digital technologies, education services, health services, and wealth management.

We need to considerably improve our tourism product to reposition ourselves as the most desired regional destination with longer stays and higher spend per stay. But this will only be possible if we get the top hotel chains in, train our people to world-class standards, and get security right; no one wants to vacation in a crime-ridden country.

There is a lot to be done and it starts with recognising both our strengths and weaknesses in terms of why Barbados? After the ‘little thought, big blunder’, we are yet to come up with a marketing slogan and as I write, one of Barbados’ best, lost industry assets is repositioning Grenada as the culinary capital of the world.

The other large contributor to GDP is the international business and financial services sector which is similarly under threat. We urgently require a small, knowledgeable, effective team to focus on this sector.

We must target our largest partner Canada with an onsite team led by a competent, resident high commissioner. We also need to aggressively pursue agreements, treaties with the resource rich African nations (there is a reason why China and Europe are investing heavily in the continent). We can do it. Yes, we can.

We need to strengthen what we have but equally important, we need to diversify – we need to do more that plays to our strengths. We need to approach the agricultural sector from two angles: First, to make sure that we are more self-sufficient when it comes to food – this will be a clear priority for me.

I will provide the support and incentives for farmers including biting legislation to combat praedial larceny, encouraging large and small-scale farmers; Second, I want us to diversity this sector also for inter-industry linkages, and for export to generate foreign currency.

With limited space for the accompanying economies of scale, we need to focus on developing Bajan (value added) brands with ingredients grown on our soil that can be positioned and sold globally: rum is one such example. We should be producing all major inputs locally.

We need to replicate this multiple times! And underlying the above, we need to improve efficiency in this sector, make use of more modern technology to increase the long-term survivability of the industry. This is more challenging, but we are Barbadians; in the past we have risen to the challenge and can do so again.

We can position Barbados as a globally desirable location to live and reside for multiple generations of our diaspora to expand our tax and social insurance contribution pool. At the same time, we must provide opportunities for migration and retooling for our lower skilled workers and for high net worth individuals to make our island paradise home.

To support this Barbados would also need to be a premium destination for medical and health services. Again, huge potential with great leveraging effects for the economy if well thought through and executed. Similarly, the education services industry is potentially huge.

Barbados has been renowned as a premium education destination which has huge potential with great leveraging effects for the economy if well thought through and executed.

The current failing in our economic policy framework is costing us more than jobs in our key sectors; it has weakened our ‘upward and onward’ spirit and eroded our optimism about the future. We must rally now to take a quantum leap that rebuilds our national psyche as well as our economic prosperity. May the Lord continue to be the people’s guide.

Guy Hewitt, former high commissioner and chair of the QEH board of management, is a candidate for President of the DLP. He has dedicated his life to the service of God and country and can be contacted at guyhewitt@gmail.com