Economy at stake, health system can’t withstand severe outbreak – officials

Two key figures in the economy, in government and business have jointly urged a solution to the question of mandatory vaccines and tackling the COVID-19 pandemic, saying the tourism-dependent country stands to lose millions of dollars in revenue as the main money-earner continues to struggle while the issue remains unresolved.

Senior Economic Advisor to the Government Dr Kevin Greenidge and Chairman of the Barbados Private Sector Association (BPSA) Edward Clarke made their case at the fourth and final town hall meeting on vaccinations and testing, held on Wednesday at the Combermere School.

Dr Greenidge said Barbados was able to manage and survive the significant impact of the COVID-19 pandemic in 2020 because of the work that was done to improve economic activity prior to that year. But he advised that because of where the economy is now, Government cannot afford to provide unemployment benefits and other assistance to those who have lost jobs.

He warned: “Collectively, if we don’t find a solution – that means that we keep the COVID levels down – it means we will not get this economy starting to recover in this year.

“USA is expected to grow by five and a half per cent this year even though Florida [has] one of the highest outbreaks in the world, but we are so small that we don’t have that luxury. In terms of getting another outbreak, we can’t manage it. Another shutdown, we can’t handle it, we don’t have the financial resources.

“Whether vaccinated or unvaccinated, we all have to do what we have to do at the individual level to ensure that we protect ourselves and we protect those around us, so that we don’t get another outbreak, so that we can get this country back on track. If you are unvaccinated, you are wearing your masks, you are doing your protocols, everybody has to do their part, that’s my point. The big picture is that we have a lot to lose if we don’t get this act together,” Dr Greenidge added.

The economist issued a reminder that Barbados has one of the highest tourism dependencies in the world with the industry responsible for 40 per cent of economic activity and employment.

“Over 50 per cent of the foreign reserves we get from taxi operators comes from tourism. So, when other countries can delay this decision, we can’t because we know that any outbreak or pickup in COVID affects tourism and affects the well-being of us. It is a fact. We don’t need to look to anybody for this. In 2020, when COVID hit us, our economy collapsed by almost 18 percent. We lost $2 billion in economic activity,” he said.

“In perspective, between 2008 and 2017 we grew about $500 million. Losing $2 billion is one of the largest declines in economic history in our country. We used to get about 16, 17 thousand people working in hotels and restaurants, we have about 4 000 working. Unemployment went through the roof; that’s the facts.”

He further noted that after Barbados was hit with another COVID-19 outbreak in December, the country lost $500 million in the first quarter. He said there was some stability in the second quarter of the financial year but that was interrupted by April’s ashfall from the erupting La Soufriere volcano in neighbouring St Vincent and the Grenadines.

Clarke, meantime, said the private sector holds the view that the country’s health care system is not equipped to manage 500 cases of COVID-19 cases a day as is being experienced by developed nations which are battling the Delta variant.

The BPSA chairman said: “This country would be destroyed in a matter of weeks, economically, employment-wise, lives will be lost. I am not a medical professional, but to me it is quite clear what will happen to Barbados. We in the private sector feel strongly that we need to prevent that from happening.

“It is therefore why we suggested that we should have mandatory vaccines, or mandatory testing, or both if we have to. We have agreed with the Prime Minister and members of the social partnership to come to these meetings and to listen to the wider public. We have listened and we understand everybody has a choice to make. Our opinion is not going to be everyone’s opinion or agreement, and that is clear.

“This is a democracy and we all have an opinion and we are willing to share and disagree. But that is why we felt that testing should be mandated, and especially in critical positions on the frontline across Barbados. Our island simply cannot sustain a wide outbreak of COVID at this time or at any time,” Clarke insisted.

Acting Prime Minister Santia Bradshaw, delivering remarks at the event, indicated that Prime Minister Mia Mottley would be back on the job on Thursday and intends to speak to the country about the issue of mandatory vaccines.
(anestahenry@barbadostoday.bb)