Nevis assesses US economic crisis impact at 2nd National Consultation
Parry, Finance Secretary say sustained measures already in place
By Pauline Waruguru
Nevis Reporter-SKNVibes.com
CHARLESTOWN, Nevis - THE Nevis Island Administration (NIA) held its Second Annual Consultation on the Economy yesterday, which resulted in a consensus among speakers that Nevis has worked ahead of time and put necessary economic measures in place to combat the impact of US economic crisis on the island.
Nevis’ Premier and also the Minister of Finance, the Hon. Joseph Parry, and his Permanent Secretary are confident that the conducive environment already created and the current private sector investments would go a long way to economically balance out the island in the face of the current global economic crisis.
The Permanent Secretary, Laurie Lawrence, whose office organised and hosted the well attended consultation said in his address: “Despite the many challenges, I can see a light at the end of the tunnel.
The Premier has been very active in promoting private sector investments…not willing to leave this important function entirely in the hands of bureaucrats.
Consequently, we have tremendous progress with water exploration, geothermal energy and the establishment of a high quality 
call centre. He has also created great excitement in the tourism industry, and we are poised for greater investments in hotel development despite the challenges global economy.”
Premier Parry however admitted that the tourism sector would experience a major slump on the island. “The upcoming tourism season will not be as robust as the last. I am aware that the leading hoteliers have already taken the necessary steps to ride out a moderate season.”
The Premier said he had dialogued with hotel owners about the impact of US crisis on the expected decline of tourists’ arrivals and they had assured him that they were determined to hold their working force.
Parry predicted that income levels that hotel workers are accustomed to may fall and called on Nevisians to tighten their belts.
The Premier said the expected slump in the tourism industry would be cushioned by the boom being experienced in the construction industry.
“Four Seasons Estates continues its construction programmers. Paradise Palms, Live Nevis, which are villa projects, have assured us that present financial crisis will not affect them and local entrepreneurs and home builders continue to access credit locally.
“This government also continues to work with a number of investors to commence hotel construction in 2009. We have every assurance that local labour and contractors shall receive first consideration. In fact, some of them have already been contacted. Therefore, I anticipate the ongoing expansion in the construction industry,” he said.
He said despite a major economic slum in major economies such as USA, the newly established Brown Hill Communications Centre had employed 80 persons since June. He Parry noted that the company would by December 2008 employ 100 persons.
“It has done a fantastic job in absorbing a high percentage of school leavers into the work place,” Parry said and added that he does not foresee any serious unemployment problems in the near future.
While it was in the NIA’s interest to put an end to subsidies by empowering Nevisians economically in the long run, the Premier said his Administration, in conjunction with the Federal Government, would continue to subsidise the cost of domestic gas, milk, flour and animal feed. Custom duty is usually waived for a basket of basic foods.
The Premier said the salaries and wages of government workers were last year increased by five percent, followed by an additional seven percent in September retroactive to January 2008.
Parry called on Nevisians to pay their water dues and taxes at Inland Revenue on time and he also stressed the importance of paying customs duties.
The Second Annual Consultation on the Economy theme was “Facing the Challenges of a Small Nation State through the Innovative use of Limited Resources”.
