BASSETERRE, St. Kitts – PRESIDENT of the St. Kitts and Nevis Chamber of Industry and Commerce (CIC), Damion Hobson said that in recent years Non-Tax revenue has been the single largest contributor to the Federal’s Treasury.
He was at the time delivering welcome remarks, on behalf of the CIC, to the attendees of the inaugural IPSA International Conference on the Citizenship by Investment (CBI) Programme held yesterday (Jun. 15) at the Ocean Terrace Inn.
“The experience here in St. Kitts and Nevis is truly a casebook study. For instance, when one examines the Fiscal Accounts, as reported by our Federal Government, it would reveal that since 2010, Non-Tax revenue has become the single largest contributor to the treasury.
“For example, in 2014, just last year, this portfolio brought in EC$414.73 million; in 2013, EC$391.49 million; and in 2012, $245.61 million.”
Hobson pointed out that the CBI Programme is the prime impetus for the upsurge in large scale foreign direct investments that have blossomed across the Federation, while noting that it has revitalised the construction sector in both islands and provided employment for hundreds.
“This new injection of funds to the treasury has bolstered the revenue streams of the government, enabling it to be more proactive and generous in the provision of numerous social programs and infrastructural improvements. But, what has been even more encouraging is the positive impact on existing enterprises involved in varied retail and wholesale activities,” he posited.
From that backdrop, Hobson said it is obvious that the CBI Programme is a model that could work but it needs fixing.
The Chamber’s top Executive is adamant that the programme is in need of greater transparency and that on numerous occasions his organisation was calling for its implementation.
“...We are reminded that the partners in the present government, while in opposition, up to four months ago, also advocated for a new openness,” he added.
Hobson declared that the CIC is convinced that a “home-grown” Caribbean solution, with the assistance and collaboration of experienced extra-regional agencies and friendly governments, is the best option to structure a new paradigm that is anchored in greater transparency, accountability and professionalism.
In addition to St. Kitts and Nevis, the CBI Programme is being embraced by Dominica, Grenada, and Antigua and Barbuda.
He stated that the CIC welcomes the historic conference under the theme “Transformational Leadership: Efficiency and Good Governance” and proclaimed that the event “places us at the milestone of a new beginning and an opportunity that we ought to accept within the context of our own national realities and vision for growth and development throughout our entire region”.
Hobson however advised that in order for stakeholders to safeguard that future to which they are all committed, they must also engage in internal and critical analysis designed to strengthen their CBI Programmes and protect them from external threats that could only close the new fiscal space that the CBIPs deliver.
He proclaimed that the search for new answers to bolster the CBI Programmes in the Caribbean could be better served with the private sector’s participation during the two-day discussion, and indicated that his organisation is “ready and willing to assist government in finding the right solutions”.
Earlier in his welcome address, Hobson explained that unlike other countries which are blessed with natural resources of gold, diamonds and oil, St. Kitts and Nevis relies heavily on its two greatest assets...its natural beauty and its resourceful people.
“We are convinced that these two natural resources have largely been the influential factor for so many new citizens who have embraced the opportunities provided in our 31-year-old Citizenship-by-Investment Programme.
Hobson was high in praise of the Programme and noted that it has not only boosted the Federation’s revenue, but it is also a model for other countries in the region.
“The options to invest or to contribute to a fund that is designed to guide our new pathway for a more diversified economy have not only delivered hundreds of millions of dollars in much needed revenue, but the CBI has become a model adopted by sister Caribbean states.”
Hobson intoned that the objectives of the two-day conference would be better served if the deliberations were allowed to flow in an atmosphere of frank and open examination of the harmful steps taken in the past. “We encourage you to use this opportunity to identify the central issues that have inspected the programmes in each nation state.”
In addition to Prime Minister Dr. the Hon. Timothy Harris and most members of his Cabinet, among those present were the Prime Minister of Antigua and Barbuda, the Hon. Gaston Browne; Premier of Nevis, the Hon. Vance Amory; representatives of Dominica, Canada, USA, European Union and the IMF.
The Citizenship-by-Investment Programme in St. Kitts and Nevis is said to be the longest established economic citizenship programme in the world, having been in existence since 1984.
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