Challenges and Opportunities
Banking and Finance
51. Mr. Speaker, this Government recognizes the importance of a strong financial system that performs a vital role in driving economic development. We are therefore pleased with the strong position of the domestic banking system. As at December 2014, Total Assets held by the commercial banks was $6.7 billion, an increase of 11.7% when compared to the same period in 2013. Deposits also increased totaling $4.8 billion, an increase of 12.5% when compared to the previous period. However, Loans and Advances decreased by 6.4% to $1.7 billion when compared to 2013.
52. We are aware that while our domestic Banking Sector remains in very good standing, there are challenges facing the wider banking system of the Eastern Caribbean Currency Union (ECCU). The Government is committed to ensuring that the banking system remains stable and financing is available for transacting various forms of legitimate business. In this regard, we have been proactive in ensuring that the new Banking Act (2015) was passed as a matter of priority soon after taking office. The new Banking Act seeks to mitigate the major threats to the ECCU financial system and to ensure that the system remains strong and resilient. I am pleased to report that all sovereign States in the ECCU have passed the new Banking Act. In the aftermath of the global financial crisis, we now operate in a different world especially in terms of finance and banking. The Eastern Caribbean Central Bank (ECCB) has therefore devised a comprehensive strategy to address the structural deficiencies in the ECCU financial system. This strategy includes: (i) measures to stabilise intervened banks in Anguilla and Antigua and Barbuda; (ii) legislative reforms; (iii) enhancing financial safety nets; and (iv) considerations for amalgamation of the national banking sector in the Currency Union. The Government will therefore remain engaged with the ECCB and help to guide the deliberations of the Monetary Council on these very important reforms in the Financial Sector.
International Standard for Automatic Exchange of Information
53. Mr. Speaker, based on a mandate from G20 members, the new thrust of the Organization for Economic Cooperation and Development’s (OECD’s) Global Forum on Transparency and Exchange of Information for Tax Purposes is automatic exchange of financial account information. The United States of America (USA) led the way with its requirement to exchange information automatically through the implementation of its Foreign Account Tax Compliance Act (FATCA), albeit that the USA has not agreed to reciprocal exchanges with all jurisdictions with which it has an Inter-Governmental Agreement. As of October 2015, 97 jurisdictions, including St. Kitts and Nevis, have committed to implementing the new international standard for automatic exchange of information. The new standard is called the Common Reporting Standard (CRS) but, unlike FATCA, is reciprocal in all cases. A group of 56 countries, referred to as the Early Adopters, will implement the CRS by 2017 while 41 other jurisdictions, St. Kitts and Nevis included, will commence the automatic exchange of information in 2018. In order for the Federation to implement the CRS within the committed timeframe, a number of steps will have to be taken including the passage of the requisite legislation within the first half of 2016. The Global Forum Secretariat is assisting with the drafting of the legislation which will be brought to this Honourable House after consultation with the relevant stakeholders.
54. In our attempt to ensure that there is an understanding of the CRS, the Government arranged for representatives from the Global Forum Secretariat to meet with a cross section of the financial industry in October of this year to give an overview of the CRS and to advise of some of the policy choices that would have to be made. Further consultations will be arranged during the upcoming year as we endeavour to ensure that both the Government and the financial industry are adequately prepared to implement the new standard. It is our desire that we not only play our part in the global thrust to fight tax evasion but that we address emerging issues in the international arena in a proactive way thus providing no excuse for Developed Countries to sully the name of our beloved Federation through the inclusion of our country’s name on their blacklists or through issuance of further advisories. Our Federation’s name has been sullied enough. Thankfully, on 16th February 2015 our people delivered us from that road to Damascus.
55. In June of this year, St. Kitts and Nevis was among 30 jurisdictions that were named by the European Union (EU) Commission as being non-cooperative jurisdictions that were featured on the national lists of at least 10 EU member states as of December 2014. The EU listing was formulated despite the fact that a number of listed jurisdictions’, including St. Kitts and Nevis’, legal and regulatory frameworks and implementation of the international standard for exchange of information were assessed by the Global Forum and were rated as being either Fully or Largely Compliant. Most of the countries that were listed by the EU Commission had also committed to the implementation of the new standard for automatic exchange of information. Both the OECD and the Global Forum Secretariat spoke out about this listing noting that the only agreeable assessment of countries’ cooperation is made by the Global Forum. This matter was also discussed in depth at the recently held Global Forum Plenary meeting as it is recognized that such listings could have a major negative impact on the economies of countries that are considered to be Financial Centres. It has since been determined that the list was erroneous and the EU Commission has subsequently updated its website. One country, Estonia, on whose list the name of St. Kitts and Nevis appeared, has since removed all jurisdictions from its national list. We continue to engage the other countries that have named us on their national lists with a view to the removal of our name from such lists. On the margins of COP21, I met with the Deputy Secretary General of the OECD, Mr. Douglas Frantz, and encouraged the OECD to do more to ensure that the EU Member States respect the legitimacy of the Global Forum as the only international body charged with evaluating tax cooperation by countries.
MAJOR PROGRAMMES AND POLICIES
BUILDNG SOCIAL CAPITAL
Social Development
56. Mr. Speaker, improving the wellbeing of our most vulnerable citizens is a moral and constitutional obligation of my Team Unity Government. Improving the lives of Kittitians and Nevisians for the better is the cornerstone of our social development and poverty reduction efforts. In reflecting on our Fresh Start and Prosperity Agenda, I am reminiscent of Ashley Montagu’s mantra which states that “By virtue of being born to humanity, every human being has a right to the development and fulfillment of his/her potentialities”. Therefore, as we pursue our vision for sustained socio-economic development in St. Kitts and Nevis, it is imperative that we ensure that the most vulnerable families and individuals among us are assisted to elevate themselves from the grip of intergenerational poverty. We have a duty to help our most vulnerable citizens to achieve their individual life goals and maximize their potential as productive contributors to nation building. Our vision would be realized with the successful modification and execution of several ongoing social protection interventions spearheaded by the Ministry of Community Development, Gender Affairs and Social Development during 2016. These include the following: (i) the establishment of the National Single Household Registry; (ii) the completion of the work to develop an appropriate Proxy Means Test to objectively target the most vulnerable families and individuals; (iii) the development of a Management Information System (MIS) to effectively manage data; and (iv) the expansion of the Mold, Empower, Nurture and Direct (MEND) Families Programme from 21 families in 2015 to coverage of 42 families in 2016.
57. Mr. Speaker, this Government will strive to create an enabling environment that promotes and protects the rights of all vulnerable groups including women, children, the elderly, and persons living with disabilities. To achieve this goal, it is imperative that synergies are created to ensure the implementation of the Child Protection Protocol and the Gender Based Violence Protocol which provide systematic guidelines and procedures for addressing incidences of child abuse and gender-related mistreatment respectively. Capacity building exercises will be undertaken in 2016 to appropriately equip key implementing agencies to execute their duties in an efficient and professional manner. As part of our commitment to protect and promote the inherent dignity, worth and the inalienable rights of our differently-abled citizens and residents, steps will be undertaken to facilitate the ratification of the United Nations Convention on the Rights of Persons Living with Disabilities in 2016. During my outreach efforts as leader of Team Unity, I met with Mr. Anthony Mills of the St. Kitts and Nevis Association for People with Disabilities. He reported that adoption of the Convention was critical and he lamented the non-action on this matter by the former regime. The leadership of the Ministry of Community Development, Gender Affairs and Social Services is cognizant of the importance of ratification and implementation of this most meaningful Convention. It will ensure that attention is given to these individuals and open new avenues for them to effectively contribute to the social and economic advancement of our society without undue discrimination on the basis of physical disability. It is time for a fresh start. A citizen is a citizen and our differently abled citizens must no longer be treated as outcasts.
Skills Development and Human Capital Expansion
58. Mr. Speaker, this Team Unity Government is a firm believer that there is always room for improvement in our approaches to the development of the Education Sector. In light of the three years of troubles experienced by teachers, students and parents of the Basseterre High School, my Team Unity Government is committed to giving the school a Fresh Start with the construction of new facilities. This commitment we hold sacred and therefore we have proposed an allocation of $10 million to initiate the construction of the new school in 2016.
59. Additionally, one of our main objectives over the next three years would be to review our approach to Technical Vocational Education and Training (TVET) and the establishment of appropriate qualification standards. These are important initiatives for building capacity, promoting seamless educational and higher advancement, and ensuring that our nationals remain competitive amongst their regional and international counterparts. We have started some work in this regard in 2015 and to date the Ministry of Education with the support of the European Union (EU) has developed and approved an integrated, internationally comparable credit and standards-based National Qualifications Framework (NQF). The new framework has been long in coming to fruition. It is tailored to meet the needs of our education system and the ongoing demands of the labour force. The NQF represents the consolidation of the education and training qualifications under a single framework that establishes clear learning and career paths thereby making it less challenging for learners to enter and progress both horizontally and vertically within the education system and advance in the workplace. Work has also commenced on the establishment of quality assurance policies, procedures and guidelines to support the efficient and effective implementation of the NQF beginning in 2016. An implementation plan and communication strategy will also be developed to guide its system wide implementation over the next five (5) years.
60. Coupled with the achievement of this crucial milestone, the Ministry of Education facilitated the attainment of Level One Caribbean Vocational Qualifications (CVQs) which is designed to equip candidates with entry-level skills to enter the labour force. Notwithstanding this progressive step, it is insufficient in preparing trainees to perform with the level of competence to satisfy our local and regional labour market conditions. Efforts have also been channeled towards facilitating the readiness of TVET institutions to provide demand-driven Level Two training. This would help to improve the competitiveness of our workers as entry-level workers are prepared to become supervised skilled workers. To advance this objective, the Government partnered with the EU to recruit the services of the HEART Trust National Training Agency (NTA) in Jamaica to execute the instructional and practicum components of the training for education professionals which has resulted in the award of certifications in Assessment and Verification training in order to facilitate the delivery of Level Two CVQ skills training in key areas such as hospitality and construction.
61. Mr. Speaker, as we consider the issue of skills development and human capital expansion we must consider the current situation of the People Employment Programme (PEP). There is no doubt in our minds that this Programme needs a fresh start if it is to continue to make a sustained and meaningful impact on the lives of participants and the society at large. The most recent statistics indicate that there are 2,680 persons registered under the PEP, 2,380 on St. Kitts and 300 on Nevis. The data revealed that these individuals are deployed in both the Public and Private Sectors, with 1,625 persons working at various Government Entities and 1,055 individuals working in 380 private enterprises across the Federation. The participating businesses cover a wide range of activities including construction, law, cleaning, retail, child care, farming and manufacturing.
62. Mr. Speaker, Team Unity was one of the first to observe and sound the alarm that the current programme is unsustainable. Therefore, to continue to yield the intended benefits of a Programme like the PEP, we need a fresh start. We have started along a credible path to refocus the Programme, with the establishment of a new Oversight Team, in October 2015, to lead the reform process. The Team comprises of representatives from the key Federal Government agencies, the Nevis Island Administration, the Private Sector, and the youth. In 2016, the plans for reforming the PEP will be finalized and implementation initiated. We have already started a process of consultation on two fronts one with the business representatives, mainly the Chamber of Industry and Commerce, and the other with two important Development Partners, the Caribbean Development Bank (CDB) and the International Monetary Fund (IMF). The initial assessment done by the CDB indicated that as at July 2015, the skills training and entrepreneurship component of the PEP only involved 130 participants. This is an indictment on those who engaged in an election act of profligacy which to date has cost the country over $160 million. Some trainees have been in the Programme for over two and a half years without any certification. Importantly, many are being exploited. PEP was not a blessing. The CDB preliminary report has provided the impetus for us to design a more comprehensive technical assistance initiative to facilitate a full assessment of the Programme during the first half of 2016. Therefore, with the support of the CDB and the IMF we will continue the review of the PEP in order to determine the way forward for its restructuring into a responsive, viable, sustainable and cost effective Programme that provides value for money.
63. We want to commend several businesses which as a result of our intervention have acted to bring some of the PEP workers on to their permanent work force, thereby upgrading their status and relieving the burden on the State. We urge the Chamber of Industry and Commerce to continue to partner with the Government to ensure that those persons who are working in the various establishments, particularly those working in excess of two (2) years, are seriously considered for permanent employment.
Health Care
64. Mr. Speaker, my Team Unity Government is committed to ensuring that our citizens are provided the most cost-effective access to quality health care. We live in an environment where the high cost of health care can have devastating effects on the financial stability of both individuals and families. The reality is that this continues to be the plight for many of our citizens particularly those who suffer the pains of major illnesses. Our Fresh Start and Prosperity Agenda includes quality health care for all. Our immediate plans for the health sector involve improvements to existing services and diversification of services while providing compassionate care. We are also excited about the prospects for the evolution of the Health Sector to be used as a viable base to support economic growth and development. We will explore the possibilities for expanding health and wellness services in the not too distant future.
65. In 2016, we will introduce new oncology services through the creation and resourcing of an Oncology Unit at the Joseph N. France General Hospital. This would be pursued as a means of addressing the plight of an increasing number of citizens who fall prey to cancer. The financial burden of caring for cancer patients is overwhelming for many of our citizens who are forced to travel overseas to seek treatment. Even those who are fortunate to have insurance run the risk of exhausting their life savings and that of their families. It is fortunate for us that, at this time we were able to form a synergistic partnership with the OECS Eastern Caribbean Cancer Centre which was opened in our neighbouring state, Antigua and Barbuda in June of this year. Further, in an effort to reduce the cost of health care in the Federation, this Government remains committed to the implementation of a National Health Insurance Scheme. We have established the Commission for Universal Health Care which will oversee the work required to complete preparations for the implementation of the Scheme and the efficient delivery of this important service to our people. Our Ministers with portfolio responsibilities for health will elaborate on these critical positive developments and more.
66. As part of our holistic approach to improving health care delivery, significant resources have been allocated to the construction of a Mental Health Day Treatment Centre that is currently under construction in Lime Kiln, Basseterre. This important initiative was designed in collaboration with the CDB under the Basic Needs Trust Fund (BNTF) to provide effective treatment to individuals who have been diagnosed with mental illnesses. The underlying objective of this timely intervention is to optimize independent living skills and offer treatment in areas of drug intervention, personal care and hygiene, and occupational therapy and skills development within a therapeutic environment. These efforts will fulfill our commitment to protecting the rights of mentally ill persons who usually struggle with stigma and discrimination. The new approach would enable those affected to fulfill their potential and preserve their dignity as human beings and as valued members of our society. In order to ensure that residents are treated with the utmost respect and dignity, resources will be provided to build the capacity of medical personnel and auxiliary staff who would be engaged in the daily management and operation of the facility. We are proud of the progress achieved to date and eagerly look forward to the completion and operationalization of this facility in 2016. To those who longed wish for such a facility, Team Unity is pleased to usher in this new Centre.
Housing and Human Settlements
67. Mr. Speaker, permit me to share at this point some interesting developments as they relate to housing construction and human settlements. We are committed to providing affordable houses in 2016. As part of our Fresh Start and Prosperity Agenda, the services of the NHC have been enlisted to spearhead the implementation of a housing assistance programme targeted at the most vulnerable in our society including the elderly and individuals living in poverty. Through this initiative, persons may access a $10,000 grant to improve their living conditions through the upgrade of their homes. Special emphasis is being placed on the removal of pit latrines wherever they still exist in our communities. Team Unity is determined that these types of facilities should be a thing of the past in a modern St. Kitts and Nevis. I am pleased to report that, that programme is supported by a strong community spirit through volunteerism where a number of persons provide labour and, in some instances, building materials at their own cost to complete the renovations in several instances. To date, nine (9) applications have been approved for the Cayon, Keys and Conaree communities and work has commenced. Continuing in 2016, this Government intends to expand the programme to all eight (8) constituencies on St. Kitts.
68. In addition, this Government is taking steps to revamp the existing housing schemes at NHC and decrease the number of non-performing land loans. Investigations of complaints by homeowners have revealed structural deficiencies in some properties. We will take the construction of homes under the Corporation in a new direction through the use of new and improved architectural designs and improved standards while maintaining their affordability. Some of these changes will include the requirement that no room in the homes provided by the NHC should be less than 12 feet by 12 feet in size and that the wastage on roofing material be minimized through the use of more sustainable and durable alternatives. To advance this process, the Team Unity Government commenced discussions with the three (3) major building material suppliers to negotiate an affordable rate for bulk purchases of building materials. Naturally, this would help to reduce the cost of construction and enable the NHC to possibly offer cheaper mortgage rates and or generate resources to expand the housing programmes. The negotiations should be completed by March of next year to facilitate the start of construction on the improved, spacious and affordable homes.
69. Complementary actions have been taken by allowing an amnesty period on arrears to all recipients of land through NHC or any other Government Agency. The amnesty programme provides for the waiver of interest for persons who complete payment on the principal value of the land before 31st December 2015. This makes it possible for prospective land owners to complete payment for their land while allowing them to save the amounts that would be otherwise paid as interest. The savings in turn can be used by the proud land owner to fast track the construction of a home.
Safety and Security
70. Mr. Speaker, of paramount concern to the Team Unity Administration is the safety and security of the people of St. Kitts and Nevis. The people of this country must feel free and unencumbered in their daily lives and business endeavours. This Government will spare no effort in ensuring that there is a safe and secure environment in which all can prosper. Equally important is for our security forces who are charged with the responsibility of keeping us safe to know that they are strongly supported in performing their duty to serve and protect. Upon taking office, the Team Unity Government, in accordance with its vision for a holistic approach to safety and security, re-established the Ministry of National Security. As simple as it may seem to some persons, this move has allowed for the consolidation of resources and management of the various arms of the national security apparatus namely, the Royal St. Christopher and Nevis Police Force (RSCNPF), the St. Kitts and Nevis Defense Force (SKNDF) and the St. Kitts and Nevis Fire and Rescue Services, along with the related ancillary services of Her Majesty’s Prison, Immigration Department, National Emergency Management Agency (NEMA) and the National Drug Council. The new configuration of the Ministry of National Security provides for greater synergies and formulation of comprehensive strategies in addressing national security issues inclusive of relevant changes in regard to criminal justice reform.
71. Despite the challenging crime environment, this Team Unity Government will not waiver and will continue to vigorously pursue strategies to reduce the incidence of violent crime in the Federation. During 2015, the RSCNPF launched a Six Point Plan of Action with the main objective of enhancing public safety and security within the Federation. This Plan outlines focused activities in Crime Prevention, Intelligence Led Policing, Targeted Policing Operations, Engagement of Stakeholders, Collaboration with other Agencies, and Continuous Improvement and Administration. As a result of the proactive and intense efforts of the joint security forces in the execution of this Plan, I am pleased to report that major crimes declined by 14.3% during the period January to November 2015 when compared to the same period in 2014. This Team Unity Government by no means view this as mission accomplished but a positive indicator of what can be achieved by the consistent and focused implementation of the Six Point Plan of Action. The Action Plan is only one part of a comprehensive Strategic Plan that has been developed for implementation over the period 2016-2018. The Strategy would facilitate the transformation of the Security Sector from a legislative, social and institutional perspective. There are also plans in place for improving service delivery in the Police Force. We have re-established the Criminal Justice Strategic Board, including all of its subsidiary committees. Proposals for the establishment of the National Crimes Commission and the St. Kitts and Nevis Defense Council have already been approved by the Cabinet of Ministers and will be activated in 2016.
72. Mr. Speaker, ongoing development of our security personnel is vital to achieving the development objectives of the Government. As such, we have invested in attracting credible technical expertise through the contracting of Bramshill Policing Advisers, a United Kingdom (UK) based company comprised of highly trained former police officers. Over the past six (6) months these consultants have worked closely with the Violent Crimes Unit providing assistance in Crime Scene Investigations, executing intensive training in investigative techniques and assisting the Police Force and the Ministry of National Security in the elaboration of strategic initiatives to improve the criminal justice system. The assistance provided by these experts has proven vital in the achievement of key milestones to date and with the support of our development partner, the Republic of China (Taiwan), we will be able to benefit from their knowledge and skills for an additional six (6) months in 2016. This technical support will complement the move to implement the recommendations outlined by the experts recruited under the 10th European Development Fund (EDF) Safety and Security Improvement Programme (SSIP). The wide ranging reforms outlined in the various documents that were developed over the last several months would be instrumental in addressing issues related to transparency in promotions and transfers, job descriptions and related Performance Development Reviews (PDRs), greater accountability of officers, and general motivation of staff and measures to improve morale.
73. This Team Unity Government recognizes that crimes committed through the use of firearms remain a challenge which is greatly exacerbated by the reluctance of witnesses to come forward to provide evidence. As a result, witness protection has become a very expensive necessity. It is therefore essential that alternative evidentiary strategies be explored including the use of technology and forensics. I am pleased to report to this Honourable House that the installed Closed Circuit Televisions (CCTVs) are now being monitored on a 24-hour basis. Further upgrade of the system will be made in 2016. Similarly, in an effort to improve the radio communication capacity across our security forces and complementary services, in October 2015, this Government contracted Zenitel Caribbean BV, a St. Maarten based company, to undertake the installation of the required equipment in strategic positions to provide the necessary coverage across both St. Kitts and Nevis. In 2016, Zenitel Caribbean BV will collaborate with its affiliate, Motorola Radio Communications, to provide the requisite programming services. Our investment in law enforcement in the short 9 months in office is a proud scorecard.
74. In July of this year, this Government made an important investment in a Comparison Microscope as the first step towards improving the capacity of the RSCNPF Forensic Lab to better examine markings on bullets and firearm casings. Through the support provided by a local security entrepreneur, SECURGARD, the Police Force has presented to the general public the Guardian Emergency Alert GPS Web Tracker which complements the services provided through the 911 system. Among other features, this new system provides a web portal through which information can be anonymously shared with the police through a mobile application. Additionally, in collaboration with 633 Media Technologies, a United States based company, we are in the process of creating a Technology Operations Department within the Police Force, with the potential to expand its services to other Departments within the Ministry of National Security and Government Agencies. This Department will be charged with the task of integrating numerous different communication systems within the Police Force thereby providing a modern internal police system that will be compatible with other systems across the Government service. Additional support to enhance the technological capacity gained by this partnership will be facilitated through the provision of network, surveillance and monitoring equipment under the 10th EDF Safety and Security Improvement Programme in 2016.
75. Mr. Speaker, access to vehicles remains a challenge for the Security Sector. This Team Unity Government will provide the needed assistance to our security forces to enhance the fleet of resources while emphasizing the need for strengthened management and maintenance systems. Complementary to the efforts of this Government, we continue to benefit from the support of Development and Private Sector partners in the procurement of vehicles. In September, the Coalition of Support for St. Kitts and Nevis Security Initiatives donated two (2) SUVs to the RSCNPF. I use this opportunity to express our sincerest appreciation to our partners for their unwavering support. Equally, I must thank the Government of the Republic of China (Taiwan) for financing six (6) vehicles for the Ministry of National Security, the Ministry of Foreign Affairs and the Office of the Prime Minister. These vehicles are expected shortly.
76. Mr. Speaker, it is important to ensure that vital equipment is available to address criminal activity from both a security and rehabilitation perspective. A critical component to reduce recidivism by persons convicted of criminal offenses is a relevant and dynamic rehabilitation programme. In this regard, the introduction of new and the revitalization of current rehabilitation programmes will be undertaken at Her Majesty’s Prison to ensure positive personal development of the convicted and their readiness for reintegration into society. To support these efforts, the Prison will be resourced with rehabilitative tools and equipment to foster skills development through the Safety and Security Improvement Programme.
77. In addition, measures have been proposed that would lead to a reduction of the prison population and the reform of the entire criminal justice system through the implementation of alternative sentencing and focused and integrated actions by the Private Sector, Non- Governmental Organizations (NGOs) and Community-Based Organizations (CBOs). We intend to implement the recommended systematic programme of curriculum development and improved training programmes, as well as broad based human resource management reforms within the Police Force, Her Majesty’s Prison and other security related agencies in 2016.
78. Mr. Speaker, we inherited law enforcement agencies with low morale, divisive and operating in silos. We inherited dilapidation in every agency of law enforcement - Police, Prisons, Coast Guard, Fire and Rescue. Systems and procedures were awry. We inherited crime statistics that were unacceptably high. Conversely, the detection rate was unacceptably low. Indeed, by 22nd February 2015 when our Government was formally presented to the people, the country already had eight (8) homicides. The unacceptable situation will not change by osmosis. That is why we have worked so hard and consistently to invest now for returns later. We have a Plan. We have a Strategy. We are investing in people, in equipment, vehicles, in foreign expertise, in buildings, etc. We are optimistic that a brighter day is coming. We mourn the loss of every life by criminal elements and we pledge, with God’s grace, to consecrate the future.
Economic Expansion
Agriculture
79. Mr. Speaker, over the last nine (9) months the Team Unity Government has taken stock of the state of affairs within the Agriculture Sector. There is much to be achieved as we make a fresh start in the development of the Agriculture Sector. Ten years have elapsed since the closure of the centuries old Sugar Industry and we are still some distance away from transforming the Agriculture Sector into a viable pillar for growth and development. The United Nations 2030 Agenda for Sustainable Development articulates a number of Sustainable Development Goals (SDGs) and have placed the end to hunger, the achievement of food security and improved nutrition, and the promotion of sustainable agriculture as a priority. It is therefore our intention to develop strategies that will bring fresh ideas and resources to the advancement of the Sector. We are convinced that a core objective must be to increase agricultural output and the effective linking of production to market demand and food security. This Administration is of the firm belief that with the application of the right strategic interventions and relevant techniques our agriculture and marine resources can be developed to the point that the Sector can become a greater contributor to the socioeconomic wellbeing of our Nation. Indeed, the Sector still holds the potential to create jobs, improve income generation, support food security, reduce the high food import bill and facilitate national development while protecting the natural environment.
80. As part of our strategy for the development of the Agriculture Sector, the Department of Agriculture will focus on collaborating with relevant experts who can help to drive a programme of research and development that would enhance the outputs of the Propagation Units at La Guerite, Fahies and Tabernacle. The Department is also cognizant of the need to build resilience in the Agriculture Sector particularly in light of the potential negative effects of climate change on food production. With the support of the Global Environmental Facility (GEF), we plan to develop a climate change adaptation programme tailored specifically for the local Agriculture Sector.
81. Scientific data and analysis will be a vital component in securing the prominence of this important Sector. In February 2015, the Ministry of Agriculture signed off on the ‘Soil Fertility Map Project’ facilitating our partnership with the Kingdom of Morocco to create soil fertility maps for our agricultural zones on both St. Kitts and Nevis. This initiative will be implemented over a four (4) year period and will provide a profile of the nutritional content of our soil to ascertain where there are deficiencies to enable the respective Departments of Agriculture to select the optimum fertilizer composition based on crop and location. The update and re-design of the relevant maps is scheduled to take place in 2016.
82. Mr. Speaker, the sustainable management of our marine resources is a priority for the Team Unity Government and as such we have quickly taken steps to address the compliance of St. Kitts and Nevis under the Law of Seas and Illegal, Unreported and Unregulated (IUU) fishing rules. With assistance from the Food and Agriculture Organization (FAO) we have undertaken the initiative “Strengthening Fisheries Legislation in St. Kitts and Nevis – focus IUU” in order to strengthen the fisheries legislation and the development of a national plan to address IUU fishing. A series of consultations were held with key stakeholders from all levels of society during the period of April to August of this year. The objectives of the consultations were two fold, that is, to raise awareness of the importance of combating IUU fishing nationally, regionally and internationally and to share information on the comprehensive legislative framework that would provide the legal parameters for combating IUU fishing. As a direct result, a Fisheries, Aquaculture and Marine Resources Bill has been drafted with the support of our Ministry of Justice and Legal Affairs and legal experts from the FAO.
Tourism
83. Mr. Speaker, as part of our Fresh Start Agenda, my Team Unity Government will work to implement dynamic and innovative projects and programmes to raise the standard and quality of the Tourism Sector. We know that more effort is needed to attract increasing numbers of high-end visitors but we are even more emphatic that our efforts must be concentrated on developing a product that will yield maximum benefits for our people. This is the only guaranteed way that we can successfully use the Tourism Sector to provide a Fresh Start for scores of Kittitians and Nevisians who try to eke out a living from the limited opportunities that currently exist in the sector. We maintain that the Sector must be developed in such a way that it adds value to our quest for sustainable development and true enrichment of the lives of our people.
84. We are encouraged by the fact that the Tourism Sector continues to show resilience as the economy rebounds from the difficult days of the global financial and economic crisis. Stay over arrivals from our major source markets, cruise ship passengers and related calls, and our yachting sector all show positive outturns for the year so far. Our carefully developed niche marketing programme has begun to yield positive returns. This year, the Federation ranked 4th in the List of the Best Beach Honeymoons in the World and 3rd in the List of the Best Caribbean Honeymoons by U.S. News and World Report for 2015. The New York Times has named St. Kitts and Nevis among the ‘52 Places to Go’ in 2015 while USA Today Travel has highlighted ‘Seven Sensational Reasons to Visit St. Kitts’.
85. This Administration is cognizant of the value of high-end real estate development to satisfy the needs of our visitors. Therefore, we are heartened by the show of commitment and support by both local and foreign developers who continue to undertake a number of projects which will transform the landscape of this country and further stimulate the economy.
86. Christophe Harbour opened its mega-yacht marina. Upon completion, the marina will include three hundred (300) berths, of which sixty (60) would be able to accommodate the world’s largest super-yachts which extend up to 300 feet. As at May 2015, 134 yachts of more than 100 feet visited the Federation’s waters, matching the anticipated 20 percent year-over-year growth of the super-yacht industry in St. Kitts and Nevis. This Government gives its commitment to provide a facilitating environment that will enable these investments to come to fruition while providing a level playing field for new investments over the medium to long term from which our people can significantly benefit.
87. Mr. Speaker, as the allure of St. Kitts and Nevis increases as a first class tourist destination we have not only undertaken steps to ensure the availability of improved accommodations in both quantity and quality but have expanded our strong relationship with top carriers from key source markets. This was evident by the announcement by this Team Unity Government in August 2015 of the addition of a weekly non-stop service which will be operated by United Airlines from its East Coast hub at Newark Liberty International Airport commencing 19th December 2015 through 30th April 2016. The addition of this new service means that the Federation is now served non-stop by three (3) of the four largest US airlines namely; American Airlines/US Airways, Delta and United Airlines. This Government also recognizes the importance of stay over arrivals which originate within the Caribbean whether for business or pleasure. In this regard, we are pleased that in July 2015 the Leeward Islands Air Transport (LIAT) added a direct flight from Barbados to the Federation complementing not only existing LIAT connections from Antigua and Barbuda and St. Maarten, but the services provided by Windward Island Airways International (WINAIR) and Seaborne Airlines. In November, WINAIR expanded its partnership with St. Kitts and Nevis with the addition of a twice daily flight from St. Maarten to St. Kitts connecting with our sister island of Nevis and most recently added a daily midday flight. These new regional options provide an opportunity through the codeshare or interline arrangements between WINAIR and major international carriers such as Air France, Virgin Atlantic and Copa Airlines to provide another means of access to and from the Federation.
88. We have reason to be positive about the returns on our investments in infrastructure and airlift. The partnership recently forged with the Golf Association of Ontario in the promotion of St. Kitts and Nevis as a golf destination to players within that Province is evidence of the potential of our investments in the Sector. As a result of this collaboration, our Federation recently hosted the St. Kitts Two (2) Ball Shootout where teams of two (2) competed in a fifty-four (54) hole gross and net better ball competition at our own Royal St. Kitts Golf Club. It is anticipated that in May 2016 we will host the LINKS Magazine St. Kitts Couples Invitational which is a new event on the roster of golfing events.
89. In addition to growing our air arrivals, we have simultaneously expanded the cruise tourism sector at an impressive rate. During this tourist season, we are projecting an increase in cruise passenger arrivals of a record 1.2 million passengers. In order to ensure that adequate berthing facilities are available with the capability to accommodate the world’s largest cruise ships, this Team Unity Government is committed to the construction of a second cruise pier utilizing best practice in Public-Private Partnership (PPP) arrangements.
90. In building the necessary infrastructure and providing the appropriate amenities to our discerning visitors, we are cognizant of the impact of climate change on both islands particularly in regards to coastal erosion. In an effort to ensure the sustainability of our natural assets, this Government has undertaken steps to source the necessary expertise and funding to facilitate the replenishment and nourishment projects that will address the challenges with erosion at Frigate Bay and South Friars Bay Beach. To complement the revitalization of the beach facilities, we are in discussions with the CARICOM Development Fund (CDF) and have contracted the services of local expertise, utilizing a phased approach to enhance the aesthetics and ambiance of the area commonly known as ‘The Strip’ inclusive of provisions for enhanced safety and security and recreational facilities.
91. Mr. Speaker, sustainable growth and development cannot be realized without the input of our people. To this end, this Team Unity Government has endorsed the partnership between the Ministry of Education and the Ministry of Tourism to launch a Tourism Education Programme. The Programme will be rolled out in January 2016 as a pilot programme in Basseterre High School and two (2) primary schools which will be selected after further consultation with the Ministry of Education. This Programme was developed with the objective of further sensitizing students and, by extension, their families to the benefits of the Tourism Sector. The Programme would also be used as a mechanism to highlight the employment and career opportunities that the Sector provides to residents.
Manufacturing
92. Mr. Speaker, the Manufacturing Sector remains crucial to improving our export potential and employment generation as it continues to provide notable levels of employment opportunities for our working population, particularly our women folk. Currently, the Government, through the Development Bank of St. Kitts and Nevis, is facilitating the expansion of Harowe Servo API Plant in Sandy Point. This should boost production and increase employment opportunities at the Plant for fifty (50) additional persons. The project will come on stream early in 2016. In light of the positive prospects and the benefits that can be derived from the growth and development of this small but important Sector, the Team Unity Government has determined that the necessary steps will be taken to activate plans for the establishment of the National Manufacturing Competitiveness Council (NMCC). This Council will serve as the official oversight body with responsibility for the implementation of the policies, tactics, goals and objectives outlined in the National Manufacturing Strategy 2014-2020. It will be comprised of a broad cross-section of stakeholders such as, the Ministry of International Trade, Industry and Commerce, the Manufacturers Association, representation from workers’ organization, the St. Kitts-Nevis Small Business Forum and representatives from the local cottage industry. This is a unique opportunity to enable the charting of a new course in the development trajectory of the Manufacturing Sector. During 2016, NMCC is expected to address a variety of issues of concern to manufacturers. These include the high cost of energy, and certification and licensing for manufacturing businesses. My Government looks forward to engaging with the members of this new body to discuss proposals for intervention and expansion of the Sector. Meanwhile, the relevant Government Agencies will continue to pursue opportunities for technical support to facilitate the continued strengthening and competitiveness in all aspects of the Sector.
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