Caribbean & Central America - April 2012 (ISSN 1741-4458)

 *** BARROW WINS ELECTORAL GAMBLE IN BELIZE. On 7 March, Prime Minister Dean Barrow’s United Democratic Party (UDP) won the early general election by 17-14 seats, defeating the main opposition People’s United Party (PUP). The gamble of calling an early election paid off, but at the cost of reduced representation from 25 seats in the outgoing parliament. Fought largely on economic issues (see sidebar), the election also saw the UDP retain control of six of the nine municipalities - including the capital, Belmopan, and Belize City.

*** TRINIDAD RESHUFFLE EXPECTED. There is an expectation in Trinidad that Prime Minister Kamla Persad-Bissessar will reshuffle her cabinet in early May following ruling United National Congress (UNC) internal elections on 24 March. Among those thought likely to be reshuffled is Finance Minister Winston Dookeran. Works Minister Jack Warner overwhelmingly won the vote for the chairmanship of the UNC and, shortly after his victory, was asked to join the National Security Council to help develop national security policy. Warner is a controversial figure who was forced out of FIFA, the world football governing body, as a result of corruption allegations. Security is a key issue for the prime minister who has been criticized for introducing a state of emergency. Another serious challenge for the government is inflation, with food inflation topping 20% in February up from 14% in January.

*** FREE MOVEMENT FOR THE OECS. The director-general of the Organization of Eastern Caribbean States (OECS), Dr Len Ishmael, has said that by June, all the legislative amendments needed to provide for full free movement throughout the OECS will be in place. Dr Ishmael said: “It is important for us, now, within our space, to make full use of that single space not as a St Lucian businessman, but an OECS businessman with a right to establish pan-OECS businesses across the OECS and also to integrate production lines across the OECS so that different components can in fact be built across the OECS the way it is in different parts of the world.” The OECS members are Antigua & Barbuda, Dominica, Grenada, Montserrat, St Kitts & Nevis, St Lucia, and St Vincent & the Grenadines. Anguilla and the British Virgin Islands are associate members.

*** BAHAMAS ENHANCING FLEET. Prime Minister Hubert Ingraham has announced major new purchases for the Royal Bahamas Defence Force fleet. Speaking at the beginning of April, he said that the Defence Force needs to be “totally refitted”. He announced the upcoming purchase of 11 boats and two aircraft and an increase in manpower. The Defence Force has responsibility for 100,000 square nautical miles of ocean. At present, the Defence Force has 25 vessels and three aircraft. The package of 11 new vessels will comprise four 60-foot vessels, four 100-foot vessels, and two 140-foot vessels plus a landing craft.

*** GUYANA GOLD SECTOR BOOMING. Guyana’s mining and quarrying sector grew by 19.2% in 2011, with the gold sector recording an advance of 17.7%. Further growth is expected in 2012 following an investment of US$100m in the sector in the past year.

•  Belize debt

The election was dominated by economic issues, with voters ultimately undeterred by the uncertainty caused by Barrow’s decision to make renegotiating debt servicing on the government’s US$546.8m ‘superbond’ his main campaigning point; his announcement regarding the bond, equal to half of Belize’s public debt (which altogether hovers at 80% of GDP), had caused international jitters. Barrow has already said his new agenda will prioritise renegotiating Belize’s external debt.