EC$100 million to start work in flood affected areas

The Government of St.Vincent and the Grenadines will be attempting to raise EC$100 million to initialize work to address the damage caused in Georgetown and surroundings areas during the passage of a trough system that affected the northern section of the country last week.{{more}}

Prime Minister Dr.Ralph Gonsalves made the disclosure on Friday, April 15, during a press conference held at Cabinet Room following an aerial assessment of several North Windward districts, now declared a disaster zone.

“I haven’t got the final figures; it’s going to be more than that,” said Gonsalves as he spoke of the resources that his administration has to raise.

“We can’t do everything one time, but we have to raise monies, and we won’t get all the monies one time. I have to put in place a certain amount of money, and I have to have a number in my head, which I’d be able to move on immediately…and also in the short run,” said Gonsalves.

Gonsalves said his administration will make efforts to source money from the Caribbean Development Bank (CDB), the European Union, the World Bank, the International Monetary Fund (IMF), the Caribbean Disaster Emergency Management Agency (CDEMA), Venezuela, and the Republic of China on Taiwan.

The Prime Minister said he has applied to the CDB for an immediate loan of US$750,000, which will go towards cleaning. He also noted that “a fair amount of money” will be drawn from the CDB’s Special Development Funds (SDF). To this end, he said that his administration had already made an application for a loan of US$5 million in relation to the passage of Hurricane Tomas and will now be applying for more funds. He also mentioned that his Government can access EC$18 million from the CDB. He further stated that this country can also access funds through NEMO from CDEMA.

Gonsalves said that he has held discussions with a former European Union Ambassador to the Eastern Caribbean to fast track the fourth and fifth tranches of Budget Support of Euros 4.8 million, which should be available at the moment. And, this country is also expected to receive additional funding soon through the B-envelope of the 10th EDF valued Euros 1.9 million.

The Prime Minister said his Government applied to the World Bank under the Climate Resistance initiative for US$5 million to assist in funding the Hurricane Tomas Recovery Credit. This loan, he said, is already approved and should be made effective during this month. He stressed that the Government will also be applying to the World Bank for additional loans in this regard.The Government will also be accessing monies under the Disaster Vulnerability Project.

Gonsalves said in relation to the IMF, he has given instructions to access money from the Rapid Credit Facility and also from the Emergency Natural Disaster Assistance.

The Prime Minister has also sent a letter to Venezuela’s President Hugo Chavez asking for grants or loans.

He said he will also be diverting some loans and grants from entities, including the Republic of China on Taiwan and other countries.

“This is not an easy task, and it’s multi applications and follow up,” said Gonsalves.

Prime Minister Gonsalves disclosed that he has asked his technical staff to advise him on the possibility of raising money by bonds to strengthen the funding that the country will be getting from other sources.

Gonsalves, before closing, used the opportunity to call for proper river defences, especially in areas where there is human habitation.

“This is not an easy problem we have on our hands, you know; make no mistake about it. This is a genuine challenge which is facing us,” asserted Gonsalves.

Gonsalves disclosed that on Friday, April 15, the Ministry of Finance held a meeting in collaboation with the Ministry of Agriculture etc; the Ministry of Transport, Works etc; the Ministry of Housing etc; BRAGSA; the Ministry of Tourism and Industry; the National Parks and Beaches Authority; the Central Water and Sewerage Authority, and St. Vincent Electricity Services Ltd. (VINLEC) to assess the damage.