IMF warns NDP government against implementing several of their campaign initiatives
The International Monetary Fund (IMF) has warned the New Democratic Party (NDP) administration against implementing several of the initiatives they campaigned on, namely, Citizen by Investment (CBI), reducing the Value Added Tax (VAT), and launching a Development Bank.
The IMF has also noted that St Vincent and the Grenadines (SVG), without a decisive change in policies, fiscal deficits are projected to remain large, propelling the debt ratio to 145 percent of Gross Domestic Product (GDP) by 2031.
These things were discussed with Prime Minister Dr. Godwin Friday and his team between April 21 to 28 during the IMF’s 2026 Article IV consultation.
On Tuesday, April 28, during a press briefing at Cabinet Room IMF team leader Sergei Antoshin told media personnel that while the economy of SVG has demonstrated resilience in the face of repeated shocks, vulnerabilities remain significant.
“Wide fiscal deficits, high and rising public debt, and large external imbalances underscore the need for decisive policy action. To reduce debt, prompt and sizeable fiscal consolidation is needed as well as structural and financial sector reforms that support growth and enhance resilience,” Antoshin said.
Click here to subscribe to read the full article in the E-paper!
Comments
