SOBERING OUTLOOK

THE recent upsurge in the COVID-19 pandemic cases in Barbados could have a negative impact on the business community in 2021.

Chairman of the Barbados Private Sector Association (BPSA), Edward Clarke, gave this sombre outlook during a brief interview with Business Monday.

Since December 25 cases have spiked dramatically in the country, leading to some business closures – albeit on a temporary basis – to effect industrial cleaning as a consequence of individuals across industries and Government testing positively for the virus.

“Looking at the wider private sector, a couple months ago the business outlook for 2021 was slightly positive with an expected gradual upswing in the economy,” Clarke recalled. “This original forecast for our island has now been badly impacted by the recent upsurge in COVID cases locally and the global lockdowns from our tourism markets that will impact any expected improvement in our short-term visitor arrivals,” the BPSA Chairman said.

“Much therefore depends on how we can manage the COVID pandemic and keep our businesses in operation while still maintaining or in some cases improving our levels of employment,” he remarked.

Clarke pointed out that the first quarter of the calendar year has not started brightly. “We hope it gets much better,” he stated.

According to him, “Any success to be achieved by the business sector this year will depend on how we as country manage the COVID crisis, including when we get our local population vaccinated. We also must have the full collaboration of the members of the Social Partnership as we try to manage the lingering fallout from the COVID lockdown and high unemployment.”

The BPSA official said that businesses have had a very difficult 12 years and can’t sustain much more.

“If there is another full lockdown in Barbados that will have a very negative impact on our economy and our levels of employment,” he cautioned, while noting that it could take a very long time for us to recover if this happens again.

Said Clarke: “Businesses in general in 2021 and beyond will seek ways to become more efficient as they continue to improve the level and cost of service to their customers through the use of better technology.”

Clarke stressed that we must as a country seek to diversify the key drivers in the island’s economy. “We are too dependent on tourism as we have all seen. Diversifying an economy takes time and much planning, new levels of education and training, new and improved skill sets – all of this doesn’t happen overnight. We therefore need to start.

“One thing is certain, 2021 will be another very challenging year for Barbados, but we will overcome the challenges if we all work together to achieve success,” he added, while encouraging Barbadians to stay safe, mask up, sanitise and social distance, since these things work.