EDITORIAL: Get to the root of the problem

WHILE we can fault the World Bank for a number of things, the Minister of Industry and International Business, Donville Inniss, should not blame the Bank alone for Barbados’ poor rating in the Bank’s most recent Doing Business Survey. 

 

If he is convinced that the Bank erred in some of its assessment of Barbados, he should seek to have the matter raised in Washington D.C. where some form of correction or clarification may be issued. However, the Minister should also recognise that the survey results the Bank published would have been based on the information it was fed. So along with taking up the issue with the World Bank as he said he intends doing, it would be useful to have a hearing with local service suppliers who normally have a hand in these reports.

 

At a function the Institute of Chartered Accountants of Barbados (ICAB) held last Friday, Mr. Inniss, who also has responsibility for Commerce and Small Business Development, termed as erroneous some areas of the report, which has Barbados languishing at position 119. He also took aim at some service providers while arguing that far too often they get great service 99 per cent of the time, however they never share such wonderful experiences with anybody, but take great pleasure in going on the world stage when one per cent of the time they get unsatisfactory response, or even experience delays.

 

To this end the Minister said that his Ministry will be taking up the matter with the Bank, to pinpoint the areas where the institution may have called it wrong. 

 

It would appear from Mr. Inniss’ comments that he does not think that Barbados belongs in that position, especially when it is tantamount to another decline in the Survey. He feels that with the government having put in additional work to boost those areas which were troublesome, then the rating does not reflect what was done to ameliorate the situation.

 

So it would also be important for him to find out what are the issues that caused the slippage by Barbados since, according to him, he has not fully analysed the Report.

 

In the past it was known that factors such as poor business facilitation, low productivity, long wait in setting up a business, inadequate business finance, government bureaucracy, and high taxes, have had a negative impact on Barbados.

 

Doing Business is a vital tool that a country can use when pitching itself for investments and other commercial relations with other countries. Several countries attach great significance to it simply because it can be a marketing tool, especially when a country has a high position.

 

Even if Barbados’ rating leaves a lot to be desired, it nonetheless boasts many features which have stood the test of time. The island’s stability, infrastructure, the strong regulatory framework, a capable workforce, excellent telecommunications facilities, and a legal framework regulatory based on English Commonweath Law, are some of the strong points for Barbados.  

 

It would therefore be necessary for the Minister and his team to convene a meeting to get to the root of the problem if he is not in agreement with the Report. In doing so, he will have to point out what has been done, the improvements and whatever else is being done, so as to clear up any misunderstandings.

 

That would be the best way in dealing with the situation.