Invest Barbados CEO shares innovative economic recovery approach

Invest Barbados contributed to the Island Innovation Forum 2021 this past week, and its CEO shared the innovative approach of Barbados to economic recovery and growth.

Kaye-Ann Brathwaite, CEO of Invest Barbados, in her remarks during the session, stated that there were many benefits for a tropical island like Barbados. Speaking on ‘Economic Recovery in a Post-Pandemic World: The Barbados Perspective’, she cited that the short-term aim was to reset, recover and rebuild.

The overall focus of the discussion was to understand how small island projects would continue to present opportunities for both business and consumers on the island. Also discussed were key issues and financial benefits relating to investment along with economic recovery of the island.

The CEO stated that the pandemic had caused unprecedented socio-economic disruption all over the world, especially in small island states like Barbados.

“Industries, especially tourism and hospitality, the lifeblood of small island states like Barbados, have been severely impacted, resulting in significant decline in business activity, high levels of unemployment and significant economic hardships,” she said.

“In the case of Barbados, by the end of 2020, there was a GDP contraction of 18%, primarily due to the 71% decline in long-stay arrivals for the year.”

Brathwaite highlighted that there was a spillover effect which affected wholesale and retail business service sectors including real estate, car rentals and the ancillary service sub-sectors.

Acknowledging that the outlook is still uncertain, the CEO stated that the continued push to successfully manage the spread of COVID-19 and the continuation of world vaccinations, created the notion of a positive future. She also stated that the implementation of effective policies was important to promote impactful and sustainable economic growth. Referencing the recovery plan with the International Monetary Fund (IMF), Brathwaite said that Barbados had a buffer to respond to the unpredicted external shock of COVID-19.

Brathwaite stated that as Barbados seeks to diversify the economy and rebuild a more sustainable and resilient one, by continuing to move towards renewable energy, it will attract foreign investment.

“For economies like ours, we must develop other foreign exchange earning sectors, as we set our economy on a sustainable recovery trajectory,” she said.

Shining the spotlight on Barbados being ranked second for competitiveness in Latin America and Caribbean in the 29th edition of the Global Financial Centre Index, the Invest Barbados CEO said that Barbados remained a resilient global financial centre and also highlighted that since its appearance on the index just three years ago, Barbados has gained over 40 places to reach its current position.

Speaking of the innovative initiative of the Barbados 12-Month Welcome Stamp, Brathwaite said that the roll-out was a world first, and demonstrated that Barbados was an ideal jurisdiction in which to live, work, play and invest. To date, Barbados had attracted 2,500 welcome stampers, some of whom were considering establishing businesses on the island since taking up the opportunity to reside here.

Also outlined in the effort to become more sustainable was a drive towards digitisation and digital payments, which includes online Government services, renewal of driver’s licenses, digital identification cards and faster passport services. This translates into enhanced competitiveness for Barbados as well as to make it easier to do business.

The embracing of Green Technology and the commitment to implementing transformational change was also mentioned as important steps by Brathwaite and new ways to achieve food security, industrial transformation, job creation and fuel investment.

According to the CEO, Barbados also needed to build upon its leadership in the solar water heater space as it is transitioning into the solar voltaic and wind systems and other forms of renewable energy. With the goal of the Government of Barbados to be 100% clean energy reliant by 2030, Brathwaite explained that there were a myriad of investment opportunities in renewable energy systems, energy storage and energy-saving devices. She also noted that there were several companies on the island who were operating in the sector and training was available for those who were interested in making a future in the renewable energy space. (AS)