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We’ve been paying our loans; ready to borrow $50M

Premier Dr D Orlando Smith

Government has been performing ‘satisfactorily’ in clearing public debt for the British Virgin Islands, says Premier and Minister of Finance Dr D Orlando Smith.

“Although our total public debt was somewhere around the region of $284 million, by the end of last year we paid off a substantial amount — just over about $125 million, approximately.”

“So, we have been paying our loans and we have had a history of paying our loans very carefully,” said Dr Smith in the House of Assembly last week.

He was responding to concerns in relation to an additional loan government is now borrowing from the Caribbean Development Bank (CDB).

Government is hoping to borrow a sum not exceeding $50 million. This loan is in addition to the $65.2 million recently borrowed from the CDB.

The new loan is to finance a number of institutional and policy reforms and to supplement this year’s budget.

According to 2018 budget projections, the territory’s expenditure surpasses its revenue so the BVI has a fiscal deficit of approximately $53.2 million.

Meanwhile, the CDB approved the new $50 million loan since March.

But, the majority of legislators in the House of Assembly must agree to borrow the funds.

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5 Comments

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  1. Socrates says:

    What is the true national debt? Is it $284M +? What does the nation have to show for its mounting debt? How much of the national debt is for road construction? Has the public gotten value for money for road investment? Is the Premier saying that the territory paid $125M or 44% of its $284M national debt in 2018? Is this impressive in a crisis situation? At this payback rate will the national debt be paid off in a few years? Should the payback period be extended so that more can be invested in capital projects?

  2. Devon says:

    Good question… what is the national debt ?

  3. rastarite says:

    What’s the plan for the spending. The public want and should know.

  4. Sam the man says:

    Performing satisfactory repaying debts! Nope sorry fake news…. Cast your mind back just after Irma BVIEC’s biggest debtor was the Government it owed millions of dollars for unpaid electricity bills – because the No Direction Party thinks it’s above the law it just kept on not paying until it was forced to by a public out cry and taken to task ….BVIEC were then able to order desperately needed new materials to repair the grid….but I hear it’s happening again and the NDP are not up to date with paying again for their utility costs! Slow to learn….

  5. Windy says:

    “satisfactorily” ???? Remember “robust “ tell us the REAL figures. You’re the finance minister.

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