Gov’t closer to $100M loan — Premier
The government is progressing in securing a much-touted $100 million loan to address the territory’s critical infrastructure needs.
Premier Dr Natalio Wheatley confirmed that the resolution for the loan will be presented to the House of Assembly this week for debate.
“I would have announced that $100 million loan from last year when I did the budget speech — and it’s taken until now … the resolution is being prepared for the House of Assembly this week.”
Premier Wheatley emphasised the significance of the loan, stating, “More than half of this money is going towards water, sewerage, and roads.”
In addition to the loan, Premier Wheatley announced that he had signed contracts totalling $1.8 million for immediate road repairs, with work set to begin this weekend. He further noted that the government has already put out a tender for 38 miles of road and is awaiting a Cabinet paper to proceed with decisions based on that tender.
Communication and Works Minister Kye Rymer also elaborated on the specifics of the contracts, “This is the last of the contracts to be signed… This is just to provide the labour to do the actual resurfacing of the roads,” Rymer explained.
“We recognise, of course, the dissatisfaction with the infrastructure. And of course, in order to be able to address the infrastructure, a number of things are needed, including finance,” Premier Wheatley said. He highlighted the lengthy processes involved in executing infrastructure projects, adding that some projects have been delayed by months due to systemic inefficiencies.
Residents have long been concerned about the state of the roads, and the Premier acknowledged that they, too, have been waiting for improvements. “I’ve driven on the roads, of course. And of course, I also know that the roads need to be fixed. And we will fix the roads,” he assured, adding that the upcoming road paving projects, supported by the $100 million loan, will help address longstanding issues.
The Premier also touched on the broader impact of these developments, noting that improving the territory’s infrastructure will benefit not just residents but also visitors. He explained that proper roads are essential for the tourism industry, as visitors expect smooth transportation throughout the islands.
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The govt take out so much loans that is best them had stick with the UK loan. by now them probably done pass the uk loan with all these loans them taking. plus the uk loan had no interest compared to our local bank ridiculous high interest rate
how much loans ayo get and the bvi still look the same since i a lil boy walking the street with my mother? i in my 30’s now
What are the terms of the loan?
Can we be more specific than just saying”more than half is going towards water, sewerage and roads?
How much budgeted for proper design and verification that infrastructure works conducted to spec? Or, will it be $ 100 mil’s worth of same old repairs that don’t last?
Wheatley refers to “systemic inefficiencies” causing delays. What is he planning to do about them?
This Government with its track record of recent times and when Fahie was there does not have the confidence of the people to spend this money properly.
What are the British doing allowing them to put us in Financial Debt and will have nothing to show for it.
UK national debt represenst more than 100% of its GDP. Look what they have to show for it
Natalio Wheatley said that 1.8 million from the loan will go for immediate road repairs, well the way we see it the money that went for all the partying and the FOUR HUNDRED THOUSAN YOU GIVED AWAY could have gone a long way on the road works and that’s not counting your world travel.
I don’t trust ANY numbers this man-child spews out his twisted mouth. He has already proven to be very deceitful and a bold-faced l**r.
The estimates for roads, water & sewerage are just that – so lets say $60 mill is for these projects alone, this as been said many times before yet we get the same sub-standard designs and works that result in temporary joy but long-term pains.
I for one am far from impressed by this lot governing this territory. Abject failures.
CLOSER to 100m in debt. WHOOO HOOO
Why can we never be ahead, some countries have so much surplus they can invest and take a hit no problem.
Id it that when it comes to these decisions making we the people is not involve
BVIs is actually one of the few places on the planet that carries little national debt. It runs about 2% of its GDP, whereas US debts runs at 122% of its GDP, and the UK at 97%. That said the unwillingless to borrow money for large capital projects has not helped the Territory to deal with its infrastructure problems. You can either borrow money from the bank to buy a house, and pay it over the next 30 years, or you can spend 30 years working to save it (and still paying rent).
That said, the devil is in the details (ie terms of the loan). Reasonable terms are extended to those who are fiscally responsible. Alas the BVI govt has a poor track records on this, and has had it for at least 3 decades, meaning there does not seem to be any political drive to fix this
Relating debt to GDP numbers is meaningless. Any lender should take account of the quality of the client, the veracity of any financial information provided, the clear ability to repay the debt and any security offered. For the BVI, the Government is subject to questions over competence and corruption, it has no recent audited financial information, there is no clear surplus or income stream guaranteed to repay the interest and principal and what security can the Government offer? Any lender faced with these qualities would have to charge a high interest rate to cover the lending risks involved. If the rate is low or they are prepared to ignore these client weaknesses, then there might be political or money-laundering considerations at play. Let’s hope the UK is watching very carefully where these loan funds are to come from.
Weare our own best kind.
We can accomplishwhat we will.
We have done so over the millinea and will do so again.
We need no one but ourselves to help us.
The son or daughter of a former slave master will never give enough to elevate the former slave, but only enough to entrap him. See history. See and study Anguilla today.
He who does not indepthly learn the ways, morals and means of his enemy will perish upon the battle field of ignorance.
Hence, If we have to discredit and destroy the bad people that is holding the contry and people back, that is what we must do.
Last, the only machenism that will bring us out the current crisis is ABSOLUTE AND COMPLETE UNITY.Aer we ready to pursue that lofty goal?
I vote no confidence and plead for the UK to temporarily take control and help us.
Look around and see what state this island is in, go for a drive and see the deerlick cars and the road repair equipment left on the side of the road by numerous in completed projects.
What are they digging for by Ebenezer Thomas Primary School? Gold?
We have been suffering with poor government long enough and I believe the people would benefit greatly from a different approach to Government, where the people and there needs come before profits and free travel for senior government ministers.
The UK was NOT giving the BVI a loan. The UK was willing to guarantee a loan amount of up to $400 mil which would enable the BVI to get favorable rates by major banks.
Decisions making without we the people input.Fi e a**holes speaking for the country.
I will quicker win the power ball lotto than the government get that loan
So family, friends and cronies can line their pockets and purses.Hope the loan is denied.
Loans to pay loans. With balloon payments materializing next year, infrastructure collapsing, and no money watchudoo? Take debt to service existing debt and try to halfway do a couple projects just before elections
Hope the loan is not approved. Why? The Government is constantly mishandling, misusing and wasting money.
Who is the loan from?
The recommended prudent debt to GDP ratio for a developing country such as the [British] Virgin Islands (VI) ranges between 40-60%. The VI estimated debt is $113M ( by comparison Bermuda’s debt is north of $3B), and current estimated GDP is ~$500,000 . The VI is a resource poor locale and has to borrow to fund its infrastructure and other needs. Adding the $100M to its current debt equates to it having an estimated debt to GDP ratio 42%, which is well within the prudent range.
Moreover,, per the World Economic Forum (WEF), the most successful economies, eg, Singapore, Qatar, Taiwan, Hong Kong, Switzerland, Japan, etc., have large scale and efficient infrastructure, especially transportation networks. However, efficient infrastructure requires continued robust, heavy investment from both public and private sectors to keep the economy competitive and running smoothly. Further successful countries understand the importance of investing heavily in infrastructure. Poor and deteriorating infrastructure has an adverse cascading impact on countries economies, impacting business productivity, GDP, employment,personal income,, etc. To grow and progress the VI has to borrow to invest in physical and soft infrastructure needs. Some are curious why sister OTs, ie., Cayman Islands, and Bermuda’s Operations and Maintenance budgets are north of $1.0B while the VI hovers around $500M, since they are also resource poor locales?
Cuz, this line of thinking is for developed countries. The BVI has infrastructure trying whelks on. It talked a good game but it’s outcomes say a different thing. At this juncture, I will be happy to not play dodging potholes with my car, not going braga dam, braga dam.. . Why can’t Public Works deliver relative pot-hole free roads? It is it lessness or something else? Whatever it is it needs to get to it and deliver? Can our roads last longer than a two year limit or the first rain whatever comes first?
Cu,z, you may be well intentioned but you making excuses for letting government off the hook with its low performance. BVI deserves quality, reliable infrastructure like other people. We should demand a high performance, not make excuses for poor performance.
To E. Leonard, schoolmate, you made the point for the BVI needing to borrow to fund its infrastructure needs. But some questions need to be answered.
1. How will the plans be paid back? Will an infrastructure tax be instituted or the the loan will be based on the good faith and credit of government, ie, taking funds from the General Fund which diminish service which is already at a low level?
2. How we ensure we get value for money, ie, money spent for intended purpose?
3. Why is Bermuda and Cayman budgets over $1B and the BVI’s half of their’s?
BVI residents, we need to check ourselves, for we are demanding more and better services but show a disdain for paying a more tax or fees to produce those services. What gives?