Dear Editor,
On top of the hill (Wildey Hill) in the beautiful island of Barbados and overlooking the surrounding picturesque valley stands the headquarters of the Caribbean Development Bank (CDB) where loans and grants have been negotiated and signed, and where dedicated and competent staff toil in the interest of the continued success of the institution. The CDB is highly respected, enjoys the highest international financial rating, and is undoubtedly the most competent and effective Caricom institution in terms of its widespread social and economic outcomes and impact.
In an unprecedented manner, three candidates, including the incumbent, for the presidency of the bank were announced publicly. While acknowledging the change factor in history, the candidacy for the office of President of the CDB has never in the past been portrayed to the public as a contest among rivals, and particularly where one of the contestants is a staff member below the rank of vice-president.
In the interest of a smooth transition in the management of the bank and to ensure its continued stability and respect both regionally and internationally, the selection of the President should not be done in the public arena. Instead, it should continue to be guided by the commonly accepted procedures which the Board of Governors, as the supreme governing body of the bank, has followed, and include such standard attributes for candidate selection as the relevant academic qualifications and experience for the post, the stature and presence of the candidate, and team management.
Recent developments in the management of Caricom institutions have seen, among other things, consideration of the period for which an incumbent should serve. The question here is not so much the length of time but the competence of the incumbent, his/her ability and desire to serve, and physical or health capacity. Given these factors, then the incumbent should first be approached as to his/her desire to serve, and if there is a negative response then other short-listed candidates should be interviewed.
International practices could provide guidance in relation to other criteria. For instance, the posts for the heads of the Breton Woods institutions (the World Bank and the International Monetary Fund) have been reserved for the USA and for Europe respectively. With the ascendancy of China, India, and Brazil in international financial affairs such a country criterion is now being challenged, and this special reservation of top posts for particular countries should not be applied in the case of Caricom institutions.
However, other critical factors for consideration and future reference in the case of Caricom institutions are:
* The rotation of the president or head of the particular institution on a country basis and in alphabetical order. In the case of the CDB, the presidency has been held by an OECS country/person (St Lucia/Sir Arthur Lewis); by a person from Trinidad and Tobago (William Demas); and by a Barbadian (Sir Neville Nichols). The current President (Dr Compton Bourne) is from Guyana.
* Restricting the tenure of the presidency to a period, perhaps two five-year terms. Here, the question arises, given the young ages (men and women in their 30s and 40s) at which top managers are now assuming high office, as to whether a young, vibrant, competent and effective incumbent should be retired within the tenure period, or the governing body of the institution should be given the authority to extend the period.
* Should the body in which the authority for selecting the president or head of the institution rests be the supreme governing body (the Board of Governors in the case of the CDB) or the Board of Directors. It is a question as to whether final power should rest in the hands of the shareholders or the Board of Directors.
* In the case of the CDB, the role of the non-regional and non-borrowing members of the bank in the selection process is of vital importance in view of the contributions which these members make to management discussions and the financial resources of the bank. Here, the crucial consideration is whether such members should be allowed to cast any votes in the selection of the president, or whether such authority should continue to rest in the hands of the Caricom regional members.
* The success of any institution depends heavily on the team spirit and dedication of the staff. The opinions of the staff associations of regional institutions should therefore be of vital importance in the selection process, particularly where the staff members are familiar with the management style of an incumbent seeking a renewal of tenure.
Finally, these criteria, some of which are already in operation, should serve for the future selection of the president of the bank, and should not be now introduced in midstream. The current President, Prof Dr Compton Bourne, has brought to the bank his brilliant and relevant academic qualifications and experience, including Pro-Vice Chancellor (Development) of the University of the West Indies and Principal of the St Augustine campus. He has extended the operations of the bank and enhanced its reputation regionally and internationally during his tenure. Moreover, it has been recognized that he did not manage from an ivory tower, but from the grassroots level where his greatest success was his field visits to the member countries and the widespread expansion of the bank’s Basic Needs Programmes which brought socio-economic development to all the borrowing member countries. Today, the CDB is the largest donor of technical assistance and capital loans and grants to several member states. Dr Bourne therefore deserves an extension of his tenure.
Yours faithfully,
A. Donald Augustin
Former Director for Guyana on the CDB’s Board of Directors (1973-1984)