Dear Editor,
At the recent 4th Annual Conference of Small Island Developing States 2024, UN Secretary-General António Guterres delivered what can only be described as the punchline to a cosmic joke: major risk rating agencies, those bastions of financial wisdom, are apparently biased against our charmingly diminutive Caribbean nations. In an unprecedented display of unity and exasperation, the Prime Ministers of Barbados and Antigua and Barbuda took to the stage to declare these agencies guilty of nothing less than economic sabotage.
Guterres, in a move that surely raised eyebrows, pointed out that these agencies have a knack for inflating the perceived risk of our sun-soaked islands, leading to borrowing costs that would make even a seasoned pirate wince. As if battling climate change, grappling with limited economic diversification, and navigating the treacherous waters of small domestic markets weren’t enough, we now face the added hurdle of flawed risk assessment methodologies.
Prime Minister Mia Mottley of Barbados and Prime Minister Gaston Browne of Antigua and Barbuda, clearly fed up with this financial farce, echoed Guterres’ accusations. They shared how these inflated risk ratings had sent loan interest rates skyrocketing, effectively stifling any hope of economic growth. Mottley, with a flair for the dramatic, called for a more enlightened approach to risk assessment, one that recognizes the unyielding resilience of Caribbean nations. Meanwhile, Browne claimed that these biased ratings undermine international support and investment, advocating for revised criteria that treat climate vulnerability and resilience-building as treasures rather than liabilities.
The conference concluded with a clarion call for reform in risk rating practices, aiming to establish a fairer system for small island states. Given this context, one cannot help but wonder: does the government of Guyana support the positions of the Prime Ministers of Barbados and Antigua and Barbuda? And if so, how have they communicated this stance to their fellow CARICOM members to ensure a unified approach for advocating changes at these seemingly infallible rating agencies?
Sincerely,
Keith Bernard
