Barbados Government 'Committed To International Business Sector'

by Phillip Morton, Investors Offshore.com

27 February 2009

The Barbados government reiterated its commitment to the upkeep of its international business sector at the Barbados International Business Association’s monthly networking luncheon. Discussions focused on the maintaining international standards to ensure Barbados remains a jurisdiction of choice.

Speaking about the government’s role in charting a new course for the sector, George Hutson, Minister of International Business said: “We remain steadfast in our resolve to fashion Barbados into the primary international business and financial services centre in the western hemisphere, driven by the expansion and diversification of the international business industry”.

This expansion, Hutson surmised, could be achieved through the attraction of reputable international business companies, an enhanced tax and investment treaty network and the promotion of indigenous export-oriented services, thus fostering job creation and increased foreign exchange generation.

While praising the sector for its ‘tremendous resilience’ in withstanding external shocks, including the Organization for Economic Cooperation and Development (OECD) initiative on harmful tax competition and tax havens; the Financial Action Task Force initiative on money laundering; and the developments emanating from the September 11, 2001 attacks, Hutson said the current global financial crisis was another challenge, the magnitude of which had not been encountered in the past quarter of a century.

“I can assure you, however, the government will not sit idly by and watch any ensuing chaos unfurl within the sector,” he pledged.

To this end, the international business spokesman said the government had already commissioned and endorsed the ‘Barbados Short and Medium Term Action Plan’ which proposed a modest fiscal stimulus, and a number of functional measures which would allow the country to emerge from the crisis as a more competitive economy.

Additionally, Hutson noted that the International Business Unit had also ‘responded proactively’ by drafting the industry-specific ‘Short and Medium Term Action Plan for the International Business Sector 2009 – 2011’ in an attempt to tackle the perceived impact of the economic downturn, while mitigating potential losses.

In outlining the ministry’s focus in the coming financial year, Hutson said steps would be taken to strengthen its administrative and operational systems, including review of the information and computer technology environment within which the International Business Unit executed its regulatory and supervisory functions.

He added that the implementation of revised license application forms, aimed at garnering more statistics on the composition of business entities within the sector, as well as the aggressive pursuit of formal linkages between the tourism and international business sectors were also among the Ministry’s short term plans.

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