Uptake on Foreign Direct Investment
Monday March 14 2011 | 04:14 AM

FOREIGN Direct Investment (FDI) recorded an increase of BDS $158 million over the amount for the previous year.

This preliminary data was given by the Minister of Finance and Economic Affairs, Chris Sinckler, at the launch of a new Digicentre in Mall Internationale last week.

According to him, this is a reflection of the impetus towards developing the international business sector – a main contributor to the economy.

According to the 2011/2012 Estimates of Revenue and Expenditure, which were laid in the House of Assembly last week, the amount projected for the coming year for Invest Barbados is BDS $12 million, the same as the revised Estimates of the current year.

Government said in the document that the purpose of this programme is to promote and facilitate investment in the international business sector. It is also aimed at promoting the indigenous services export sector, supporting the emergence of a business-friendly investment climate and collaborating on the development of the Barbados brand.

The injection of funds provides financial assistance for capacity building and institutional strengthening, competitiveness enhancement, export promotion and marketing and trade facilitation.

Thomas Sears, Chairman of Barbados International Business Association (BIBA) Canada is projecting increased growth in this sector in 2011. This is coming against the backdrop of an economic performance where Dr. Delisle Worrell Governor of Central Bank of Barbados expressed optimism that the international business sector will contribute to growth in Barbados in 2011.

Wayne Kirton, CEO of Invest Barbados, stated that in “In 2010, we have been making very good progress, with the help of several of our international tax experts and other local service providers, in promoting Barbados’ image as an international financial centre, but the reality is that international investors have not been very active in most markets. When that changes, we’ll be top of mind.

In terms of local investment for the previous year, there has not been that much but not for lack of opportunity.

Kirton added , “Moreover, we do not live in a vacuum and there are hundreds of competing jurisdictions seeking to attract foreign investors, and they are being very flexible with concessions, facilitation, and fast decision-making processes.”