PM Gonsalves to sign two loan agreements with the World Bank

Prime Minister of SVG Ralph Gonsalves

Prime Minister and Minister of Finance, Dr. Hon Ralph Gonsalves today, sign on behalf of the Government of St. Vincent and the Grenadines, two loan agreements with Ms Tahseen Sayeed, – World Bank’s Country Director for the Caribbean.

Both agreements were approved by the World Bank’s Board of Executive Directors in May, 2017. Both loans provide financial resources from the Bank to address critical constraints in human development and in the agriculture sector.

The first loan is a human Development Service Delivery Project in an amount of US$10.7 million, to be financed fully by an IDA Credit to the government.  No co-financing is required, but the Government of St. Vincent and the Grenadines will provide in-kind contribution to support the successful execution of the project.

The project will be implemented over a five-year period commencing 2017.  The project is expected to commence in earnest by August 2017, following the recruitment of key project staff (including Project Coordinator, TVET Programme Manager, and the establishment of the project steering committee.

Project Objectives

This project is designed to strengthen the quality of service delivery in education, improve the efficiency of social protection systems, and improve the effectiveness of labour market systems in Saint Vincent and the Grenadines.

The project is structured around four components.  The first component will provide support for pedagogy for basic education teachers. The second component will build responsive social protection service delivery systems, and the third component will strengthen labour market systems for improved skills training of poor and vulnerable populations. The fourth component will support project implementation, monitoring and evaluation.

Project Components US$ M
1. Strengthening pedagogy for basic and special needs education $2.16
       1.1 Strengthening teaching capacity $1.81
       1.2 Developing capacity of school leaders to support teachers in improving pedagogy   $0.35

 

2. Building Responsive Social Protection Service Delivery Systems $3.46
      2.1 Support in Completing an Enhanced Country Poverty Assessment (eCPA) $0.80
      2.2 Support in Strengthening the SP System (MONM) $2.66
3. Strengthening Labour Market Systems and Improving Skills Training of Poor and Vulnerable Populations $3.84
     3.1 Support in Strengthening TVET Certification Framework $3.32
     3.2 Support in Strengthening of Labour Legislative Framework          $0.52
4. Project Implementation Support $1.24
 Total Cost $10.7

 

Agriculture Competitiveness Project

The second loan Agreement is the OECS Agriculture Competitiveness Project which will be implemented in St. Vincent and the Grenadines and Grenada.   The total cost of the St. Vincent and the Grenadines’ project is US$4.30 million and is 100% Bank funded by an IDA Credit with no co-financing required. However, as part of the project implementation modality, counterpart funding will be provided from key beneficiaries of approximately US$0.72 million. The overall total project cost is projected to be US$5.02 million. The government will also provide in-kind contribution to support the successful implementation of the project.

The overall objective of the project is to enhance access to markets and sales for competitively selected farmers and fisher-folk (FF), as well as their allied aggregators and agro-processors (AA) in St. Vincent and the Grenadines.  The main project beneficiaries include:

  • Small-scale individual or organised farmers and fisher-folk (FFs).
  • Aggregators and agro-processors (AAs), including: (a) producer organisations (associations, cooperatives or similar formal organisations with legal standing); and (b) SMEs, such as wholesalers, traders, lead farmers (with legal standing to act as an aggregator), and industrial agro-processors.
  • The extension staff of the Ministry of Agriculture will benefit through capacity building.

 

Project components IDA Credit Beneficiaries’ contribution Total costs
ST. VINCENT & THE GRENADINES
1. Support for Preparation of Business Plans 0.43 0.43
2. Implementation of Business Plans 2.73 0.72 3.45
3. General Agricultural Services  and Enabling Environment 0.36 0.36
4. Project Management, Monitoring, and Evaluation 0.78 0.78
Subtotal 4.30 0.72 5.02
TOTAL PROJECT COSTS 4.30 0.72 5.02

 

Prime Minster Gonsalves and Ms Sayeed signed the agreements in Cabinet Room at 10.am on Thursday 15th, June 2017.

10 Comments

  1. The more we borrow, the worse off we become economically; the more we borrow, the poorer the outcomes of the loan projects that are funded; the more we borrow, the greater the chance that the governing party is returned to power.

    • There YOU go again , Mr.Gloom , generally when money is borrowed , the person or Entity seeking the Loan has to demonstrate that they are capable of paying back the Loan , before the Lender agrees to the Loan .

      That being the case , it seems that the Government of SVG has got over that Hurdle . I get the impression from what you have written , that it aint the Loans that YOU are concerned about ; it is the possibility that these Loans are
      likely to return the current Government to Office in the next General Election .

      The fact that these Loans are going to be helpful to some People in SVG , is not of importance to YOU . You are it seems much more concerned with looking at these Loans from a
      Political perspective .

      It seems to me that your main agenda is that the current Government fails at everything it does , your Negativism seems unlimited Mr. Gloom . I am beginning to believe that
      You do not want the current Government to succeed at anything it does ; even if it helps people in SVG .

      • Yes, Veridical, our economy is performing wonderfully with 50 percent of our young adult school leavers unemployed and 30 percent of our people in abject poverty, according to the World Bank. Add to this the thousands applying for visas every year or otherwise trying to flee to other countries to earn a bread.

        Labour love!

  2. Since the borrowing is a problem to you MR PROFESSOR why don’t you give the people of SVG some of your wealth so that they can be up to your standard.
    Everytime SVG surfaces on the internet your whip is there ready to beat it up.

    • “Give” as in charity or grant would only be used to feather the nests of those who have already become rich off the blood, sweat, and tears of ordinary citizens.

  3. Mr knowledgeable, the man who knows everything. This individual is so negative when it comes to SVG. C Ben David, why can’t you just disappear? Leave us alone. Vincentian are tired of your doom and gloom preaching, we are differnately fed up of all your bullshit.

    • This is precisely why I refer to him as Mr. Gloom .There is
      NOTHING that the current Government has done or is doing
      that meets the approval of Mr. Gloom .
      His Negativism with regard to mainland St. Vincent is limitless .

      I am beginning to believe that he has a Personal Vendetta against the Government . Mr. Gloom if that is the case please inform Us , perhaps WE will then understand your behaviour .

      • Veridical, you know damn well that I have been even more critical of the current NDP and the NDP under the leadership of James F. Mitchell. I have no party affiliation in SVG, just an aversion to bad public policies such as the construction of the useless AIA.

  4. Sorry guys! One man signed the deal but he’s not the one who has to repay the debt. I am not impressed with the plans, especially for Fishery and Agriculture. So far both have been failures since the ULP has been in power. I have to agree that the bank is helping Ralph to enslave Vincentians once again. Money to build factories to create manufacturing jobs will go a long way to create for jobs Vincentians.

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