NDP Manifesto 2025 - Flipbook - Page 41
Macroeconomic Stability and
Prudent Economic Management
Our country has immense potential.
For too long, our economic destiny
has been left exposed to economic
mismanagement, natural hazards and
external shocks such as the COVID 19
pandemic, the La Soufrière eruptions,
and devastating climate events. All
of which have severely strained our
tourism and agricultural lifelines.
While the current administration boasts of a
temporary recovery, the reality on the ground
is far more precarious. Our public debt remains
stubbornly high due to inefficient spending and
a failure to secure responsible, concessional
financing. The external position is weaker than
it should be, and the fiscal house lacks the
fundamental discipline needed for sustained
progress.
The NDP will prioritise reducing the public debtto-GDP ratio through disciplined management,
ensuring that every dollar borrowed serves the
long-term benefit of the Vincentian people.
The NDP’s plan is rooted in responsibility,
foresight, and an unwavering belief in the
potential of St. Vincent and the Grenadines. We
will restore stability, secure our future, and deliver
shared prosperity for every Vincentian.
We will:
Establish a statutory Constituency
Development Fund mandating a specific
annual allocation in the National Budget,
among the 15 constituencies to ensure
equitable distribution of national wealth.
Operationalise and recalibrate the Fiscal
Responsibility Framework to ensure the FRF
reflects the higher debt levels necessitated
by volcanic eruption and pandemic recovery,
but also incorporates mandatory investment
thresholds for climate resilience projects.
Implement robust reforms to strengthen
the oversight of all State-Owned
Enterprises (SOEs) and enhance cash
management across government to identify
and reduce pervasive fiscal risks and
wastages.
Implement comprehensive disaster risk
financing strategies, including proactively
building adequate contingency funds and
securing catastrophe insurance instruments,
such as the Catastrophe Deferred Drawdown
Option (Cat DDO), with international
partners like the World Bank.
Champion investments in climatesmart infrastructure, integrating the
recommendations from the IMF Public
Investment Management Assessment with a
clear climate focus (C-PIMA) to ensure every
major public works project enhances, not
undermines, our national resilience.
Proactively build and maintain fiscal
buffers to safeguard against unpredictable
risks, such as global economic slowdowns or
commodity price volatility, ensuring stability
for families and businesses.
TOGETHER WE WIN!
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