Nevis Island Assembly Passes Three Resolutions

Nevis Island Premier - Joseph Parry

Nevis Island Premier – Joseph Parry

Charlestown, Nevis
May 11, 2010

Three Resolutions were unanimously passed in the Nevis Island Assembly on Thursday that will allow the Nevis Island Administration to obtain funds for the smooth running of Government.  Premier and Minister of Finance, Hon. Joseph Parry who tabled the resolutions, said they would assist Government to meet its commitments between May 2010 and 2011.

Resolution No. 2 of 2010 sought authorisation under section 49 of the Administration Act No. 13 of 2007, it will enable the Minister of Finance to borrow from commercial banks by means of advances in the form of fluctuating overdrafts with sums not exceeding $65 million.

Resolution No.3 of 2010 under the same legislation, requested a new overdraft facility in the sum of EC$50 million.  The third Resolution, No. 4 of 2010 sought authorization from the Assembly under section 54 of the same Act to change the form of the public debt.

According to the Premier, the Administration acting through its Ministry of Finance was desirous of converting its existing overdraft facility at the St. Kitts and Nevis Anguilla National Bank Ltd. in the amount of EC$64 million, into a long term loan facility to be repaid over a period of 15 years.

The loan facility would be extended based on a deposit of a Certificate of Title for 238.82 acres of land at Stockpen Estate registered in the name of the Nevis Housing and Land Development Corporation.  The use of the Title as security was authorised by a resolution from the Corporation through a resolution and a Caveat.

“The circumstances which led to the request for the resolutions, stemmed from the recession experienced in the Caribbean since 2007 that had negatively affected Nevis,” said Mr. Parry.

During the Assembly sitting the Premier said, the downturn of the Tourism industry in Nevis, like many other islands, had affected revenue.  He also said that the situation was compounded by the closure of the Four Seasons Resort in 2008, which he said had placed both the public and private sector in a disadvantageous position and had made it difficult for the government to meet its commitments.

Prior to tabling the Resolutions, negotiations were held between the National Bank and the Ministry of Finance led by Finance Minister, Hon. Joseph Parry.

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