Today, I want to salute the Barbados National Bank for its outstanding achievements during the past two decades.

This is a story of transformation to success; a rise from relative obscurity to fame; a journey from back street to high street, is symbolized by this modern, magnificent structure which occupies one of the best location in Broad Street and towers above its neighbours.   

Your achievements demonstrate the power of adopting and pursuing a people-centred mission.

Even though your vision, like all visions, can never be fully realized, you can today take pride in the fact that during the last 20 years you have become the financial institution of choice in Barbados.

You have also become the standard bearer of excellence in customer contentment, employee satisfaction and shareholder value within the Financial Services sector.

I congratulate you for sticking to your core values of customer focus, respect for the individual, integrity, professionalism and results orientation.

These are values that should not only be adopted by all service providers in the private sector but also by those who are mandated to serve the people of Barbados in the public sector.

I believe that the story of the Barbados National Bank should be essential reading for all those interested in creating wealth; and compulsory reading for students those and practitioners of business administration.

This institution has a rich history, having evolved from the Government Savings Bank which was started in 1852, the Sugar Industry Agricultural Bank founded in 1907, and the National Housing Corporation which provided housing loans to Public Officers from 1958.

When these institutions were amalgamated in 1978 under the leadership of Sir Harcourt Lewis to form the Barbados National Bank, they created a unique institution that provided services for commercial banking at the grassroots level.

It also provided agricultural credit at a time when the production of sugar was still a major industry in Barbados and mortgage financing for lower income government workers.

This portfolio was further extended in 1981 when a Trust Division of the Bank was established to provide mortgage finance for middle and upper income groups. Hence as early as 1981, this Bank could proudly boast of having "strong roots and a wide reach".

Despite these advantages the Bank persistently experienced huge losses.

The root cause of the problem was the mistaken assumption that serving ordinary citizens in a government-owned institution is an excuse for inefficiencies.  

That belief led to wastage on a scale that was unacceptable then as it is today. I was committed to it when I was previously Minister of Finance and I am even more committed to doing so now in my capacity as Prime Minister of Barbados.

I distinctly remember working closely with the Central Bank to analyze the situation and to do something about the wastage of taxpayers' money.

Eventually the Central Bank, with the assistance of the International Monetary Fund, commissioned a full investigation of the Bank's circumstances with recommendations on what actions should be taken. The review recommended, inter alia:

• (1) A restructuring of the Bank from top to bottom in order to achieve the objectives of being a customer-oriented, competitive, profitable, commercial bank utilizing modern technology and having a professional staff;
• (2) The recruitment of experienced commercial bankers to fill key management positions; and
• (3) The streamlining of reporting structures.

Let me stress that these objectives were part of the over-riding goal of bringing the Bank to a level of growth and profitability that would make it attractive for divestment.

Hence, as early as 1993 the policy was adopted to restructure the bank, change its mode of operation and prepare it for divestment. It was clearly understood that this could only be achieved by radically changing its corporate image and culture.

Well, as they say, the rest is history. The new Barbados Labour Party Administration that came to power in October 1994 persisted with these policies; and by 1995 the bank began to show profits - a mere $525,000 that year.

Barbados will always be indebted to those who helped to transform this Bank during the 1990's. By the early 2000's the Barbados National Bank was attracting the attention of international admirers and suitors.

In March of 2003, Republic Bank Limited (RBL) of Trinidad and Tobago was successful in its bid to acquire 57% of Barbados National Bank Inc.

Ladies and Gentlemen, true to form, the Bajan lass did not come easily. Some stringent prenuptials were drawn up. The conditions of union included:

• a) The development of capital market and investment activity;
• b) The encouragement and support of small business development;
• c) The provision of training and human resource development;
• d) Stimulating competition and seeking partnerships that would improve the overall performance of the bank.

I must give full credit to Republic Bank for remaining faithful to these pledges. Since the involvement of RBL, the Barbados National Bank has aggressively pursued its objectives.

In the process it dug deep into its inherited culture, selected what was good and discarded the rest.

By so doing, it converted its weaknesses into strengths and transformed the negative public image of a "government financial institution" into that of the "People's Bank".

BNB therefore rapidly expanded its services to its existing base, followed by a mass marketing strategy to convince the public that the bank had changed and had become more professional, accessible and amenable.

The results were spectacular. In 2003 at the time of acquisition, BNB operated six branches.  This number has now increased to nine, together with the largest ATM network and the widest geographical spread nationwide.

No wonder BNB was voted Bank of the Year in 2003, 2005, 2006 and 2007, by the Banker Magazine of the Financial Times of London.

BNB has also been a catalyst for change within the Financial Services sector. At the intervention of Republic Bank into the market via BNB, the financial services industry in Barbados was considered to be over-banked and under-serviced. 

Product offerings from all commercial banks appeared limited and stale, with little differentiation and innovation. 

BNB's product and service offerings followed normal banking traditions, i.e. deposits, commercial and retail loans, credit cards and automatic teller machines. 

Credit card services lagged behind the competition and were declining with no apparent interest in growing the segment.  Retail products closely matched those offered by other financial institutions.

Despite the undisputed success of the Bank, there is a belief that some of the components of the formula for sustainable development are still missing.

For example how successful has the Bank been in its commitment to economic emancipation through entrepreneurship at the grassroots level.

It is also believed that investment in the Bank's human resources has not been commensurate with growth and as such, the sustainability of its position in the market that may be of risk.

No doubt, the Bank is fully aware of these concerns and has taken them into consideration in its strategic plans for the period 2009 to 2011.

While all this is taking place, the Government of Barbados has to make a critical decision on whether to divest further or not.

I can at this point categorically state two principles that will never be compromised. One is that it is better to have a small share of a large cake than a whole share of a small cake.

The other is that this administration will never do anything to make Barbadians voiceless, ignorant and impotent spectators to the economic development of their country.

I would fully support the creation a Barbadian-owned Bank. It is clear that it is unlikely that Barbadians, in this environment, will be able to re-purchase the BNB or start a locally owned bank.

In view of our current fiscal constraints, it is contemplated that the remaining government-owned shares should be sold during the next fiscal year. We would hope that Barbadians will be involved in this process.

This building's modern architecture has transformed the landscape of Broad Street and will significantly enhance the image of BNB.

This building will also help to bring people back into the City, which is part of Government's policy as expressed in the latest Physical Development Plan of Barbados.

In light of the prevailing economic and financial uncertainty, this decision by BNB to open a new branch is a bold one. 

After all, it is this willingness to be daring and to tread where others dare to go is what has underpinned the spectacular growth of the BNB during the past 20 years. 

I therefore have every expectation that 2010 will be a good year for BNB. I hope that you will regain the title of "Bank of the Year" and that you will continue to make a highly appreciated contribution to the development of Barbados .....and the Caribbean.

I now take great pleasure in declaring this building formally open.

Let me add my own welcome to all of you and my sincere congratulations to all those who will be receiving awards today.

It is an honour for me to be present and to say a few words at gatherings like this when good corporate citizens of Barbados remind us of the enormous contribution they make to the economic and social development of our nation.

I apologise that I will not be staying for your dinner and the dancing. I have just returned to Barbados this evening and while, at one point, I was advised to cancel my attendance here I thought it was a small price to pay even though I am jet-lagged. 

It is events like this that help us to transcend everyday perceptions and get to understand what makes our organizations and our country work.

For example, the image of the security sector in the mind of the average person is that of an armoured vehicle and heavily-armed guards protecting the assets of the wealthy. Or an isolated encounter with what we feel is a rude security guard simply doing his job and maintaining some order.

The truth is much more salutary than this.

As many of you know, G4S Security Services was established in Barbados in 2005 and officially launched in May 2006.

It is part of an international conglomerate that resulted from the merger of Securicor plc and Group4Falck in 2004.

G4S is the world's largest provider of security services, specializing in the three sectors of (a) Security Services; (b) Security Systems; and (c) Cash in Transit.

It currently operates in 110 countries and its annual turnover is in excess of 4.5 billion Pounds Sterling.

It employs over 500,000 people making it the world's second largest employer (after Wal-Mart Stores).

To put G4S in perspective, it has a larger workforce and turnover than many developing nations of the world.

As such, G4S is a people organisation. It has to be.

Its philosophy and culture should be rooted in the conviction that in the service industry it is people who add value.

G4S therefore shares a number of values with Barbados and certainly with our way of life in Barbados.

These values include:

• Putting people first
• Focusing on the needs of clients
• Developing expertise in meeting these needs
• Attracting, employing and developing the best people
• Striving to enhance the performance of every worker
• Stressing integrity, and
• Working together as a team

This Awards Ceremony is therefore an important method of rewarding those employees who have responded positively to these values.

George W. Bush said at an awards and graduation ceremony some years ago, "To those of you who received honours, awards and distinctions, I say well done. And to the C students, I say you, too, can be President of the United States."

I believe that thanking and honouring the people who help us to create wealth is the correct approach and that it should be emulated by all employers in this country that depend so heavily particularly on service industries.

I note with considerable interest and satisfaction that in a workforce of approximately 600 in Barbados, no less than 87 employees are being recognized today. Awards mean a lot but they don't tell the whole story.

Our great Africa Hero President Nelson Mandela, nominated for the Nobel Peace Prize, said,

"I have never cared very much for personal prizes. A man does not become a freedom fighter in the hope of winning awards, but when I was notified that I had won the 1993 Nobel Peace Prize... I was deeply moved."

You are being rewarded for your demonstration of the fundamental values and spirit of the company, including punctuality, long service and dedication to meeting the needs of customers.

You don't do these things to receive an award. You do them because they are part of your personality and your work ethic.

Deputy Prime Minister Freundel Stuart always makes the point that, "The test of a man's character is not what a man does when he is being watched. It is what he does when no one is looking."

In reflecting on the significance of G4S to Barbados as we strive to overcome the remaining hurdles on the way to becoming a developed nation, there are several messages which I would like to communicate to you all, including the wider audience watching or listening to these proceedings.

The first is that G4S has succeeded in transforming a once-stigmatized job into one that people now perform with pride and dignity.

I recall from the G4S promotion video that members of the public mentioned the smart uniform as one of the major attractions of G4S.

The process of professionalizing the industry also includes on-going in-house training, the encouragement of employees to pursue higher education, and the opportunities for promotion offered to those who are successful in their studies.

As a result the image of the Security Officer has come a long way in Barbados since the days of the proverbial "watchman".

I understand that there is tremendous loyalty between employer and employee in G4S.

The fact that there are so many long-serving employees has been reciprocated by G4S refusing to lay off workers during the recent down turn in business.

Thank you G4S for not using dismissals as a first resort in this recession. 

I also want to thank G4S for helping to foster the enterprise culture among classes other than those from which our entrepreneurs have traditionally been drawn.

I have made it clear on several occasions that the most important lesson we have learned from this recession is that the struggle for "independence" and the ability to pay our way in the world is not completed until we achieve economic emancipation.

By that I mean the commitment and the willingness to add value to whatever we do, as employees and as employers.

The Security Sector is a classic example of how enterprising people can create wealth from meeting everyday needs.

We are all agreed that the world has become increasingly dangerous in the last few decades and certainly since 9/11 and the spread of international terror.

No building or gathering of people for everyday work, for travel, for sporting or other recreational events is safe.

As a result the provision of security services has become a growth industry.

It is most unfortunate that individuals and companies now have to spend more money on securing their lives and possessions, but the point remains that we can no longer continue to take chances.

Anyone coming into contact with G4S cannot help but understand this process of responding to changing needs.

Our research has shown that G4S is currently developing systems using the latest technology to protect assets at risk from internet hackers.

I sincerely hope that as you grow and develop in Barbados an increasing number of local employees will acquire these new skills.

I also hope that you will support the enterprise culture by outsourcing more of your related business activities to new entrepreneurs.

One important criterion we use to determine how friendly an international investor may be, is by its corporate social responsibility.

As a people-centred administration we are forever vigilant to ensure that the communities from which workers are drawn and in which companies operate in Barbados derive some benefit from their presence.

G4S scores heavily in this area.

G4S supports education, sports, and the environment.

For several years now, you have adopted the Gordon Greenidge Primary School and recently donated a library, which is extensively used by the children.

You also sponsor cycling and cricket clubs across the island. In keeping with the concern about global warming you have adopted the Drill Hall Beach and have been doing sterling work in preserving the Turtle Sanctuary there.

You have secured the collaboration of the flagship Hilton Hotel in minimizing the effect of development on the nearby ancient breeding grounds of endangered species of turtles.

Finally, I wish to respond quickly to some of the concerns within the industry which you have expressed.

I wholeheartedly endorse your desire to see a minimum wage established in Barbados to benefit all workers.

With particular reference to Security Officers I appreciate your wish for legislation to offer greater protection from violence for them while performing their duties.

I know you are concerned about the length of time it takes for firearm licenses to the granted to even those who, prima facie, qualify.

I have taken careful note of these concerns and I can assure you that they are being addressed.

I hope that I have done justice to the splendid work that G4S is doing in Barbados.

Today's event honouring scores of ordinary Barbadians who have imbibed the values and spirit of your company is testament to the dividends that derive from investing in people.

I therefore congratulate all the awardees and wish you and your company every success in the coming year.

In contemplating my remarks to you this afternoon, I couldn't help but draw the parallel between political and economic developments here at home in Barbados and those that stretch across the United States of America, at this particular hour.

Several of you, I am sure, had been following the political pendulum in Washington even before the historic Massachusetts loss by the Democratic Party late last week.

What I find particularly interesting, is the acknowledgement by many in Barbados that President Obama was dealt a very tough economic hand when he assumed the leadership of that country a year ago.

Persons of varying political persuasions here in Barbados have conceded that President Obama could not reasonably have been expected to do much more than he did, economically, within the framework of the socio-political and economic legacy that he inherited.

There is a consensus however, that in its first year, the Obama presidency has done much to change and influence how the United States is perceived around the world.

The significance of this should not be undervalued.

I am not about to write the biography of my first two years as Prime Minister, but I must confess that the parallels with that of President Obama and his circumstances are significant. For like me, President Obama is caught between unloving critics and uncritical lovers.

What is sometimes amazing, is the extent to which the very persons, here in Barbados, who understand and empathize with Obama for the hand he inherited, find it difficult to appreciate that the circumstances here in Barbados are essentially no different and that in several respects, we in this 166 square mile island fared better.

My intervention today will focus on the current state of the Barbados economy, making reference to the review of the economy in 2009 and projections for 2010.

When I was elected in 2008 I knew that Barbados faced many challenges. I committed to lead a government that would work with the private sector and the workers' representatives to achieve certain goals for our nation.

2008 was a tough year which ended in great uncertainty.

The story of what happened in that year has been told several times and in several places and I have little to add to it today, except to say shortly how events in the world have affected our economy.

I outlined my vision for Barbados in my party's Manifesto, "I have a vision of Barbados in which our arts,  architecture, industrial policy, economic policy and social policy promote the concept of island living that is socially empowering, highly productive and allows us to meet both our internal and external obligations.

I see a Barbados in which we use trademarks and inventions, which boast ‘Made in Barbados', as a reassurance of quality; and where we have a style of governance that is democratic in the true sense of the word.

In short, I see a new Barbados that can show the world that the size of our island nation presents no barrier to the attainment of a superior quality of life. To this end, I believe that there are five areas in which our Island should seek to be the very best:

- Information Technology Software Development

- Solar Technology goods and services

- Environmentally-friendly Building Materials

(furniture, doors, fittings and frames)

- The Arts (fashion design, music, dance and theatre)

- Food and Beverage"

Government sees these, and others, as niche opportunities that Barbados should pursue.

The daunting global economic conditions that have prevailed over the last two years have continued to impact the economic landscape of Barbados severely our ability to flex our muscles economically in the way I would have wished.

I am mindful though that our finest moments have occurred when we are feeling deeply uncomfortable, unhappy, uncertain or unfulfilled. For it is only in such moments, propelled by our discomfort, that we have stepped out of our ruts and started the search for something new and for new ways of doing something.

And the international climate provides the platform for such reawakening particularly if, according to the IMF World Economic Outlook, towards the end of 2009, the global economy was expanding again.

It is predicted that it will be pulled up by the strong performance of Asian economies and stabilization or modest recovery elsewhere.

In the larger economies, unprecedented public intervention has stabilized activity and has even fostered a return to modest growth in several economies.

Fortunately, emerging and developing economies are generally further ahead on the road to recovery, led by a resurgence in Asia.

The recent rebound in commodity prices and supportive policies are helping many of these economies.

By the same token, countries in emerging Europe and the Commonwealth of Independent States have been hit particularly hard by the crisis and developments in these economies are generally lagging those elsewhere.

The contagion from the economic and financial crisis, especially in industrialized countries, has also led to broad-based contraction within Regional economies.

This contraction was accompanied by reductions of foreign exchange inflows and increases in unemployment levels.

Additionally, the fiscal deficits have widened as a result of a decline in tax revenue, despite efforts by regional governments to narrow the fiscal gap.

The external shocks from the global financial crisis have posed different and significant challenges for the Barbados economy.

GDP growth stagnated in 2008 while a significant contraction in GDP of around 5.3 percent is estimated for 2009.

In essence, the crisis is estimated to have cost Barbados almost 10.0 percentage points in economic growth over the last two years.

Moreover, the depth and protracted duration of the crisis has led to broad-based contraction in output across virtually all sectors during 2009.

There has been a severe downturn in tourism activity. Permit me to point out who our "tourists" are.

I get the impression from listening to some, who should know better, that tourists are ‘Martians' who land on earth three o'clock every morning with bags and bags of money and other riches.

It is trite to say that the majority of visitors to Barbados come from those economies that are under great strain.

Europe, Canada, the United States and the Caribbean are the places from where we receive visitors.

These are all also economies - except perhaps Canada - that are undergoing similar and in some instances worse shocks than those which we have encountered.

So a fall-off in arrivals or a decline in spending ought not to be viewed in isolation or from an absurd and illogical perspective.

I just thought I should make that point because it is really amazing the type of submissions that emanate from certain quarters in this country.

Preliminary data suggest that the decline in tourism activity was due mainly to an estimated 11.0 percent fall in long-stay arrivals and this took place in spite of a brighter 6.0 percent increase in cruise ship passengers.

Any contraction in tourism will have a knock-on effect on other traded sector activity in our economy and declines in manufacturing and non-sugar agriculture were therefore recorded at the end of 2009.

In addition, the crisis-related loss of foreign exchange from tourism is estimated to be $170 million which, coupled with an estimated shortfall of $465 million in private capital net inflows, were the main factors in a lower than anticipated Net International Reserves position.

Waning tourism-related projects coupled with the tight credit conditions being experienced internationally, brought a number of real-estate investment projects to a standstill, retarding activity in the construction and mining and quarrying sub-sectors.

In relation to unemployment and inflation, the position on these indicators during the reporting period was mixed.

I am happy to report that the inflation rate has moderated during 2009, falling from 8.6 percent at the end of 2008 to 3.1 percent at the end of 2009.

Unemployment, in these very challenging times, has been contained to 10.0 percent. In some quarters, 15 per cent was forecast!

Following a similar trend in 2008, the fiscal deficit widened during 2009 to an estimated $564.6 million or 8.4 percent of GDP.

This fiscal outturn reflected a marked slowdown in revenue intake on account of the weakened domestic economy and increased government expenditure.

Government expenditure rose by an estimated 3.4 percent in 2009, below the 14.1 percent increase in 2008.

This slower rate of expansion in Governments spending can be attributed to lower rates of growth in transfers and subsidies coupled with reduction in capital expenditure and interest payments.

Projections for 2010

This Seminar is about the Economic Outlook for 2010.

Projections of the key macroeconomic indicators suggest that in 2010 the Barbadian economy is likely to register a marginal growth rate of 0.5 percent, driven largely by an anticipated improvement in the performance in both the traded and non-traded sectors.

These projections are in large measure determined by the kind of recovery that will occur in our major source markets.

As I stated earlier, the global financial markets are showing signs of stabilization, but one has to be cognizant that this recovery remains still fragile and thus warrants a carefully managed policy response.

While any signs of a global recovery are welcomed, government acknowledges that there are a number of policy initiatives that must be continued in order to reposition the Barbados economy.

The Ministries of Finance and Economic Affairs are in the process of rolling out a medium-term fiscal strategy (MTFS) for the period 2010 to 2014 which the Cabinet has already reviewed.

This strategy outlines very systematically the management our recovery during this financial and economic crisis and beyond.

The core strategic objectives of the strategy will be to enable Barbados to make the critical transition from crisis to recovery; to turn the page on an era of expanding fiscal deficits; and to adopt a set of policies, parameters, regulations and reforms to meet the needs of the 21st century global economy.

In essence, this will be a year that marks a new departure for our economy. The strategy is a medium term project that has long term benefits.

The specific objectives of the MTFS are to:

• i. Put Barbados's public finances back on a sustainable footing.
• ii. Ensure that a balanced budget is obtained by 2014/15 and a small fiscal surplus by 2015/16.
• iii. Reduce central government's debt to GDP ratio to near 70.0 per cent by 2017/18.
• iv. Maintain an investment grade rating for Barbados.
• v. Provide a stable fiscal framework that will enable the Government to better achieve national goals and development.
• vi. Maintain macroeconomic stability through sustainable management of the fiscal deficit and debt.
• vii. Increase productivity and international competitiveness.
• viii. Return real GDP growth to the sustainable annual average rate of approximately 3.0 per cent by 2012.
• ix. Ensure that Government's social policy enhances the social welfare and well-being and quality of life of citizens particularly the most vulnerable persons/sectors in the society.

It is important to note that the medium-term fiscal strategy will constitute only part of a much broader Medium Term Development Strategy for the similar period 2010 to 2014 which is now being considered by the Sub-Committee on Economic Policy.

This comprehensive Medium Term Development Framework will represent the blueprint for growth and development over the next five years.

This strategy has be a series of reforms that signal change in the way we do business, the way we work, the way we think, the rewards we get and the effort we make.

As Barack Obama said during his campaign, "Change will not come if we wait for some other person or some other time. We are the one's we've been waiting for. We are the change that we seek."

These reforms are needed now. And we are the ones who have to effect the change.

The reforms are not just about words. Edwin Friedman said, "the colossal misunderstanding of our time is the assumption that insight will work with people who are unmotivated to change. Communication does not depend on syntax, or eloquence, or rhetoric, or articulation but on the emotional context in which the message is being heard. People can only hear you when they are moving toward you, and they are not likely to when your words are pursuing them. Even the choicest words lose their power when they are used to overpower. Attitudes are the real figures of speech."

There are words that swirl around our people like "competitiveness" and "productivity" and "efficiency" and "survival of the fittest" that have become like swords against the average man and woman. Barbados is not just an economy - we are a society where people enjoy living and coming here to work.

Not just because of tax concessions and competitiveness but because they can enjoy a harmonious, high standard of living here.

To change attitudes in Barbados, we must generate consensus, cooperation and the building of a team in which rewards and setbacks are shared.

Conscious of this caveat, I am proud to report that the Barbados Competitiveness Programme being funded by the IDB, will commence very soon.

This project will seek to create the appropriate enabling environment for business facilitation, through a thorough evaluation and design of new productive development frameworks and incentive systems.

One of the exciting features of the competitiveness project is that it will strengthen participatory democracy through a specially designed private-public partnership framework for sustained development.

Let me then reiterate the point that government will not waver in its commitment to re-balance the economy repositioning all sectors to benefit from growth prospects when the global economy returns to buoyancy.

What we are doing is:  

• Identifying new areas of growth that will generate employment. For example, the Cultural Industries.
• Providing incentives to empower new and existing small and medium size enterprises. This initiative, which will be announced for next fiscal year, will ensure that 40 percent of government's procurement of goods and services is reserved for small and medium enterprises.
• Prioritizing a new and genuine production enterprise culture in Barbados and entrepreneurship to enhance the country's potential to be an export leader where we have some competitive advantage. I was pleasantly surprised by the positive news I read from the Barbados Manufacturers Association last week.

• Strengthen linkages between tourism and other sectors in an effort to bolster economic growth. I am very much looking forward to seeing the Tourism Plan that the BHTA has commissioned so that we can work more effectively with our Tourism Partners.

Government will also continue to provide support to the international business sector since this sector is critical is assisting our country through these challenging times.

As you are aware, my advisors and I are in the process of preparing this year's Estimates of Revenue and Expenditure and to follow will be the Financial Statement and Budgetary Proposals.

I have made it a point this year to meet with every Ministry and to clearly enunciate the rigorous fiscal programme that we will be pursuing but, more importantly, to get an overview of the way in which Ministries have prioritized their expenditures.

Today is not the time and this is certainly not the place for me to adumbrate the specific initiatives that we will take as a government to lighten your load and foster an environment for growth and expansion of your enterprises.

What I will say to you, nevertheless, is that what I see as most needed cannot be delivered by way of the proverbial ‘black box'.

It requires much more.

I said two Sunday's ago and I said earlier that the number one challenge of Barbadians going forward is the adoption of the correct attitude.

Half of the mountain is climbed or, as this is the birthplace of Ryan Brathwaite, the high point of the hurdle is crossed when once we adopt the correct attitude and aptitude to getting the job done.

As a government, we will hold consultations with the private sector and whatever we can do, within reason, to assist you through this period, we will do...but a lot will also depend on you.

The weight of this global crisis must not determine the destiny of our nation.

At all levels, we must start thinking without limits, and draw inspiration from those around who have succeeded against the odds and who, contrary to popular view, were not endowed with gold spoons.

Very often we speak of the achievements of our sportsmen, more recently of Ryan Brathwaite in athletics and of Rihanna in entertainment.

But this is also the country that has produced Sir Kyffin Simpson, Sir Charles Williams and other businessmen and industrialists who can hold their own at the any business meeting anywhere in the World.

Not because they are eloquent. What is the enduring quality of both of these men for example?

That, as Susan Anthony says, "Cautious, careful people, always casting about to preserve their reputations and social standing, never can bring about a reform. Those who are really in earnest must be willing to be anything or nothing in the world's estimation, and publicly and privately, in season and out, avow their sympathy with despised and persecuted ideas and their advocates, and bear the consequences."

This is the country that has produced Sir George Alleyne, Nobel Prize winner Dr. Leonard Nurse and many others. The first thing US Attorney General Eric Holder said when he went to his nomination hearings was that he is the son of proud Barbadians.

Whenever I meet President Obama, he says to me, "Hey, how are things in Barbados? Then he turns to the person next to him and says, ‘This guy is the leader of a country where everybody is family to everyone else.'"

Truer words could not have been spoken. We are all "family." We all have to act as a family and pull ourselves up and out of this economic crisis together.

Simply put, size has never been a deterrent to where we can go or what we can achieve as a people. We must not constrain our achievements through fear of failure or by conservatism of thought.

Truth to tell, while I cannot say whether things will get better if we change; I know that things must change if they are to get better.

My job is to remember always that power comes from the Latin "posse" meaning to do, to be able, to change, to influence or effect. To have power is to possess the capacity to control or direct change. The central issue in relation to power for me is to use power wisely and well.

I would like to influence you to re-launch the Barbados label as ‘leader' in most things in this hemisphere.

As businessmen, I want to influence you to put Barbados first in your boardroom deliberations.

Barbados' welfare and well-being will determine the welfare and well-being of you and your enterprises.

We need business plans that are Barbados friendly; that are in the best interest of the medium and long term interest of this country.

We need also business practices that will create the enabling environment for us to foster and maintain an atmosphere of peace, harmony and tranquility.

I am comforted that for the most part we have maintained a relatively quiet industrial climate during the past 24 months.

There were a few skirmishes, as there will always be, but generally, I am satisfied that many years of respect for and adherence to healthy and positive industrial relation practices have stood us in good stead to weather this period of challenge and adversity.

We must be practical in our approach to business.

I saw an advertisement on television yesterday evening in which a well known pancake house of international standing is claiming that it has rolled back the prices of some basic meals to 2005 levels.

On the surface this sounds like a gimmick and you wonder if it could be true, but clearly, the marketing professionals here have determined that volume and rapid turnover is what is required to keep and grow market share in these difficult times.

If anyone in here could find a restaurant tomorrow that sold the same high quality lunch at 2005 prices, wouldn't you head in that direction?

The point I wish to make, in clear and pellucid terms, and I am told by some that they do not like my simple language, is that as businesspeople it does not pay - in this environment - to be greedy...you have to roll with the punches and do whatever is required to stay in business.

The horizon looks promising and I am sure Barbados will rebound from this economic downturn, but for the time being, you have to be practical and realistic in the growth targets you set yourself and your enterprises.

I want you to believe in Barbados and to love this country.

Hiding your money overseas and not reinvesting it in this country is one, not wise; given the turbulence that exists in the international financial community at this time, and second, it is not pro-Barbadian.

Many of us may have an option or two as to where else we can live, but I challenge anyone in this room or this country, for that matter, to tell me a country that they would chose to live in over Barbados at this moment.

Therefore, just as you are going to ask me as Minister of Finance to introduce measures to stimulate your business activity, I want to ask you as well, to wrap your business plans and your prospects for investment in the flag of this country.

I am familiar with several of your concerns and I intend to address them gradually over the course of the next two years. We will start with the Budget and we will also work with you outside of the budget cycle to effect meaningful change.

The object is to focus not on problems but on opportunities.

One lingering area of concern I know you have, pertains to planning permissions.

There have been improvements in the turnaround time on applications, but I am told by several of you, and I agree wholeheartedly, that the overall culture needs to change.

We have to foster and build a dynamic in Barbados where critically placed public officers view themselves and their work as partners in the process of development and not mere controllers or regulators.

I would like to see the stage reached in Barbados where the Planning Department could have input into large scale projects at the conceptualization stage, rather than at the point as currently practiced where tremendous effort and resources would already have been expended.

This will require a change in the law.

The critical challenge for us in Barbados is the procurement and retention of foreign exchange.

Tremendous assistance must therefore be given to projects that are net foreign exchange earners and the planning department will be encouraged to see itself as a partner in the development of such projects rather than a controller.

In this way, upfront costs are reduced and the incubatory period lessened, as all parties could, by the time the plans are formally submitted, be singing from the same hymn sheet.

This is but an example of the forward looking approaches we are contemplating as we seek to improve the environment for doing business in Barbados.

As I said earlier, this being a few weeks before the start of the estimates debate and the annual Budget, I do not propose to go into great detail as to the specific initiatives that will be taken.

I have asked the Chief Town Planner, The Comptroller of Customs and the Chief Immigration Officer to be here with me today to answer any questions you may have about reforms in those departments.

Suffice to say, nonetheless, that as a proud nation we must use this time wisely; to rebuild our institutions and confront boldly our challenges.

The economic challenges ahead will be difficult but I am confident that with astute leadership, good governance, creativity and co-operation by all, we will overcome this very challenging period and shall preserve Barbados' standing as a leader in this part of the hemisphere.

I thank you.

Address ByThe Hon. David Thompson, Q.C., M.P., Prime Minister Of Barbados At The Official Launch Of the Apes Hill Club On Wednesday, December 2^nd 2009

I am therefore delighted to be here this morning to formally launch the Apes Hill Club that is destined to become yet another jewel in the diadem of tourism which, as you know, is our flagship industry.

I want to congratulate Sir Charles Williams, and his internationally renowned partners for conceiving the project and transforming this slice of rural Barbados into a world class lifestyle and sporting facility.

Thank you Sir Charles; thank you Sir Gerald Barton of Landmark Land Company; and thank you Julian Small of the Wentworth Club.

I want to compliment you and your respective teams for your sensitive collaboration with us in pursuit of justice and excellence. You have helped us to put to optimum use a piece of the scarcest resource we have in Barbados.

Sitting at the breakfast table this morning I could not help thinking of my illustrious predecessor, the Right Excellent Errol Walton Barrow, as he wrestled with the challenges of developing a small island state with limited natural resources but unlimited ambitions as an Independent nation.

He knew instinctively that Barbados could not expect to raise the standard of living and the quality of life of its people by continuing to rely exclusively on King Sugar.

He dreamt that one day sugar cane would be nothing more than a household plant to be shown to children in history lessons and in stories of the old days recalled by our elders.

But I wonder if he visualized 43 years ago what derelict sugar plantations like Apes Hill and several others could become?

We are assembled here today to launch Apes Hill Club which is located within a unique, luxurious golf and polo community offering villas and other properties with spectacular views of both the Atlantic Ocean and the Caribbean Sea.

This ultra-modern human habitation, rising to 1,000 feet above sea level has been created from rolling meadows, thick forests and coral limestone quarries, into what will become a vibrant "open" community that is highly compatible with its natural environment.

Let me stress that I am here this morning simply because this project is consistent with the vision and policies of my Administration. It has tremendous potential as a foreign exchange earner and as a standard bearer of high-quality, healthy lifestyles for anyone who can afford what it has to offer.

Our vision for Barbados as expressed in our various documents is to see this country emerge as a nation of healthy, distinct communities sharing a common economic base and pursuing common goals.

We envisage a nation in which economic and physical growth is balanced with the conservation and enhancement of rural landscapes; a nation with a good mix of cultural and natural heritage; a nation characterized by equal opportunity through which all residents can partake in the benefits of development.

It is about development for the benefit of all categories of citizens and residents of Barbados. It is about the sustainable development of our country.

That vision also includes the goal that the label "Made in Barbados" will be a guarantee of excellence and quality. It is part of the drive to show the world that the size of our island nation presents no barrier to the attainment of a superior quality of life.

Let me reiterate that it is imperative that Barbados with a land mass of approximately 105,000 acres manages its land use in a manner that is socially, economically and environmentally sustainable.

In doing so it has to balance the conflicting demands on land use and in particular resist the global trend towards urbanization.

Barbados now faces a unique combination of challenges that will require astute leadership and collaboration in planning and managing the development of this finite land space that we call home.

The first challenge is the increasing demand for housing. I make no apology for my Government's commitment in its 2008 Manifesto to help every citizen to acquire "decent affordable housing".

Another source of pressure on the land is our commitment to revive agriculture.

The recent global food crisis highlighted the need for food security in Barbados. Barbados currently imports around half a billion dollars worth of food annually.

In the event of a natural disaster that damages our ports, Barbados would be in serious trouble. In addition to this, modern eating habits based on imported foods have been linked to the phenomenal increase in Chronic Non-Communicable Diseases in this country.

It is for these and other reasons such as the creation of employment, that Government is committed to reviving and modernizing agriculture.

The third source of pressure is from Tourism. Tourism is our leading foreign exchange earner and the source of much direct and indirect employment.

A recent development in Barbados is the demand for golf courses. Even though golf courses can enhance our tourism product, we need to resist the temptation to take out of production huge swathes of prime agricultural land.

The watchwords in dealing with these demands are REGULATION and BALANCE.

Left to chance, unrestricted urbanization, rigid agricultural policies and unplanned tourism development could lead to a nightmare for a small island like ours.  

This would expose us, at one level, to the real risk of losing control over the growing demand for shelter and the related problems of sewage disposal, solid waste management, traffic management, noise, energy efficiency, water conservation and management.

At another level, it could lead to the establishment of exclusive residential estates to which local people have no access.

Compounding these problems is the serious challenge of global warming and the associated impact of climate change.

Without careful planning and development Barbados could unwittingly contribute to its own demise. A flat small island like Barbados could easily be wiped out by rising sea levels or devastated by flooding from heavy rains.

So I am convinced that the rapid development which has taken place in recent years without respect for ancient water courses and drainage systems, has led to the flooding which we have been experiencing all over the island, especially in Holetown.

And I know that in a situation like this, and I can think of many others, planning is sometimes viewed as an impediment to development especially when an Environmental Impact Assessment is required to ensure harmony and sustainability.

Of course we want to develop Barbados: but not at any price.

We have therefore made it abundantly clear that we will not compromise our position on the sustainable development of our country.

Already the Waterhall Polo Club has blazed a trail across England and will pull in an increasing number of visitors from polo loving countries. No doubt the Apes Hill Golf Club will do the same with golf.

This project has so far provided jobs for 400 people and I am sure that many will be retained to run the facilities. I am convinced that this project will create employment at all levels.

At the highest professional level it will create employment that is commensurate with our better educated citizens who come on to the job market every year.

It is also hoped that exposure to a high class facility like this will enhance the status of those who work close to the land.

Above all this project is at the cutting edge of environmental protection. I have been informed that all the water used by the golf course will come, not from BWA, but from the Club's own reservoir that holds 65 million gallon of rainwater.

The reservoir will channel run-off water away from low lying communities and save Holetown from perennial flooding.

All in all, I have every reason to believe that the Apes Hill Club will become a good corporate citizen and a useful member of Team Barbados.

I therefore take great pleasure and pride today in launching this Apes Hill Club and Golf Course.

On the 26 June 2008, the Cabinet agreed to the establishment of a Cabinet Sub-Committee on Immigration.  This Sub-Committee has as its mandate the development of a new and comprehensive Immigration policy for Barbados.

The effort to exercise greater control over immigration has been heightened by:

• (i) The need to achieve an improved level of border security as the Immigration Department responds to the challenges posed by the freer movement of people, the globalization of terrorism, human trafficking, organized crime and drug trafficking;

• (ii) The need to honour regional, hemispheric and international commitments with regard to the movement of capital and people which is critical to the effective promotion and strengthening of the services industry; and

• (iii) The need to address and remove inconsistencies in the legislative framework governing immigration.

As part of its discussions, the Sub-Committee focused attention on the level of illegal immigration in Barbados.  The Sub-Committee agreed that current levels are unacceptably high, increasingly difficult to control and pose potentially negative socio-economic challenges for the country.

While it cannot be denied that some of these persons have made and continue to make a contribution to the development of Barbados, the Sub-Committee concluded that the problem of illegal immigration can no longer be ignored.  Consequently, the Sub-Committee made a series of recommendations to the Cabinet of Barbados concerning a revision of the country's treatment of illegal immigrants currently residing here.

Those recommendations were approved by the Cabinet and I now propose in accordance with the said approval to inform this Honourable House as follows:

With effect from 1^st June, 2009, all undocumented CARICOM Nationals who entered Barbados prior to the 31^st December, 2005 and remained undocumented for a period of eight years or more, are required to come forward and have their status regularized.  Persons making use of this opportunity are expected to meet the following stipulated conditions:

• (a) An application for immigrant status together with all supporting documentation must be submitted to the Immigration Department on the prescribed form within six (6) months of the date of commencement of the policy, that is to say, before December 1, 2009;

• (b) The applicant must be able to substantiate his/her claim that he/she has been residing in Barbados for at least eight (8) years immediately prior to 31 December, 2005, i.e. before January 1, 1998;

• (c) The applicant must be currently employed and must provide evidence of his or her employment status;

• (d) The spouse or child of an employed applicant residing in Barbados with the applicant is eligible to apply under this new policy;

• (e) The applicant must pass a thorough security background check;

• (f) Applicants with three or more dependents will be considered but will not automatically qualify for status. Each case will be considered on its individual merit.

I must make it clear that after the qualifying period has expired, those CARICOM Nationals without lawful permission to remain in the island will be removed.

I wish to take this opportunity to reaffirm the commitment of this Government to the regional integration process and in particular to Article 45 of the Revised Treaty of Chaguaramas which provides for the movement of skilled CARICOM Nationals within the CARICOM Single Market.  These rights are enshrined in the Caribbean Community (Movement of Skilled Nationals) Act which was passed by Parliament in 2004.

It is my view that leaders in this region must work together to find solutions to the many vexing problems existing in our individual societies.

I thank you.