GRENADA-Grenada government to state the financial cost of Hurricane Beryl’s passage.

ST. GEORGE’S, Grenada, CMC—Prime Minister Dickon Mitchell Tuesday said he remains “unapologetic” about providing all the assistance his administration could muster for the sister islands of Carriacou and Peter Martinique as the country continues to grapple with the financial aspect of Hurricane Beryl’s passage last week.

Speaking at a news conference, Mitchell said that the government is appreciative of the efforts shown by regional and international governments, as well as regional and financial institutions and organizations, in dealing with the devastation caused by the hurricane when it swept through Windward Island last Monday, leaving a trail of death and destruction.

“Undoubtedly, this disaster will significantly impact Grenada’s fiscal and economic financial situation. We are talking of hundreds of millions of dollars in losses and hundreds of millions of dollars to rebuild. Watch video 

“This is going to be a long and difficult situation. We are exploring all options as to how we will finance the clean up, the relief efforts, and the rebuilding,” Mitchell said, adding, “We need to emphasize very early that the rebuilding must have resilience factored into it.”

He said the Ministry of Finance is meeting with “some of our international and regional partners, including the Caribbean Development Bank, the World Bank, the IMF, and we are also assessing whether we would need to suspend the operation of the Fiscal Resilience Act.”

The government has repealed the Fiscal Responsibility Act (2015) and replaced it with the Fiscal Resilience Act (2023). This legislation is described as more simplified and less rigid, allowing the government greater flexibility to manage the economy and implement its transformation agenda.

Mitchell also said the government would be “looking at what fiscal incentives the government will provide to persons who wish to rebuild or repair their homes or simply need food or other amenities to continue living.”

He said that his government anticipates making further announcements later this week or early next week about Grenada’s financial situation.

He said that the government has triggered catastrophic risk insurance, and representatives of the Caribbean Catastrophe Risk Insurance Facility (CCRIF) will be on the island later this week. “We expect announcements will be made about what compensation Grenada will be paid as a result of the passage of Hurricane Beryl.”

“We cannot repair and build new or repair old buildings without ensuring that we comply with strict building codes to minimize losses arising from these hurricanes. We also need to appreciate that the hurricanes are not going away”.

He said that all indications are that hurricanes will become stronger and more frequent, and there is a real risk of them happening early in the hurricane season, which runs from June to November.

“So part of our financing and recovery efforts must focus on ensuring that we build resilient infrastructure and that we build resilient homes and other buildings to withstand hurricanes or the other challenges we face in this part of the world.”

Mitchell said the update on next week’s financial situation would include the sources of funding for the relief and rebuilding and “what policy initiatives the government intends to take regarding our existing debt obligations, including whether we will seek cancellations, write-offs, debt referrals or debt restructuring.”

He said the update would also include actions with the World Bank and the IMF and “provide,g an update on grant financing and assistance we have received so far …and we will also provide an update on the actual damage assessment and impact”.

He said that whi.” e the government is already considering fiscal incentives to offer nationals to help them recover from the hurricane. He wanted to re-emphasize “that we will not tolerate persons who are not impacted and gaining by scheming or taking advantage of the fiscal incentives that the government will announce.”

Download video – Grenada PM Dickon Mitchell