ST. KITTS-Government launches new initiative to broaden the economy’s base.

BASSETERRE, St. Kitts, CMC – The St. Kitts and Nevis government Tuesday launched a new initiative aimed at a “deliberate and disciplined strategy” to broaden the economy of the twin-island Federation, strengthen its foundations, and create a more secure future for its people.

Prime Minister Dr. Terrance Drew, in a nationwide radio and television broadcast, said that the country finds itself in a period of global uncertainty, unlike many it has experienced in recent times.

“Across the world, economies are being tested by forces beyond their control. Conflicts in distant regions have disrupted supply chains and driven up the cost of essential goods. Fuel prices have fluctuated unpredictably, placing pressure on transportation, electricity, and the cost of living more broadly.”

He said that for small island developing states, including St. Kitts and Nevis, these global realities are felt more acutely.

“We are heavily dependent on imports. We are more exposed to external shocks. We are like small boats in a vast sea, and when the storms come, we do not ride above them; we ride through them.

“The truth is, these are not challenges created here, but they are challenges we must face here, together, as a people. And so, in the face of these realities, the question is not whether we will be affected. The question is, how will we respond?

“It is in these times that leadership must be steady, thoughtful, and grounded in clear direction,” Prime Minister Drew said, adding that the reaction must not be without focus, analysis, or structure.

“In this climate, every step must be guided by a plan. Every decision must be measured. Every policy must be rooted in a broader vision for the future of St. Kitts and Nevis,” he said, noting that as a government, “it is our duty to act with discipline, with intention, and above all, in the best interest of the people”.

He recalled that he had spoken candidly about the need for St. Kitts and Nevis to move beyond an economic model that had become too heavily dependent on the Citizenship by Investment (CBI), through which foreign investors are granted citizenship of the twin-island federation in return for making a substantial investment in the country’s socio-economic development.

“I made it clear then that while the CBI program has played and continues to play an important role in our national development, no responsible government can allow the future of a country to rest too heavily on any single source of revenue.

“Today, I return to that national conversation, not simply to repeat it, but to update you on the work now underway to build the next chapter of our economy,” Prime Minister Drew said, adding that the next chapter is the Sustainable Economic Expansion and Diversification (SEED).

He described the initiative “as our deliberate and disciplined strategy to broaden the base of our economy, strengthen its foundations, and create a more secure future for our people.

“This is a pivot from dependence to durability, from vulnerability to resilience, from narrow reliance to wider opportunity. But SEED does not stand alone. It is part of something larger, deeper, and more enduring.”

Prime Minister Drew said that the Sustainable Island State Agenda (SISA) is the long-term national development planning framework for transforming St. Kitts and Nevis into a country that is stronger, smarter, greener, more productive, and less exposed to the shocks that so often unsettle small island states.

“SISA is about reducing vulnerability across the board, whether in energy, water, food, public finance, or social development. It is about building resilience into the very structure of our economy and our society.

“It is about creating stability across sectors so that growth is not temporary, fragile, or concentrated in one area, but broad-based, sustainable, and felt in the daily lives of all people,” he added.

Prime Minister Drew said in this way, SEED is the economic engine, and SISA is the destination.

“Undeniably, in this transformation, projects matter. Infrastructure matters. Investment matters. But those things by themselves are not the story. They are instruments of the story. They are tools in service of a larger national transformation.”

He said that the true story is that St. Kitts and Nevis is methodically reshaping its economic future.

“We are using policy, investment, reform, and strategic development to build a more diversified economy, one that can generate jobs, create opportunities, expand productive sectors, reduce over-dependence, and place our nation on a more secure footing for years ahead.

“This is the story I wish to share with you today. Intentional transformation and progress with purpose. The global geopolitical environment is increasingly fluid and volatile. Big powers and big conglomerates seek to maximize influence, trade, and profits, often without regard for the small.”

He said that the rules-based order established by the United Nations to protect small, developing nations is being undermined. Survival of small nations requires continual systems rethinking and retooling, plus cultivation of strategic partnerships.

Prime Minister Drew said that the ruling St. Kitts and Nevis Labor Party (SKNLP) has set a visionary economic development plan, with SISA as the roadmap.

He said external-origin shocks, conflicts, pandemics, and supply chain ruptures continue to have a powerful negative impact on society and the economy. Inflation is imported. Government taxation is not the cause of imported inflation.

“It is war, rumors of war, and other disruptions to global confidence, global safety, global health, and global supply chains. Our people have been enduring shock after shock after shock.

“Shock exhaustion is real, and it is causing some individuals to feel anxious, fearful, and sometimes helpless,” Drew said, seeking to reassure citizens that “where there is life, there is hope.

He said that the future of St. Kitts and Nevis must not be limited by geography but defined by opportunity, noting that in March of this year, the government took a significant step in that direction by engaging in Nigeria at the Afro-Caribbean Investment Summit.

He said close to 100 persons from St. Kitts and Nevis and the wider Organization of Eastern Caribbean States (OECS) traveled to Abuja, Nigeria, including business leaders, creatives, entrepreneurs, and young people.

“This was an intentional effort to expose our people to new markets, new ideas, and new possibilities. And this is only the beginning. As a government, we are committed to creating real pathways for our people, particularly our young people, to engage with opportunities worldwide.

“We are actively developing a framework that will introduce our business community, our creatives, and our emerging leaders to all five continents to expand their networks, build partnerships, and carve new avenues for growth that extend far beyond our borders. ”

Prime Minister Drew said that Nigeria was the first step in that journey, but it will not be the last.

“We understand that in today’s world, development is not only about what happens within our country. It is also about how effectively we connect our people to the wider global economy. It is about giving our citizens the exposure, the experience, and the access they need to compete, to create, and to succeed on an international stage.”

He said that at the heart of this expansion is a deep objective: strengthening the country’s independence and reducing dependence on forces beyond its control.

“For decades, we talked about geothermal energy. For decades, we waited. But today, we are acting. Following a competitive tender process, Iceland Drilling has been selected to drill five geothermal wells on Nevis—three for production, two for re-injection.

“These will be part of a planned 30-megawatt geothermal power plant development that will supply both islands of St. Kitts and Nevis, and possibly other surrounding islands. This is the most progress made in over two decades of discussions on geothermal energy in our beloved country.”

He said that the federal government, in collaboration with the Nevis Island Administration (NIA), has leveraged significant resources to make this geothermal project a reality.

“At the same time, we have launched the request for proposal for the Bastia Valley 50-megawatt solar PV and battery energy storage system project. This single project is expected to supply approximately 30 percent of St. Kitts’ energy needs. It represents a critical step toward a cleaner, more resilient, and self-sufficient energy sector, while ensuring broad-based economic participation for the people of St.Kitts and Nevis.

“We are not just changing light bulbs. We are rewiring our entire energy future,” Drew added.