CASTRIES, St. Lucia, CMC – The main opposition United Workers Party (UWP) Monday called for greater transparency as Parliament prepares to debate on Tuesday a motion seeking approval to borrow funds for various projects here.
According to the Order Paper for Tuesday’s sitting of Parliament, the government is seeking to borrow an amount of US$94.87 million from the Export-Import Bank of the Republic of China to finance the implementation of national development projects, initiatives, and COVID-19 mitigation measures.
Prime Minister Phillip J Pierre, who is also the finance minister, is seeking to borrow US$4.23 million from the Barbados-based CARICOM Development Fund to finance the rehabilitation and upgrade of the Theobalds Water supply system.
He is also seeking to borrow US$22,8 million from the Barbados-based Caribbean Development Bank (CDB)to finance the John Compton Dam Raw Water Pipeline Replacement Project.
In a statement, the UWP, whose lone representative in the 17-member legislative chamber is its political leader, Allan Chastanet, a former prime minister, said that the government seeking to borrow more than EC$600 million (One EC dollar=US$0.37 cents) “is unprecedented.
“Never in the history of St. Lucia has a government sought approval to borrow such a massive sum in a single sitting of Parliament. When the current administration took office in July 2021, St. Lucia’s national debt stood at approximately EC$3.93 billion. If the borrowing is approved, the national debt is projected to rise to approximately EC$5.7 billion,” the UWP said, adding that the government has added more than one million dollars to the island’s national debt every single day since taking office.
The opposition party said that if the Parliament approves to borrow the funds, “the country’s national debt burden will exceed EC$31,000 for every man, woman, and child in the nation.
“The people of St. Lucia should pay close attention to this development. Borrowing on this scale does not simply disappear; it must eventually be repaid. Ultimately, it is the taxpayers of this country who will carry that burden.
“Let us be clear: governments do not repay debt; the people do, through the taxes they pay. The question, therefore, arises: how does the government intend to repay these loans? Will the people of St. Lucia be asked to bear the cost through higher taxes or additional financial pressures in the future?”
The opposition party said that it will carefully examine the details once the documents are formally tabled in Parliament.
“However, the scale of the borrowing being proposed should concern every citizen. Responsible fiscal management requires discipline, transparency, and a clear long-term plan.”
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