ST. VINCENT- NIS records more than 100 per cent profit during the six months

KINGSTOWN, St. Vincent, CMC – Prime Minister Dr. Ralph Gonsalves says the National Insurance Services (NIS), the social security agency in St. Vincent and the Grenadines, has recorded profits of EC$16.5 million (One EC dollar=US$0.37 cents) during the first half of 2025, compared to a loss of EC$5.5 million year on year.

Gonsalves said that the NIS had informed him that the first half of this year reflects a period of exceptional progress for the National Insurance Services.

“The institution has not only achieved a strong financial turnaround, but has also advanced its operational resilience and deepened public trust,” he said, quoting from a letter he said he had received from the NIS.

Gonsalves stated that the NIS had disclosed that contribution collections, investment returns, and arrears recovery all surpassed the prior year’s performance, resulting in a net profit of EC$16.5 million compared to a net loss of EC$5.5 million in the period 2024.

He stated that contribution income rose from EC$38 million during the first half of 2025 to EC$55 million, representing a 45% increase compared to the same period in 2024.

“This was driven by the increase in the number of persons who are employed and paying contributions, employer compliance, an expansion in insurable wages, and the adjustment, of course, of the contribution rate from 12 per cent to 13 per cent between employee and employee.”

Gonsalves stated that there was a 51 percent improvement in the collection of arrears, with EC$2.7 million collected during the first six months of 2025. Investment income rose to EC$16.2 million, up from approximately EC$11 million the previous year, representing a “very impressive” 49 percent increase.

“That relates to the interest rates in dividend receipts and some unrealised capital gains on the international equity investments that the NIS has,” Prime Minister Gonsalves said, adding that the investment portfolio expanded from EC$441 million to EC$479.7 million, yielding 7.5 per cent as distinct from 4.8 per cent.

“Six per cent or thereabout should keep us good,” Gonsalves said, noting, however, that the benefits expenses also increased, rising from EC$47.8 million to EC$49 million.

“In fact, what you have, contribution income can now pay the benefit expenses so that you could put away a little bit more in the kitty,” he said, adding that the NIS was also containing the administrative expenses.

Gonsalves said the number of active insured people at the NIS rose by three percent, from 44,766 at the end of last year to the first half of 2024, to 46,318 year-over-year.

“These people didn’t come from Mars. These people are not making contributions because they are self-employed. These are people who are employed,” he said, adding that the evidence that employment has increased is that in 2001, when his Unity Labour Party (ULP) came to office, about 30,000 people were registered with the NIS.

“It means that between then and now, there are 16,000 persons more,” Gonsalves said, adding that “the best proxy for increasing jobs under the ULP is these numbers.

“And the population is basically flat, between 2001 and now…and the Internet crazies who don’t live here, some of them live here, but they so stuffed with malice, but those overseas who want to be turned overnight from internet crazies to your excellencies, fighting for status, a lot of them have failed at ditching and fetching and wish to take up politics and diplomacy on their way to the poor house, they still tell you that unemployment here is 40 per cent, youth unemployment is 50 per cent.

“All that kind of rubbish, they tell you,” Gonsalves said, adding that there were more jobs on the way, as he and the management of the Jamaica-based CEO of Sandal Resorts International (SRI) were trying to find a convenient date to sign an agreement for the establishment of a Beaches Resort here.

All the terms have been agreed, he said, adding that the 375-room hotel would be constructed for EC$375 million.

“You need 1,500 people to run that. And just down at Peter’s Hope, going further north west, waiting on the lawyers for Marriott to finally — there are some issues with that particular agreement. That’s 300 rooms at Peter’s Hope requiring 600 workers to run it,” Gonsalves said.