THE government of St. Lucia has embarked on a reckless and destructive path, prioritising the interests of foreign corporations and wealthy elites over those of its own citizens, particularly the poor and working-class people who make up more than 50% of the population. The recent imposition of a 2.5% Health & Security Levy, touted as a measure to improve the country’s ailing healthcare system and address rising crime rates, has been exposed as a ruse to secure loans from international financial institutions. This levy is nothing short of a regressive tax that disproportionately affects the poor and working-class people, who are already struggling to make ends meet.
The government’s financial management has been marred by a pattern of reckless borrowing and lack of accountability, with a debt stock increase of $388.4 million in 2023 and an additional $400 million already added to the debt burden this year. This brings the total amount borrowed by the current administration to over a staggering $1 billion since taking office in July 2021.
The government’s pricing policy on petroleum-based products has been extortionate, with the price of petrol remaining at a wallet-breaking $16.50 per gallon despite a 20% drop in global crude oil prices. This has a devastating impact on the economy, reducing consumer spending and stifling economic growth.
The poor and working-class people, who spend a disproportionate amount of their income on energy costs, are being forced to allocate an even larger portion of their income towards energy costs, leaving them with limited or no resources for other essential expenses.
Furthermore, the government has leased the main cruise ports in Castries and Soufriere to a foreign company, Global Ports Holdings (GPH), for up to 40 years in a lopsided deal. GPH stands to gain revenue of approximately $1 billion in exchange for a paltry $130 million investment, with the government giving away US$5.50 of the US$6.50 cruise head tax to GPH, leaving only US$1.00 per head to SLASPA and the people of St. Lucia.
The cumulative effect of these decisions is a perfect storm of economic devastation, characterized by reduced consumer spending, stifled economic growth, and a crushing debt burden that will be passed down to future generations. The poor and working-class people, who are already struggling to make ends meet, are being disproportionately affected by these policies, with the price of basic necessities like food and transportation skyrocketing out of control. The government’s actions are a stark reminder of their utter disregard for the welfare of their citizens and their willingness to sacrifice the country’s economic sovereignty for the benefit of foreign interests. It is imperative that the people of St. Lucia demand accountability from their government and reject these destructive policies that are pushing them further into poverty and despair.