A major land sale in Chatham Bay, Union Island, has injected $52.7 million into the central government’s coffers, providing a critical fiscal cushion that has dramatically narrowed St. Vincent and the Grenadines’ overall deficit for the mid-year period.
The transaction was officially disclosed by the Prime Minister Godwin Friday in response to formal questions regarding the country’s fiscal outturn from April 1 to July 31, 2026, compared to the same period last year. The multi-million-dollar capital injection comes at a pivotal moment, offsetting significant declines in recurrent revenue and an uptick in government spending.
According to the official ministerial report, St. Vincent and the Grenadines recorded an overall fiscal deficit of $57.78 million for the four-month period ending July 31, 2026. This represents a massive reduction of more than 53 percent compared to the overall deficit of $125.23 million recorded during the same period in 2025.
The Prime Minister explicitly credited the narrowed deficit to the substantial capital revenue generated by the Chatham Bay land sale. This surge in capital revenue, combined with a reduction in overall capital expenditure following the completion of the modern port project in 2025 and lower emergency spending on Hurricane Beryl, allowed the government to navigate otherwise challenging fiscal headwinds.
The $52.7 million land transaction proved essential in counterbalancing a 10.6 percent decline in current revenue. Total recurrent revenue collected between April and July 2026 stood at $290.11 million, down from $324.38 million in 2025.
undoubtedly protected the country’s fiscal standing and ensured the continuation of critical infrastructure projects.
