Former Prime Minister and Opposition Leader Dr. Ralph Gonsalves have disclosed that the St Vincent government allegedly owes nearly $25 million in outstanding obligations to the Eastern Caribbean Central Bank (ECCB).
Speaking during a political radio broadcast, Gonsalves warned that recurring debts to the regional monetary authority are traditionally prioritized to maintain fiscal credibility, but current payment delays threaten the country’s financial standing and its ability to secure seasonal liquidity support.
According to Gonsalves, central bank officials in St. Kitts have made repeated inquiries to local finance authorities regarding the overdue sums. He described Ministry of Finance officials as making small, sporadic partial payments—”fighting to chinks to pay Viky Vike”—while central bank headquarters presses for a definitive settlement schedule.
“They getting telephone calls from the central bank in St. Kitts: ‘What about when are we getting this money? How are we getting it?'” Gonsalves quoted. He emphasized that maintaining timely payments to the ECCB is critical for preserving St. Vincent and the Grenadines’ borrowing relationship with its primary regional monetary authority.
Gonsalves warned that unresolved ECCB arrears could severely compromise the government’s ability to navigate financial demands during the upcoming December holiday season.
He explained that regional governments typically rely on Central Bank liquidity or financial accommodation in December to cover early public sector payrolls—usually disbursed around December 18 or 19—and to manage operational liabilities during a period when normal revenue collection drops due to holiday closures.
Gonsalves questioned how the administration expects to receive vital central bank assistance for Christmas expenses when it remains over $20 million in default.
“In order to help with Christmas expenses, you have to go back to the central bank,” Gonsalves observed. “But if you’re owing them now and you’re changing the payment and it is 20-something million, where you hope to get in December?”
