The government of St Vincent has allocated EC$120 million to enhance its preparedness and response strategies in the face of a tropical cyclone.
Prime Minister Ralph Gonsalves articulates that the funding mechanism encompasses the Contingency Fund, which is allocated one percentage point from the 16 percent value-added tax (VAT).
Gonsalves elaborated that the employment of the Catastrophe Deferred Drawdown Option (Cat DDO) in collaboration with the World Bank enables the government to secure US$20 million (EC$54 million) in the event of a natural hazard occurrence, accompanied by a repayment timeline of 45 years.
“Thus, 50 from the Consolidated Fund and 54 from the Cat DDO yield a total of 104.” As you can observe, I nearly attained the milestone of 120. Subsequently, we shall secure a loan of five million US dollars — equivalent to EC$13.5 million — with relative ease from the Caribbean Development Bank,” Gonsalves articulated.
Gonsalves, in a recent address on NBC radio, articulated that the Barbados-based Caribbean Development Bank (CDB) generally facilitates a loan for the country following expenditures incurred in the aftermath of a natural disaster.
A dependable ally such as Taiwan may contribute three, four, or five million US dollars, contingent upon the specific circumstances at hand.
The Prime Minister observed that the government has catalogued 140 shelters for the upcoming 2025 season.
He stated that although the number has diminished, this does not imply that there will be an insufficient number of places for individuals to access.
