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An International Press Conference and Electronic Signing Ceremony which will involve Nigerian IT giant TelNet Nigeria Ltd and Global Integrated Fintech Solutions (GIFTS) and IPayAnywhere (Global), two dynamic Barbados companies, represents a signature event in relations between Barbados and Nigeria and by extension Barbados’ agenda to build commercial bridges with the continent of Africa in general.

It was on April 24th, 1970 that the two countries established diplomatic relations.

Today’s Ceremony, hosted by Barbados High Commission, Ghana and Caribbean Export, in collaboration with Export Barbados/BIDC and CBC TV Channel 8, marks another milestone in a period during which both countries have worked with tenacity and purpose to explore potentially exciting business opportunities.

TelNet Nigeria Ltd is a digital transformation development company, whose clients include the government of Nigeria and several large and medium size commercial banks and major private sector companies across Nigeria.

Global Integrated Fintech Solutions is a global fintech company with offices in Barbados, Trinidad and Tobago, Guyana and the United States, offering solutions that include core banking, card processing, mCommerce, Cyber Security, Prepaid and Credit Card processing services, plus the One Africa/Caribbean Card.

IPayAnywhere(Global) makes it easy and convenient for merchants and consumers alike to send or receive payments from the convenience of their mobile phones, laptops or any other mobile device.

Commenting on the initiative, Senator The Honourable Dr. Jerome Walcott, Barbados’ Minister of Foreign Affairs and Foreign Trade said he welcomed this cross border private sector partnership between TelNet and GIFTS and IPayAnywhere of Barbados. “It is pleasing that this is in the transactional business and Fintech arenas. Both areas of immense potential for our countries, with emphasis on processing integrity, signals a future of innovation aimed at making commerce easy and secure. This is indeed exciting. I trust that this partnership sets the necessary standards and be an enduring asset that others will seek to follow.”

Mr. Deodat Maharaj, Executive Director, Caribbean Export described the partnership of the three companies as a clear indication of the opportunities for commercial relationships between the Caribbean and Africa. It is time that we translate our inextricable historical and cultural connections into business opportunities for the people of Africa and the Caribbean. Rising Africa represents a bright new frontier for Caribbean business. We at Caribbean Export are committed to help deepen the business relationships between the Caribbean and Africa.”

Mr. Mark Hill, CEO, Export Barbados/BIDC, said the occasion constitutes a milestone which takes Barbados’ entrepreneurship to a new level. “Export Barbados/BIDC is thrilled to be associated with this venture between TelNet, GIFTS & IPayAnywhere, which opens up a tremendous export market opportunity for Barbados in West Africa. As I indicated before, Export Barbados/BIDC is pivoting and our focus is exclusively Export oriented; everything we do is geared towards and supports exports for Barbados entrepreneurs and companies. Our support for this initiative is aligned with our strategy for the African market which represents a priority market for Export Barbados/BIDC”

• Caribbean Export, Embassy of Barbados in Brazil and the Barbados Ministry of Foreign Affairs to host a high-level briefing on Caribbean/Latin America Trade Relations.
• Heads of Barbadian and other CARICOM/ CARIFORUM Diplomatic Missions in Latin America to attend.
• Caribbean Export, the Region’s leading private sector development institution to support enhanced trade between the Caribbean and Latin America. 

As we prepare to celebrate CARICOM Day on the 5^th of July, 2021, advancing the trade and investment agenda of the Region is essential to building our resilience. To mark CARICOM Day 2021, the Caribbean Export Development Agency in partnership with the Embassy of Barbados in Brazil and the Barbados Ministry of Foreign Affairs and Foreign Trade, will host the ‘Caribbean Export Latin America Briefing Session’ on Monday, July 5th, 2021, at 10am (AST) to strengthen Caribbean and Latin American trade relations.

The event will host high-level discussions between Heads of Barbadian and other CARICOM/ CARIFORUM Diplomatic Missions accredited in Latin America and Caribbean Export.  The   Agency’s Executive Director, Mr. Deodat Maharaj, and his team will provide details on their mandate and pillars of focus and will share insights on the potential of sector-specific opportunities and partnerships in areas of particular interest, such as the services sector. 

There are many synergies for regional collaboration between CARIFORUM and Latin American and Mr. Maharaj commented that: “Latin American countries are natural trade and investment partners for the Caribbean. To build resilience in these unprecedented times requires an expansion of our trade and investment relationships.  CARICOM Day provides a perfect backdrop to pay particular attention to the opportunities with Latin America.”

This high-level event provides an opportunity for stakeholders to explore how trade between the Caribbean and Latin America can be enhanced and the work of the Caribbean Export Development Agency as the lead regional institution for private sector development.

As we in the Caribbean seek to fast-track recovery and build a post COVID-19 world where business plays a leadership role in creating much needed jobs, access to finance remains a major constraint. The World Bank in its 2020 Ease of Doing Business Report notes that of the 14 Caribbean countries that were reviewed in its annual report, only 3 of them Jamaica (ranked 15th), Trinidad & Tobago (ranked 67th) and Guyana ranked 94th) are among the top 100 countries globally in accessing credit. This is out of a total of 190 countries. Simply put, we are not doing well in this critical index.

In 2016 the Caribbean had 11 countries ranked among the top 100. This worsening situation tells an all too familiar story in our region. I hear these stories on a daily basis, in conversations with businesspeople across the Region on the massive challenges in accessing finance. The World Bank´s report captures a very important part of the story on lending in the Caribbean. Surveys undertaken by Caribbean Export point to as much as 48% of small and medium scale business, reporting that access to credit is THE major challenge they face.

We at Caribbean Export are providing some critical assistance in this area. With support from the European Union, we continue to provide much needed financial assistance to small and medium business across the Region. More specifically, we have been providing small scale grant financing to help these businesses withstand the shock of the pandemic and create new opportunities.

In 2018, Caribbean Export awarded approximately Euros 2.2 million in grant funding and about 41% of beneficiaries boasted that the grant funds helped them to penetrate new markets, while 79% reported an increase in export sales. Overall revenues increased for 64% of beneficiary firms and 36% of firms were able to reduce their energy costs having used the grant funds to implement energy efficiency projects. Twenty-one percent of firms were able to enhance general productive capacity and efficiency. Recognising that funding support is extremely critical during the pandemic, Caribbean Export plans to build on these results by continuing to offer targeted grant funding on a non-reimbursable basis. The Region needs to do more to support this sector which accounts for most jobs generated in our Caribbean.

The Caribbean Development Bank has also joined our partnership with the European Union in this endeavour and we have launched a call for proposals where businesses can access up to USD15,000 in grant finance. Grant funds are often highly competitive and for this reason, they should not be considered as a primary source of income for small businesses, but as cash infusions to fund special projects that can help to speed up growth, particularly post COVID-19. Please do visit our website at carib-export.com to get more information.

Another alternative source of finance is angel investment, which is a form of equity financing where the angel investor supplies capital in exchange for an equity position in the business. Angel investors are high net worth individuals who are looking for a higher rate of return, typically of around 25% to 60%, than would be given by more traditional investments. Equity financing is normally used by start-up and growth businesses that do not have sufficient cash flow or collateral with which to secure business loans from financial institutions.

Angel investing is still a relatively nascent concept in the region. Consequently, entrepreneurs interested in angel investing need to understand the fundamentals of angel investing and what to expect when an angel investor is interested in an equity stake in their business. Since 2018, Caribbean Export has been offering capacity development support in these areas and plans to continue to provide specialised support to both entrepreneurs and angel investors to bridge the angel investing divide in the region.

The issue of credit is a central issue. Therefore, with funding from the Africa Caribbean and Pacific Investment Climate Reform Facility, we are working to understand the challenges facing CARIFORUM countries in the establishment and operationalization of efficient credit bureaus and secured transaction systems (collateral registries). The World Bank, in its Ease of Doing Business Report, looks closely at these two aspects of the credit infrastructure in a country, noting that credit bureaus and registries are essential elements of the financial infrastructure that help to address the issue of access to financial services, including credit.

By sharing credit information, a credit reporting system helps to increase access to credit for small firms, improve borrower discipline and support credit risk monitoring. In our region, where movable assets often comprise most of the capital stock of our private firms, we need to establish systems that allow our firms to use inventory, accounts receivables, crops and equipment as collateral. We cannot transform our Region if we do not innovate and move to a financial architecture that meets the needs of our times.

In summary, we at the Caribbean Export Development Agency will continue to support these initiatives that are having and can continue to have a major positive impact on businesses across our Region. However, the reality is, much more must be done. Particular attention must be given to the establishment of a regional capital market that can unleash and leverage finance regardless of geographic location. Whereas we recognize the imperative of foreign direct investment, the stark reality is that we have massive assets in our financial sector and pension funds that can be used to spur inclusive growth and job creation both nationally and regionally. A regional stock exchange will also propel business at the regional level to take advantage of regional opportunities as they seize opportunities provided by new economies of scale. To succeed, we need steadfast commitment backed by a clear and ambitious agenda. Much is at stake and failure is not an option.

A new economic turn

Seismic shifts are taking place in the global economic architecture as countries accelerate efforts to transition clean and green economies. In 2015, at the United Nations Climate Change Conference known as COP21, world leaders signed the landmark Paris Agreement. This pact signalled the collective ambition of 196 countries to contribute to the goal of limiting global warming and effectively addressing climate change. The implication for the global economy was immense given the need to transition away from fossil fuels.

To achieve this reduction, countries have developed targets to bring down emissions associated with fossil fuels known as the nationally determined contributions (NDCs). The United States, one of the major hold outs in this transition has taken a welcome about turn with the Biden Administration which has already established ambitious targets. The decision of the United States to fully embrace a cleaner and greener economy would only hasten the transition.

It should be noted that those who have embraced the shift to renewables also recognise the massive economic opportunities it presents in what will be a new economy. Given our own climate vulnerability and economic challenges as small island developing states, we have no option but to do the same. There is also a strong economic case for doing so given our own economic performance and the need for new options.

According to the World Bank, over the period 2009 – 2019, the economies of small states in the Caribbean grew by less than half of one percent or at an average rate of 0.38%, to be more precise. By comparison, the average growth rate of all small states globally over the period was 3.08%. The COVID-19 pandemic has only served to exacerbate our challenges, with double-digit economic contractions projected for most countries in our Region. In essence, we are underperforming compared to others even though we are all confronting common challenges.

On the positive side, we have recognised the need to make this change. In fact, since 2013 CARICOM countries have agreed on a regional energy policy which aims at achieving set targets for decarbonisation and energy efficiency while enhancing energy security. In addition, Caribbean countries, like many others, developed NDCs and became party to the Paris Agreement. Caribbean countries have also largely recognised that it is strategically advantageous to embrace the new economy offered by low carbon industries and sectors.

What impact will the new economy have?

First and foremost, the new economy offers tremendous potential in job creation.The transition will present opportunities for higher paying jobs and the reduction of poverty. In a joint report published in 2020 by the International Labour Organization and the Inter-American Development Bank, it was estimated that decarbonisation will lead to the net increase of jobs in the Caribbean by 3.1%, that is, the creation of approximately 400,000 jobs. Jobs are a precious commodity and, on that basis, alone we have a strong case.

There is also the accompanying advantage of growth. The International Renewable Energy Agency estimates that for every US dollar invested in energy transition, an additional US 93 cents of GDP growth will occur above the business-as-usual scenario. Within the renewable energy industry, firms are emerging who can execute engineering, procurement, construction, operation, and maintenance services.  Energy services companies are developing that can provide demand-side management services and jobs.

Outside of the core activities of the renewable energy industry, engineering, construction, legal, financial, logistics and transportation services will all be needed to support the development of renewable energy projects. In fact, no economic sector will be left untouched by energy transition. The electrification of the transport sector will call for the roll out of charging infrastructure powered by renewables. A movement to a green economy will spur much needed innovation. Most important, it will help lower production costs in a Region where energy costs are amongst the highest on the planet and a deterrent to new investments.  

Recognizing the enormous potential for this new economy Caribbean Export has been contributing to this transition through both technical and financial assistance. More specifically, we have implemented energy management capacity building interventions at the firm level. Since 2017, 26% of our grant funding with support from the European Union has gone to renewable energy and energy efficiency projects. We are also leveraging our connections with partners and firms, to help develop networks of financiers, technology producers and services providers. We view this as an important step in supporting the greening of businesses.

Investments in Renewable Energy

Caribbean Export as the lead regional institution with the remit for attracting foreign direct investment to our Region, we are acutely aware of the scale of investment which will be required to effectively support energy transition. Consequently, we have teamed up with the Caribbean Association of Investment Promotion Agencies to make the steering of investments in this sector as a high priority. This will include a focus on solar photovoltaics (PV) and wind, two of the most relevant technologies for our Region. In this regard we have been steadily building up a network of partners with a view to fostering investment in our region. It should be stated that the regulatory bottlenecks must be addressed as a priority to achieve success on the scale required.

In summary, transition to the new economy opens a world of opportunity for us especially in creating precious jobs and generating much needed growth. We recognise that success will be hinged on building a broad-based partnership to deliver results for Caribbean people. We at Caribbean Export are determined to play our part and remain committed to this agenda.

The OACPS/EU post-Cotonou negotiations for a successor agreement was formally concluded today with an initialling ceremony in Brussels. The lead Negotiators, the OACPS’ Minister Robert Dussey of Togo and EU Commissioner Jutta Urpilainen, initialed the text of the Agreement at the ceremony in Brussels with virtual participation by the Hon. Thuli Dladla, Minister of Foreign Affairs and International Cooperation of Eswatini representing Africa; Senator the Honourable Kamina Johnson Smith of Jamaica representing the Caribbean, and H.E. Fatumanava-o-Upolu III Dr. Paolelei Luteru, Ambassador of Samoa, representing the Pacific. This Agreement marks a new phase in the partnership between the African, Caribbean and Pacific States and the EU.

Minister Johnson Smith in commending the agreement noted that its implementation will require meaningful engagement with a wide cross section of stakeholders. She thanked all the negotiators, who had the challenge of continuing their work under COVID-19 restrictions. She highlighted the contribution of Guyana which was the lead negotiator for the Caribbean for its regional protocol. When the negotiations commenced, the Lead negotiator for the Caribbean was the Hon. Carl Greenidge, then Vice President and Foreign Minister of Guyana.

The Agreement is to be signed later this year in Samoa, COVID permitting, following completion of national and regional procedures for approval. The Agreement will enter into force after ratification.

The Cotonou Partnership Agreement was scheduled to expire in 2020 and thus negotiations commenced in September 2018 in New York on the margins of the UN General Assembly for a replacement agreement. Negotiations concluded in the later part of 2020. There was then a period of legal review at the end of which there was agreement to initial the text.

The Agreement has an overarching foundation section and three regional protocols for Africa, the Caribbean and the Pacific. It will provide the legal framework for the relationship between the OACPS and the EU for the next 20 years. As well as maintaining the ACP/EU structure, this new Agreement will also strengthen the relationship at the regional level.

Funding to the three regions will come from the EU’s recently announced ‘Global Europe’- Neighbourhood, Development, and International Development Instrument (NDICI), the EU’s overseas development assistance, valued at €79.5 billion.

This article was originally posted by CARICOM Today.

On behalf of the Caribbean Export Development Agency, I wish to share our solidarity and unreserved support to the Government and people of St. Vincent & the Grenadines whose lives and livelihoods are being so severely impacted by the ongoing  eruptions of La Soufriere volcano.  

We applaud the solidarity demonstrated by the entire Caribbean and partners with St Vincent and the Grenadines at this difficult time and salute the resilience of its people. St Vincent and the Grenadines has to now cope with another disaster in addition to the shock of the coronavirus pandemic. We at the Caribbean Export Development Agency pledge our commitment to assisting  St Vincent and the Grenadines during these challenging and difficult times as well as during the recovery period to follow.

Deodate Maharaj – Executive Director, Caribbean Export

For more information about La Soufriere volcano eruptions please visit:

National Emergency Management Organisation

University of the west Indies Seismic Research Centre

International Volcanic Health Hazard Network (IVHHN)

How to help St. Vincent and the Grenadines – List of places to donate

Citizens of the Caribbean are fully aware of the challenges we face. They know that governments across the Region are financially stretched which has been further accentuated by the COVID-19 pandemic. Our citizens also know that we have limited access to either Overseas Development Assistance or concessional financing from global financial institutions and that our options are limited in accessing finance for business development. Our people are clear on what they want – a brighter future for themselves and their children. More specifically, those with whom I speak have an overwhelming interest in either getting jobs or preserving the ones they have so they can take care of themselves and their families.

We, at the Caribbean Export Development Agency (Caribbean Export) also recognize these constraints and hear the voices of our Caribbean people. The question is how as a Region, can we emerge from this stranglehold.  For us, the solution is obvious – attracting increased levels of local investment and foreign direct investment (FDI). Governments and other stakeholders across the Caribbean must have a singular focus on steering investment our way. To achieve resilience and economic transformation we need to significantly ramp-up and draw investment to our shores.

But first, we must understand the trends and challenges so we can position ourselves accordingly. Globally, there has been a decline in FDI flows, with the United Nations Conference on Trade and Development reporting a 42% decline in global foreign direct investment in 2020 in its January 2021 Report. The same report went on to note that one of the most affected Regions is Latin America and the Caribbean which saw a decline of 38% in investment inflows from external sources. On the other hand, Asia and Africa witnessed declines of only 18% and 4%, respectively. Further weakness in FDI flows is expected for the rest of the year and for our countries, if we continue with business as usual, the future will be a dim one.

The outlook for the tourism sector continues to be pessimistic. The World Tourism Organization reports that travel experts surveyed are expecting a return to pre-pandemic levels only by about 2023 (Jan. 2021 report). Therefore, sitting and waiting for tourists to return in the numbers of yesteryear or for global prospects to drive up our export earnings cannot and will not lift us out of this economic quagmire. This is why, increasing local investment and getting foreign direct investment to our shores is most critical.

For the Caribbean to be successful in attracting investment, new thinking in these unprecedented new times is required.

Firstly, we cannot continue to compete with each other as individual investment destinations, given our limited resources and populations. This approach cannot achieve the scale required to attract serious money our way. In view of this, we at Caribbean Export are working closely with the Caribbean Association of Investment Promotion Agencies (CAIPA) to support our countries in preparing investment projects that can be packaged and promoted as ‘regional’ proposals with more than one country being promoted as an investment destination for a specific venture. This gives much needed scale, and the pooling of resources helps a wider group of countries.

Secondly, we need to focus on investment that can help propel a new economy, driven by climate-friendly business and digitalization. The world is going green and embracing digitalization and so must we. Therefore, we need to make a concerted effort to bring companies to our shores that are at the forefront of green technologies in areas such as solar and wind. This means an investment approach that is targeted and forensic in focus.

Linked to the emphasis on the ‘new economy’, is the leveraging of technology in key sectors such as agriculture.  The Caribbean is one of the most food insecure regions on the planet, and this has been more eloquently demonstrated by COVID-19. A new emphasis on agriculture is required. However, this time around, it has to be about using technology to take Caribbean agriculture forward into the 21^st century where our young people also see it as a viable business opportunity. This is precisely why Caribbean Export, in partnership with the CAIPA has identified Agrotech or Agriculture Technology as a priority sector for us in the Region. It connects all the dots in helping us to become more food secure; treats agriculture as an entrepreneurial activity; and as one Region we can offer the scale required for larger investors.

We at Caribbean Export recognize that innovation is imperative for our survival and must be central to our regional investment promotion strategy. As a matter of fact, we have already engaged the services of an alternative finance adviser with experience in raising capital across emerging and frontier markets for entrepreneurs and SMEs with high growth potential. We intend to fast-track support to the packaging and promotion of regional investment projects and focus on steering investment to sectors that are vital to what will be the new economy whether by focusing on Agrotech, digitalization or the climate-friendly investments. We are acutely conscious that the future of our Region and the prosperity of our people ride on the actions we take now for business to be a driver and central player in advancing a transformational agenda for our Region. At Caribbean Export, we intend to do just that, with the attraction of local and foreign investment being a central pillar of our work in the years ahead.