Arthur: Economic recovery a myth

DON’T BELIEVE THE HYPE!
Former Prime Minister Owen Arthur is against the notion that Barbados’ economy is stable and on the verge of recovering to a period of growth when the current recession eases up.
During a keynote speech after the annual general meeting of the Barbados Employers’ Confederation at the Hilton Barbados on Wednesday, Leader of the Opposition Arthur told a full house of BEC?members that any idea the economy was recovering was a “myth”.
According to Arthur, the DLP Government is yet to bring any major, new transformational initiatives to bear far-reaching adjustments to the economy.
“This failure is deeply rooted in the official mindset, so often expressed, that our economic problems are due to the effects of the international recession, and that once the recession lifts, economic buoyancy will return. That is not true,” Arthur contended.
“We can, and should start debunking the official myth that is being propagated that the economy is stable, whether the concept of stability is meant to describe its performance or to describe the vital relationships that govern its structure and functioning.”
He added that the country could also go further and challenge whether
a stable set of processes are being put in place by the current Democratic Labour Party (DLP) administration to equip the economy for making a transition at a time when great transformations are required.
“In respect of its performance, the Barbados economy is not stable.
It is underperforming and under developing,” Arthur said frankly.
The former Prime Minister said there is increasing evidence that Barbados’ economy is becoming less competitive, and there is also strong evidence to suggest that the adjustments which are required to support sound and orderly transition from a weak to a strong position, are not being successfully managed.
“The country’s economic problems are due in large measure to the fact that the recession has impacted at a time when many of the instruments and regimes which made the Barbados economic model successful in the past are no longer available to us, or are no longer relevant,” Arthur told BEC members.
He opined that this country’s problems exists because any of the regimes are instruments which can and must be used  to bring about success in the future are either being deployed, or at best, are only slowly being called upon.
Arthur said it was “staggering” that despite a 30 per cent increase in prices in Barbados since 2008, the value of goods and services produced in Barbados at current prices last year ($8.806 billion), was less than in 2007 ($8.9 billion). (BA)