Give credit where credit is due.
That’s what Minister of Industry, International Business, Commerce and Small Business Development, Donville Inniss says is needed with respect to the valuable contribution the international business and financial services sector makes to this country.
Delivering the feature address at a recent seminar hosted by the Barbados International Business Association (BIBA), at the Savannah Hotel, Inniss noted that the international business and financial services sector is a larger net contributor of foreign exchange than tourism, but is not given the same recognition. The seminar was entitled ‘What Businesses Need to Know about Base Erosion and Profit Shifting (BEPS) and Double Taxation Agreements (DTAS)’.
“It doesn’t mean it is either or, we need both of them; but credit must be given where credit is due, and if we don’t earn that credit, or are not respected for it, we are not going to get the level of investment that we need coming into the sector,” he warned.
His comments came as he indicated that the sector has been growing, in spite of some challenges. According to the Minister, there was a 13 per cent increase in newly licensed entities in 2016, over those licensed the previous year. This, he said, is significant growth that should not be overlooked, but is also not a full representation of the sector.
“What we don’t often times reflect upon is the growth in the number of regular Barbados companies that are actively engaged in international business. They are not captured, they are not really measured and therefore perhaps when we do that properly, we would be able to realise the significant contribution that this sector is making,” he said.
Referring to some of the challenges facing the sector, and noting that they are “very, very real”, he warned that if steps are not taken now to address them, there is the risk that the international business and financial services sector three to five years from now, will bear little or no relation to what it is today. With that in mind, the Minister gave his commitment that his ministry will do all within its power to not only keep the sector functioning, but ensure that it grows and diversifies.
“So even though there are significant challenges, we intend to confront those head on, while at the same time seeking to identify the opportunities that present themselves therein” he said.
With that in mind, Inniss suggested that opportunities are there to reset and reshape the international business sector. The minister offered the point as he further suggested that the country is only seeing the “bare tip” in respect of what the sector can contribute to the economy.
“I want to focus on how we can grow this sector so that it eliminates the challenges we have with foreign exchange, that it can create more jobs, and it can really put Barbados on a more sustainable path of economic growth and development,” he indicated. (JRT)