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ISSUE NO.84 January 2004


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Carlisle Bay Hotel, Old Road

Carlisle Bay Hotel, Old Road


Caribbean’s financial sector remains under serious threat

Sir Ronald Sanders KCMG, KCN, Chief Foreign Affairs Representative with Ministerial Rank and High Commissioner
Sir Ronald Sanders KCMG, KCN, Chief Foreign Affairs Representative with Ministerial Rank and High Commissioner
The Chairman of the Caribbean Financial Action Task Force (CFATF), Sir Ronald Sanders, believes the Caribbean’s financial services sector remains under serious threat and has sought to warn the region that the recent fight waged against the Organisation for Economic Co-operation and Development (OECD) and its harmful tax competition initiative is far from over. “There are those who believe that the fight with the OECD on this matter is ended, but they are wrong,” said Sir Ronald Sanders.

He is further cautioning the region that the work of another international agency, set up by G7 countries to fight money laundering and counter terrorism, presents a “real and present danger” to the development of the region’s financial services sector.

The caution comes in the wake of a December 2-4 meeting in Washington of a working group set up by the Paris-based Financial Action Task Force (FATF), which focused on the current round of negotiations on new Anti-Money Laundering/Counter Financing of Terrorism (AML/CFT) Methodology. The AML/CFT Methodology is to be used by the World Bank and the International Monetary Fund (IMF) to conduct financial sector appraisals in regional jurisdictions.

However, Sir Ronald has accused the FATF of a “blatant disregard” of the views of the CFATF team, which attended the meeting. “Of concern too is that the FATF is taking the lead role in developing methodology despite ownership being touted by the IMF and the World Bank,” Sir Ronald said.

The FATF, set up in the late 1980s by the world’s seven main economic powers to put the curbs on money laundering, estimates that up to US$1.5 trillion in illicitly gained cash is pumped through bank accounts by the underworld. For not cooperating in the fight against the laundering of ill-gotten gains, the FATF threatens sanctions, including denying further licences to banks from outcast countries to operate in FATF member states and advice to the wider business community of FATF countries that operating in culprit nations is risky.

Back in 2001, the OECD, which is engaged in similar work, had also blacklisted several Caribbean countries labelling them as tax havens and threatened over 40 jurisdictions with sanctions unless they made a commitment to exchange information with OECD countries on tax matters. With the harmful tax competition initiative currently in abeyance, Sir Ronald is predicting that it will raise it head again in a few weeks time when a report of a working group, which is looking at “ways of levelling the playing field” is expected to be presented.

Sir Ronald said he would be interested to see if the “OECD tries to make the same demands they made in the past on us with the same threat of sanctions against jurisdictions that don’t comply with what they want”.

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Sir Ronald Sanders expresses concern over FATF approach to the Bahamas and Guatemala

At the end of a meeting in Miami of the Steering Group of the Caribbean Financial Action Task (CFATF), the Chairman, Sir Ronald Sanders, has expressed concern about the approach of the Paris-based Financial Action Task Force to The Bahamas and Guatemala.

The Bahamas and Guatemala are two of the thirty Caribbean Basin member jurisdictions of the CFATF, while the FATF is a group set up by the G7, the world’s richest nations.

Both the CFATF and the FATF were established to initiate standards and practices to fight money laundering and to counter terrorism financing.

Guatemala is the only member country of CFATF that continues to be listed by the FATF as a “non-cooperative country” in the fight against money laundering and other financial crime.

Sir Ronald said, “The economy of Guatemala is being adversely affected by the fact that FATF continues to list it as a non-cooperative jurisdiction. Guatemala has been urging the FATF to review its arrangements in February so that it could be de-listed at the FATF Plenary meeting in March in Paris. But, instead of fulfilling it mandate to help to get countries off its blacklist, some FATF members want to re-evaluate The Bahamas”.

The CFATF Chairman declared, “I do not understand this desire to re-evaluate The Bahamas which FATF had earlier taken off its list. What is more from CFATF’s own evaluation of The Bahamas, we are aware that The Bahamas has exceeded the requirements of the FATF’s 40 recommendations on money laundering and its 8 recommendations of counter terrorism financing. The Bahamas already regulates lawyers, stockbrokers and others and it has devoted a great deal of resources to international cooperation. In this connection, it does far more than some FATF countries”.

The Chairman explained that he has been “mandated to write to the President of the Paris-based FATF to indicate CFATF’s concerns that the de-listing of Guatemala is being delayed while there is an inexplicable focus on The Bahamas despite all that the Bahamas government has done.”

Sir Ronald also said that the Steering Group has made a decision to attend a meeting of a Working Group of the FATF in Japan later this month where work is continuing to devise a methodology which will be used by the International Monetary Fund (IMF) to judge anti-money laundering standards and practices in CFATF countries.

“We will attend this meeting in Tokyo to ensure that Caribbean views continue to be heard and to ensure that a methodology is not applied to us in which we have not at least sought to protect the interests of the Caribbean people”, Sanders concluded.

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Antigua and Barbuda ratifies OAS Convention against Corruption

Prime Minister Lester Bird
Prime Minister Lester Bird
On the 14th of January Prime Minister Lester Bird signed the Inter-American Convention against Corruption. In ratifying the Corruption Convention, the Prime Minister noted that the Parliament of Antigua and Barbuda, by resolution, adopted this convention in March 2003.

"My Government has clearly indicated to our citizens, to the region, and to the states of this hemisphere that acts of corruption by any public servant, at any level, are unacceptable," the Prime Minister said.

He explained, "Antigua and Barbuda is committed to transparency, integrity and efficiency in government, as evidenced by the willingness of Government to authorize Commissions of Inquiry.”

The Inter-American Convention against Corruption is the first anti-corruption treaty in the world. It commits the United States, Canada and the other 32 OAS countries, which includes Antigua and Barbuda, to criminalize a wide range of corrupt acts while strengthening preventive measures. In addition, the Convention is designed to fight corruption among government and private-sector officials by strengthening cooperation on extradition, mutual legal assistance, and asset forfeiture for corruption-related crimes.

The Inter-American Convention against Corruption contains transparency measures, in its provisions, requiring the registration of income, assets, and liabilities of persons who perform public functions in certain posts. The Convention also encourages governments to establish a mechanism to ensure that publicly-held companies - and other types of public firms - maintain books and records which accurately reflect the acquisition and disposition of assets. It also requires companies to have sufficient internal accounting controls to enable their officers to detect corrupt acts.

The document signed by the Prime Minister is to be deposited with the OAS Secretary General in Washington, D.C.

Antigua and Barbuda joins Grenada, St. Lucia and St. Vincent and the Grenadines as the fourth OECS country to ratify this OAS Convention.

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Antigua being positioned for Caribbean Single Market

Prime Minister Lester Bird says Antigua and Barbuda could benefit greatly from the Caribbean Single Market and Economy.

Mr Bird, in his broadcast of 6th December declared, “Antigua and Barbuda is not a significant producer of agricultural products and manufactured goods. Clearly the main beneficiaries of a Caribbean single market in terms of trade in these products and goods will be countries like Jamaica, Trinidad and Tobago, and to some extent Guyana.

“However, Antigua and Barbuda does have a competitive advantage in relation to services. We expect that companies, which become Caribbean-wide in their reach, will establish headquarter operations here. They will do so to take advantage of our excellent external communications - direct flights to London, Toronto, New York - and regular, daily flights to every Caribbean country.”

Mr Bird contended that companies locating headquarters in Antigua, will also benefit from our modern telecommunication system, which will put them in touch with their clients through instant telephone calls and e-mail via the Internet.

Further, they will benefit from the investment that the Government has made in the Institute of Information Technology, for they will find in Antigua a pool of people who are well trained in the use of computers and information technology.”

Pointing to the fact that Antigua and Barbuda has one of the lowest tax rates in the world, the Prime Minister said, “we have no personal income tax, and over the years my Government has lowered the rate of company tax from 40% to 30%, and we intend to lower it sill further to 25% by the year 2005 when the Caribbean Single Market comes into being.”

“In this connection, Caribbean-wide companies that are looking for good communications by air, good telecommunications, a computer literate work force, and low taxes to maximise both efficiency and profits will find Antigua and Barbuda very desirable.” Mr Bird concluded.

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OECD, Ministry of Planning launches report

Minister of Trade Gaston Browne
Minister of Trade Gaston Browne
The Ministry of Planning in collaboration with the Organisation for Economic Co-operation and Development (OECD) has launched a business environment report in Antigua.

Planning Minister Gaston Browne explained, “The report looks at the investment climate in Antigua and Barbuda and develops strategies to enhance the business environment in the country. We have a very good business climate in Antigua and Barbuda but obviously there is still room for improvement.”

The business environment report will complement an investor road map. "In the road map we will list all the regulations and all the processes. Any investor coming into the country will be able to pick up that road map and see all the requirements he/she should satisfy. What we are doing is transforming Antigua into a major global tourism/financial centre," Browne added.

The project is financed by the British government.

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Million dollar venture fund launched

On 19th January, the Government in conjunction with the Antigua and Barbuda Development Bank (ABDB) launched the Enterprise Development Fund (EDF) in a bid to ensure systematic development in entrepreneurship and in the building of a more diverse economy in Antigua and Barbuda.

During a press conference held at the bank Minister of Planning Gaston Browne said the main objective is to build a globally competitive economy while at the same time developing entrepreneurship in tandem with education.

He explained that the fund will be capitalised in the first instance with EC$1M and will expand on an annual basis with budgetary allocations from the central government. Additionally, the bank will allocate a percentage of its annual profits to the fund and will actively pursue Official Development Assistance (ODA) in support of the fund.

Browne further said that the fund is fully guaranteed by the government and will cater in the first instance to youths between the ages of 18 and 40 but will subsequently be broadened to include individuals of all ages.

In providing the managerial, administrative and technical skills for the young entrepreneurs to compete globally, Minister Browne said the bank would put together a business advisory programme in which they will train entrepreneurs in a number of different areas.

General Manager of ABDB Bernard Gardener, explained that the maximum amount that will be provided is $20,000 and the term for repayment is five years with an interest rate of 9.75%. Interested individuals are asked to provide an equity position of 10%.

Additionally, Gardener said, they have a very liberal debt service ratio of 50 per cent, which will allow many of the entrepreneurs to qualify for loans a lot easier than in traditional banks. Priority will be given to those interested in agriculture, fishing, tourism, informatics and other productive areas of the economy.

Mr Browne said that distributive trades will not be given priority because the government's main objective is to transform Antigua and Barbuda into a high value added economy and a major tourism and financial centre.

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Prime Minister plans to use tourism and business to expand the economy

Prime Minister Lester Bird has identified tourism and business development as two key areas in which the government will be concentrating its spending to expand the economy.

In one of his weekly radio addresses to the nation, the Prime Minister said government wants to attract more local and foreign investment. "We intend to drop the rate of company tax by 25% by the end of the year 2005 so that we can bring in more companies to establish their headquarters in Antigua in connection with the Caribbean Single Market and Economy. This will increase our tax base, giving the government more revenue as well as creating new employment," Bird said.

Mr Bird said his administration would also privatise some government-owned entities or go into partnership with the private sector. He pointed out that these initiatives along with improving telecommunications to attract new business were plans the government intends to embark on to earn much needed revenue rather than dismiss 4,000 public servants as proposed by the International Monetary Fund.

"We have made this point that to dismiss these people would create hardship for them and their families, increase unemployment, contribute to the increase in crime and adversely affect the business sector which would be deprived of the spending power of these four thousand people," Mr Bird explained.

He said while it was true that the payments to the workers could be spent in other ways, if government decided to send them home, it would have to increase spending on police, prisons, narcotics interdiction and increase demands on the medical care system.

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Deputy PM hosts business dialogue

Deputy Prime Minister Robin Yearwood
Deputy Prime Minister Robin Yearwood
On 19th January, Deputy Prime Minster Robin Yearwood, hosted a business dialogue at Jumby Bay Hotel which included members of the US Congress Caribbean Caucus, the Inter-American Economic Council and representatives of the local business sector.

In attendance were Congressmen Donald M. Payne and Gregory W. Meeks. Also present was President of the Inter-American Economic Council Barry S. Featherman.

Other government Ministers attending the session were Trade Minister Gaston Browne, Minister of Education Dr Rodney Williams and Sports Minister Guy Yearwood.

Topics of the dialogue included: Economic diversification in Antigua and Barbuda and the Caribbean, tourism, trade, offshore banking, education, infrastructure, investment perspectives and strengthening relations between the US and the Caribbean.

The Congressmen emphasised the readiness of the US Congress Caribbean Caucus to spur the mobilisation of US investment interest in projects in Antigua and Barbuda, but they also made the point that the identification of the projects and the involvement of local participation had to be initiated by Antigua and Barbuda and the neighbouring Caribbean governments.

Congressman Meeks said the Caribbean was regarded as not just the US third border but also as the US friend. He intimated, however, that negotiating strength stemming from this fact was of relevance only in the context of a united position with other sovereign Caribbean states.

As a practical suggestion of the regional approach, Congressman Payne encouraged Antigua and Barbuda's cruise tourism interests to get together with cruise tourist stakeholders in neighbouring Caribbean destinations and establish a consistent and satisfactory fee per cruise tourist to increase returns from the sector.

A problem raised at the meeting was the high cost of investment financing.

Raul Herrera, Latin America Chairman of the Chicago-based international law firm Winston & Strawn detailed multiple sources of financing available to investment interests in Antigua and the region in general. He too, advocated a regional approach as one way of increasing Caribbean options and countering size disadvantage to accessing cheaper financing.

One of the conclusions coming out of the business dialogue stated that Antigua and Barbuda should be part of a regional movement aimed at formulating and presenting approaches to US private and public sector agencies as a means of removing some of the impediments to growth and development in the Caribbean.

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Antiguans and Barbudans trained in counterfeit detection

On 14th January 2004, representatives from the financial sector of Antigua and Barbuda as well as other Caribbean states participated in two US currency counterfeit detection seminars held at the ECCB Headquarters in Basseterre, St. Kitts.

More than 100 cash handlers are now better able to distinguish between genuine and counterfeit US dollar notes.

US Secret Service officials apprised participants of the efforts being taken by the US to combat counterfeiting, including co-operation and co-ordination with other countries, the development of legislative agreements, the establishment of investigative units overseas, and training and education programmes.

They reviewed the security features of genuine US dollar notes, and provided check rules for people receiving counterfeit notes.

During the interactive sessions participants were exposed to the production processes used by counterfeiters, and scrutinised counterfeit notes in order to detect their irregularities.

In assessing the day's activities, participants rated the seminars as highly educational, very informative and an absolute necessity for all cash handlers and treasury officers.

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Prime Minister receives Chilean Ambassador

Prime Minister Lester Bird and Ambassador Prado
Prime Minister Lester Bird and Ambassador Prado
On 19th January 2004, Prime Minister Lester Bird received the Ambassador of Chile and Special Envoy to the Chilean President, Emilio Prado,

Ambassador Emilio Prado sought Antigua and Barbuda’s support for the Chilean nominee for the post of Secretary General to the OAS.

“Chile is a good friend of Antigua and Barbuda,” the Prime Minister remarked, “and so I cordially received the President’s envoy even though CARICOM took a decision to support the Costa Rican candidate for the post of OAS Secretary General,” he concluded.

Prime Minister Bird promised to have Antigua and Barbuda’s delegation raise the matter at the upcoming OECS Heads meeting. He also indicated to the Chilean envoy that every effort would be made to give the Chilean Government the same opportunity that was extended to the Costa Rican government.

The Chilean Ambassador noted that he received even more than he had anticipated. “Antigua and Barbuda has always been very friendly to Chile, and we continue to value your friendship highly,” Ambassador Prado commented.

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New South Korean Ambassador presents credentials

On 26th January, His Excellency Mr. Lee Joon-Il, the new South Korean Ambassador, presented his credentials to His Excellency Sir James Carlisle. After the presentation, Ambassador Joon-Il paid a courtesy call on Prime Minister Lester Bird with whom he had very fruitful discussions.

During the meeting with the Prime Minister, discussions centred on how both countries could develop bilateral relations. Prime Minister Bird expressed gratitude for assistance received from the Republic of Korea in materials and training.

Prime Minister Bird also mentioned the OECD Lawful Tax Competition issue. He urged Korea as a member of the OECD to give support to Antigua and Barbuda's call for a level playing field in international tax matters.

His Excellency Mr. Lee Joon-Il replaces His Excellency Mr. Chou-uk Kim who was recalled by the Government of South Korea in September last year.

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Prime Minister Lester Bird addresses Mount St. John's loan

Prime Minister Lester Bird, in seeking to set the record straight, has stated that government has no intention of using money from Social Security Scheme to purchase equipment for the Mount St. John's Medical Centre.

Allegations surfaced recently in Antigua that chairman of the Social Security Board, Ambassador Leroy King, had made available large sums of money to purchase equipment for Mount St. John's Medical Centre following negotiations with a team from the Trinidad-based RBTT bank. But this, Prime Minister Bird said, is far from the truth. On the contrary, he noted that the Social Security scheme would only act as a guarantor.

Prime Minister Bird further pointed out that Medical Benefits Scheme (MBS), on the other hand, “has been accumulating US$250,000 per month into a fund to purchase equipment for Mount St. John's Medical Centre.”

MBS is financing the construction of the Mount St. John's Medical Centre.

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Prime Minister attends funeral of the late Prime Minister of Dominica, Pierre Charles

Prime Minister Lester Bird attended the funeral of the late Prime Minister of Dominica, Mr Pierre Charles on Saturday 17th January. Mr. Charles died on 6th January 2004 of heart failure.

Following is the statement made by the Prime Minister on the announcement of Mr Charles’ death:

“I am deeply saddened by the news of the untimely death of my colleague and friend, Pierre Charles.

Pierre Charles became the leader of the Labour Party in the shadow of death. It is sad that the same shadow now enshrouds him and the Labour Party once again.

At the time he assumed the mantle of leadership, his country was grappling with new global challenges. The people of Dominica wanted him to succeed as he tackled the fiscal difficulties that a downturn in the world economy spawned. The Dominica diaspora held great hopes for his ability to transform Dominica.

The thousands of our brothers and sisters from Dominica who have chosen to make Antigua and Barbuda their home, also mourn his loss.

On behalf of the Government and people of Antigua and Barbuda, I express deep sympathy and condolences to the family of the late Prime Minister, to the Dominica Labour Party, to the Government and people of Dominica, and to the many Dominicans resident in Antigua and Barbuda, on the death of our good friend, Pierre Charles.”

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Foreign Ministry says Prime Minister Bird had relinquished CARICOM Chairmanship before Antigua and Barbuda general election

The Ministry of Foreign Affairs said that Prime Minister Lester Bird was not aware of the release from the Information Department announcing his Chairmanship of CARICOM from 1st January.

The Ministry was reacting to an allegation by the Leader of the Opposition United Progressive party (UPP), Mr Baldwin Spencer, that the Prime Minister “is likely to delay the election date so that he will have the chance to take the spotlight as CARICOM Chairman when Antigua and Barbuda hosts the next Summit, this coming March 25th and 26th.”

The Foreign Ministry revealed that the release was issued by the Information Division which did not know that on December 19th, two weeks before the release was issued, Prime Minister Lester Bird had written to CARICOM Secretary-General Edwin Carrington telling him that he had consulted with the current Chairman, Prime Minister P J Patterson of Jamaica, and asked him to “continue to carry out the main functions of the Chairman for the first half of my term as Chairman”.

In his letter to the CARICOM Secretary-General, Mr Bird continued, “Following the general elections in Antigua and Barbuda, it is my intention to have the duties and other responsibilities of the Chairman revert to Antigua and Barbuda’s Prime Minister”.

The Ministry said, “It is clear from Mr Bird’s letter that he has no intention to delay the election date to take the spotlight as CARICOM Chairman, as Mr Spencer alleges”.

The Foreign Ministry also went on to point out that being Chairman of CARICOM would be nothing new to Prime Minister Lester Bird. “He has already served twice as the Chairman of CARICOM; this will be his third Chairmanship. Therefore, the idea that Mr Bird would be deliberately attempting to seek political mileage from this post, in which he has already served with distinction, is without any foundation”.

The Ministry concluded, “Under the two previous Chairmanships of the Antigua and Barbuda Prime Minister, CARICOM established and launched the Regional Negotiating Machinery (RNM), which has been a key instrument of the Region’s critical external trade negotiations, and the Task Force that worked to keep Nevis as part of the Federation of St Kitts-Nevis. These were significant achievements under Antigua and Barbuda’s Chairmanship.”

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ALP opens Party Headquarters in preparation for General Elections

The ruling Antigua Labour Party (ALP) Headquarters is now open in preparation for general elections constitutionally due by March, 2004. The headquarters is outfitted with all the facilities that a modern office requires and will be user-friendly.

Speaking on a recent interview with the Caribbean Media Corporation (CMC), Prime Minister Lester Bird, said the elections were imminent and expressed the view that the ALP will be victorious at the polls.

Addressing party supporters at a huge public meeting in Old Road on the 18th January, Mr Bird repeated a call to the "troops" to get ready to go into battle with the opposition.

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ALP candidates to declare assets

All Antigua Labour Party (ALP) candidates in the up-coming general elections will be required to register their income, assets and liabilities with the Ombudsman.

The party's candidates will also be required to sign an undertaking that, if elected, he or she will also register income, assets and liabilities with the Speaker of the House and the Governor-General.

Prime Minister Lester Bird announced this in his 15th weekly broadcast to the nation, the prime focus of which was corruption. The Prime Minister conceded that in the past, a few persons had "gone astray". He continued, "but what is equally true is that action was always taken against them swiftly.”

"The actions of those few do not denote the attitude of the party. Nonetheless, the time has come for the state as a whole to move beyond curing wrong-doing to preventing wrong-doing," he said.

Giving further details of the new anti-corruption measures, the PM added, "Prior to the election, Labour Party candidates will also be required to subscribe to a code of conduct in office, the confirmed violation of which would result in their expulsion from the Party, and their immediate withdrawal from a Ministry should they be given a Portfolio.

"After the general election, the code of conduct will apply even more stringently, and should it be substantiated that any minister or parliamentary secretary has behaved in a manner that compromises the code, he or she will be withdrawn from office immediately."

In his address, the PM told the nation that Antigua and Barbuda was a signatory to the Inter American Convention Against Corruption established by the Organisation of American States (OAS), a principle of which is that "corruption undermines the legitimacy of public institutions and strikes at society, moral order and justice."

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ALP holds massive Whistle-Stop

Photographs show portions of the ALP’s “whistle stop” motorcade
Photographs show portions of the ALP’s “whistle stop” motorcade
On Sunday 25th January, following the opening of its Headquarters the ruling Antigua Labour Party (ALP), led by Prime Minister Lester Bird, held a mammoth whistle-stop that saw thousands of party supporters and well wishers demonstrating strong support for Mr. Bird and his team of candidates who will contest the upcoming general election due by March this year.

Sporting the party's red colours, supporters filled buses, cars, trucks, rode motorcycles, bikes (two young men were seen on roller-skates) as Labour's political motorcade criss-crossed the mainland as jubilant supporters sang, chanted and danced to the musical commercials of their favourite candidate.

This massive show of strength for the ALP came hours after the party officially launched its headquarters where once again thousands showed-up to see the candidates and to listen to a speech by the party's political leader, Lester Bird when he called upon supporters to go to the polls early to ensure that the ALP is safely returned to office.
Photographs show portions of the ALP’s “whistle stop” motorcade
Photographs show portions of the ALP’s “whistle stop” motorcade

Pleased with the massive show of support in the whistle stop, Mr. Bird said it tells a tale of victory for the ALP, adding that all systems are now at “go". He said “The party will be turning up the heat with an increase in public meetings across the country as election day draws near.”

Meanwhile, the Electoral Commission stated that everything is in place for the election whenever it is called.

The Commission recently began distributing the new voter identification cards, a new security feature in this year's election as government moves to make the electoral system more safe and transparent.

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Antigua Labour Party challenges Baldwin Spencer

Following is a Press Release from the Public Relations Department of the Antigua Labour Party:

“The Antigua Labour Party takes serious objection to the outrageous remarks by Mr. Baldwin Spencer, the Leader of the United Progressive Party (UPP) in his broadcast on the UPP-owned radio station, Crusader.

We recognise that because the UPP owns and controls Crusader Radio whose expressed policy is to broadcast UPP propaganda, Mr. Spencer's broadcasts are not subject to editorial checks for accuracy. But this broadcast was so flagrantly deceitful and misleading that the Antigua Labour Party could not let it pass without comment.

Mr. Spencer blatantly lied when he said “the Prime Minister's resistance to international observers in the run-up to the election is telling evidence of the ALP's intention to steal the election again."

At no time has Prime Minister Lester Bird resisted international observers in the run-up to the election.

Further, at no time in the history of Antigua and Barbuda has the ALP stolen any election. The results of every election held in the country have been accepted by the parties and the people.

Indeed, the 1999 General Election was observed by a team of seasoned and experienced people from the Commonwealth and they declared that "the election was conducted in a manner that allowed the people of Antigua and Barbuda to freely express their will at the polls."

Mr. Spencer cites a document on the 1999 General Election that was written by one man under the aegis of the Centre for Strategic and International studies, and uses the comments from that report to try to build an argument that the 1999 Election was not free and fair.

In his deceitfulness, Mr. Spencer omits to point out that neither the Centre for Strategic and International Studies nor the one man who wrote the report observed the 1999 General Election.

What is more, neither the Centre nor the man has any experience of observing general elections.

The report was written months after the 1999 General Elections, on the basis of oral presentations by UPP leaders, and documents, whose legitimacy were questioned even by the writer.

Mr. Spencer's broadcast and his deceitful statements were made to mislead the innocent at home and abroad.

The reality is that no results of any general election in Antigua and Barbuda have ever been questioned, and the Commonwealth observed the 1999 general election and endorsed its results.

The Antigua Labour Party has absolutely no problem with the forthcoming general election being observed by multi-national and international bodies with the proven capacity to do so. We fully intend to be party to the invitation of such observers at the appropriate time, for when the UPP, under Baldwin Spencer's leadership, drowns under the weight of its defeat at the next general election, we want him to have no straws at which to clutch.”

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ALP calls for apology from opposition over remarks comparing citizens to Haitians

The ruling Antigua Labour Party (ALP) has described as insulting, a statement by Opposition Leader Baldwin Spencer that the citizens here were a little better off than the people of Haiti. “This was an odious comparison given the tradition of democracy, respect for human rights and the relatively high standard of living that the vast majority of our people enjoy,” the ALP said in a statement.

The ALP said that it was also taking issue with Spencer’s radio broadcast, claiming that he had indicated that with the possible exception of the Haitian people, the people of Antigua and Barbuda have endured more this year than those of any other Caribbean country”. The ALP said this “wild claim by Mr Spencer does not stand-up to scrutiny and is an insult to the people of Antigua and Barbuda for which he should apologise”.

“The people of Antigua and Barbuda have the second highest income per person in the Caribbean Community and Common Market including oil-rich Trinidad and Tobago; we also have the lowest unemployment figures in the Region which means more of our people are employed than others in the Caribbean,” the ALP said.

“In some countries of the Caribbean the murder rate and the number of kidnappings are in the hundreds. In Antigua and Barbuda we barely reach double digit figures. The savings of our people in the banks are greater than any other people in the OECS countries and our people own more property per capita than others in the Region,” it added.

The party says the island also upholds freedom of the Press with the main opposition United Progressive Party (UPP) controlling its own radio station “that does nothing but broadcast its own propaganda”.

“The reality is that Antigua and Barbuda performed well in 2003 with economic growth of almost 4%, low unemployment, relatively high wages, low inflation and a stable and democratic environment with lower crime than elsewhere in the Caribbean,” the Labour Party said. “Mr Spencer may be living on another planet, but the people of Antigua and Barbuda live in this country. They are perfectly well aware of the quality of life they enjoy, and no lies from Mr Spencer can alter the truth. He should apologise yet again for his offensive statements about our country,” it added.

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Antigua’s opposition leader warns future ministers of dismissal over corruption

Antigua and Barbuda’s main opposition political party has announced, in the event of it’s winning the upcoming general elections, its intention to set standards of behaviour for government ministers which would require their resignation, if found to be dishonest with the people of Antigua and Barbuda.

In his weekly radio address, leader of the United Progressive Party (UPP) Baldwin Spencer, said that he would hold his ministers to the most rigorous standards, should the party be victorious at the polls that Prime Minister Lester Bird has indicated will be held in early 2004.

He said that lying to the people will be tantamount to resignation from a UPP Cabinet. Stealing from the people will mean certain and instant removal from a UPP Cabinet, and swift justice under the nation’s laws. There would be no ‘sacred cows’ in a UPP Government. He said they will bring a new dimension into the management of the country’s resources, the interest of the people, and not the politicians’ personal profit.

Spencer also pledged to work assiduously to bring elected officials who have stolen public funds or committed other crimes against the people to justice; no matter how devious the means they may have used. He added that it is his duty to caution that out of absolute necessity, anti-corruption legislation will have to be retroactive, to cover the periods of such politicians’ occupancy of elected public office.”

He said he also cautions corrupt politicians that, within this year, a UPP Government will introduce legislation to recover money stolen or fraudulently diverted from the people.

The Opposition Leader said that his party was very confident of winning the elections whenever they are called, noting that the ruling Antigua and Barbuda Labour Party would have to face a cleaner voters’ list than has been used in any previous election in Antigua and Barbuda. He said that the only speculation would be about the date of the election, not about the outcome.

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Political parties preparing for general elections in Antigua and Barbuda

Confident that it would be victorious in at least 14 of the 17 parliamentary seats at stake in the general elections, the ruling Antigua Labour Party (ALP) has gone on the campaign trail as the island prepares for a general election.

ALP leader and Prime Minister Lester Bird told supporters that his administration had been able to “deliver the goods” and he was predicting victory in at least 13 to 14 seats in the elections. The date for the polls has not yet been announced even though Mr Bird has hinted on numerous occasions that it was possible that it could be called before the constitutional deadline of March this year.

Both the ALP and the main opposition United Progressive Party (UPP) have been holding public meetings and launching candidates ahead of the polls.

The ALP's headquarters in the capital has been decked with election paraphernalia, including three giant-size red and white balloons on the roof. The ALP has also launched its “Solidarity Platform” of broadcasters urging support for the ruling party, while blue and yellow large posters and billboards have been erected by the UPP across the island.

The ALP launched most of its candidates at a public meeting on the weekend of 16th January with Johnston Southwell, a school teacher and the candidate for the All Saints and St. Luke's constituency, urging support for the ruling party.

"The Antigua Labour Party is an institution of the people, for the people, by the people. It is you the people of this country that have made this great institution called the ALP and we will not allow anyone to wreck it," the school teacher said.

Meanwhile, voters have started receiving their new voter identification cards, one of the new features for the upcoming polls, as the authorities seek to lessen allegations of election fraud and other irregularities of the past. The local electoral office in Antigua has been receiving assistance from Jamaica electoral officials in their preparation for the polls.

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ALP launches website

On 27th January, the Antigua Labour Party (ALP) launched its internet website, www.votealp.com.

Political Leader of the ALP, Prime Minister Lester Bird, explained that the Website is a credible source where information on the party and its outstanding performance over the years can be obtained. "The Antigua and Barbuda Labour Party has a long and rich history. It is a party that has affected the lives of all Antiguans and Barbudans, and the people of the Caribbean,” he said.

The website, www.votealp.com, also features downloadable music and videos, photographs and biographical data on all the candidates contesting the upcoming general election, a photo gallery which tells the ALP story in pictures, a calendar of events, the latest news related to the ALP, and lots more.

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Antigua and Barbuda deports Dominican Republic nationals

On 19th January, Immigration Chief Colonel Clyde Walker called on his counterparts in the Dominica Republic to investigate an alleged passport scam, following the deportation of six Dominican Republic nationals with fraudulent French documents.

The four men and two women were caught attempting to get into Canada via Antigua and St. Lucia. He said, Galvan Mora, Mariela De Leon, Lourde Maria De Gomez, Angela Perez, Miguel Antonio Caceres and Santa Sanchez paid up to US$2,000 each for the fraudulent French passports. The group were taken into Police custody in St. John's on the 17th January and were sent back to Santo Domingo on Monday 19th January.

The Immigration Chief said Dominican Republic nationals were detained with fraudulent documents on an almost daily basis; the most recent being Feliz Torres, who was deported for a similar offence

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WTO panel opens second hearing in Antigua dispute with US

The Panel of the World Trade Organisation (WTO), which is arbitrating the dispute between Antigua and Barbuda and the United States, began its second hearing on 26th January in Geneva.

Antigua and Barbuda is challenging the prohibition by the US Government of the delivery of Internet gaming and betting services in to the United States. Antigua and Barbuda’s case is based on a claim that the US is violating obligations under the General Agreement on Trade in Services which allows cross-border trade in services. The European Union, Canada and Mexico support Antigua’s position as third parties to the dispute.

Antigua and Barbuda took the dispute with to the WTO Dispute Settlement Body after the failure of attempts to settle the matter in direct consultations with the US.

The Dispute Settlement Body of the WTO authorised the Panel in July last year despite US objections, and the Director-General appointed the Panel members lat August after the US rejected two lists of panellists supplied by the Secretariat.

The first hearing of the Panel was held in December.

At the second hearing, Antigua and Barbuda’s Chief Foreign Affairs Representative, Sir Ronald Sanders, told the Panel that “the Antigua case has not been rebutted by the US”. He said, the US statement at the last hearing was “replete with misstatements and unsupported evidentiary conclusions”.

For its part, the US, through its lead representative, Stanford McKoy, claimed that Antigua must “identify all relevant US legislative and regulatory provisions that the Antigua Government is challenging”. Sir Ronald retorted that “such an approach would deter developing countries from using the dispute settlement system, effectively limiting access to the WTO dispute machinery to the richest members”.

The Antigua diplomat said, “Because of scarce resources, developing countries find it difficult to bring dispute settlement cases to the WTO even when the domestic legislation is simple”.

“If panels were to adopt the approach that every law had to be examined and distilled, when only one law had to be established, dispute settlement would be impossible”, Sir Ronald argued.

The Panel hearing was wrapped up on 27th January with other technical and legal issues discussed.

A descriptive part of the Panel’s report is scheduled to be issued on 20th February with the interim report expected in mid-march after which the parties to the dispute could request a meeting with the Panel to review parts of the Report.

“I fully expect the US to ask for such a meeting. It would fall into their pattern of using every opportunity for a delay”, Sir Ronald said. He added, “If this happens, as I am sure it will, the Panel will have to ask the Dispute Settlement Body of the WTO for an extension of time and the final report will not be out before mid-May”.

He concluded, “Whatever happens, we intend to see this through to the end. We have Antiguan jobs and revenue at stake here”

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Cuban Deputy Minister of Investment meets Prime Minster Lester Bird

Prime Minister Lester Bird and Deputy Minister Eduardo Santos
Prime Minister Lester Bird and Deputy Minister Eduardo Santos
On the 20th January Eduardo Santos, Deputy Minister in the Ministry of Investment and Economic Cooperation in Cuba, met Prime Minister Lester Bird.

Deputy Minister Santos was in Antigua at the head of a Cuban delegation which participated in the fifth session of the Antigua and Barbuda/Cuba Mixed Commission.

PM Bird welcomed the Cuban minister to Antigua and Barbuda and expressed satisfaction that the meetings of the Commission had gone well. He said that Cuba is playing a vital role in the development efforts of the nation, especially in two key sectors, which touch the lives of all members of society - health and education.

Prime Minister Bird also recalled the Caricom/Cuba Summit, which took place in Havana in December 2002. The Summit celebrated 30 years of Caricom/Cuba relations, and set out a number of initiatives designed to build on the strong co-operation already established between Cuba and the rest of the Caribbean.

Also in the meeting were Ambassador Colin Murdoch, Permanent Secretary in the Ministry of Foreign Affairs and Antigua and Barbuda's Ambassador to Cuba, Armando Casado - Technical Advisor to the Deputy Minister, and Dr. Geovando Martinez, co-ordinator of the Cuban medical team resident in Antigua.

Ambassador Murdoch explained that the value of Cuban technical co-operation with Antigua and Barbuda is in excess of EC$8.5 million annually.

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Antigua and Barbuda concludes negotiations with Australia and New Zealand on Tax Information Exchange Agreements

Sir Ronald Sanders (seated front, centre) with negotiating team
Sir Ronald Sanders (seated front, centre) with negotiating team
On 23rd January 2004, Antigua and Barbuda’s Chief Foreign Affairs Representative, Sir Ronald Sanders concluded two days of negotiations in London with Australia and New Zealand on Tax Information Exchange Agreements.

Sir Ronald explained that, “The Government of Antigua and Barbuda operates on a basis of transparency in the regulation and supervision of our financial service sector, and on cooperation with the international community on anti-money laundering and financial crime including tax evasion”.

“In this connection, Antigua and Barbuda was happy to negotiate bilateral tax information agreements with two sister Commonwealth countries, Australia and New Zealand”, Sir Ronald said.

He went on, “These bilateral tax information agreements are very different from the approach of the Organisation for Economic Cooperation and Development (OECD) which has sought to force small countries, like Antigua and Barbuda, to provide information on demand or face inclusion on a blacklist. These negotiations are bilateral, they are aimed at tax evasion only, and are based on the factual tax regimes existing in the countries that are party to the agreement. In this sense, they are fair and voluntary with negotiated protections for the rights of all parties involved”.

The Antigua and Barbuda diplomat, who led the negotiations, disclosed that the bilateral agreements are the first such agreements to be negotiated by Australia and New Zealand. “We find ourselves in the remarkable situation, as a small state, of having more experience in bilateral tax information exchange agreements than our two larger Commonwealth partners”.

Sir Ronald said, “The discussions went well, and there was considerable respect on all sides for the laws, judicial systems and regulatory machinery of the countries concerned”.

He concluded, “These further agreements will show the world that Antigua and Barbuda is operating a transparent and well regulated financial services sector. It will strengthen the reputation of the existing financial institutions in Antigua, and encourage more reputable institutions to locate in our jurisdiction bringing us more revenue and more employment”.

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BMI may operate non-stop services from Manchester UK to Antigua

British Midland landing at Manchester International airport
British Midland landing at Manchester International airport
On 14th January, British Midland Airways Limited (bmi), the UK’s second largest full service airline, announced that it is considering the operation of non-stop services from Manchester UK to Antigua starting in November 2004.

According to Commercial Director for British Midland Andrew Jansen, they are proposing to operate three or four weekly flights on a year round basis to Antigua.

Antigua and Barbuda’s High Commissioner to London, Sir Ronald Sanders, said “The London Office is giving every encouragement to British Midland to fly directly from Manchester to Antigua. We have long wanted a direct flight from the North of England which is a lucrative market.”

Sir Ronald added that if British Midland decides to fly to Antigua, this will be a profitable route for the Airline and the people of Antigua and Barbuda. “It will complement the excellent service we are getting from British Airways supported by Virgin Atlantic and BWIA,” he said.

BMI has its main operational base at London Heathrow where it holds 14% of all take off and landing slots. The airline operates over 2,000 flights a week with a fleet of 41 jet aircrafts which have an average age of five years. BMI serves 28 destinations in ten countries and in 2002 carried over seven and a half million passengers.

Services to Antigua and other islands in the Caribbean would be operated by the 244 seater A330 aircraft with a three class configuration comprising of a first class style business style cabin, the Business, an enhanced economy service, the New Economy and an Economy Cabin.

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Cruise Ship visits on the rise in Antigua

The investment by government and private sector in cruise tourism is showing rewards. Over the Christmas and New Year holidays several cruise ships visited Antigua with over 10,000 passengers.

The cruise ship passengers were welcomed by the Police choir and steel-band music. The Performing Arts Society also put on a show.

Some of the cruise ships in port were - Constellation, Costa Romantica, Pacific Dream, the European Vision - which made its inaugural call, Club Med, Bramer, sea Dream 1 and MV Arion.

Shipping Manager at Bryson’s Shipping, Nathan Dundas said that by the end of January Antigua and Barbuda will reach its 650,000 cruise ship passenger target.

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High Commission for Antigua and Barbuda
2nd floor, 45 Crawford Place, London W1H 4LP

Tel: 020 7258 0070 Fax: 020 7258 7486

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