| One of the New Year wishes that anyone in Anguilla should have is to see the economy of the island turned around very quickly. Apart from local politicking, the main cause of the current stagnationis commonly blamed on the global economic and financial situation that has seriously impacted both big countries and small island states like ours in particular. |
| The year 2011 in Anguilla, in retrospect, has seen a severe falling off in the construction industry which, until a few years ago, was very active; a decline in new tourism projects notwithstanding the signing of a growing number of Memorandums of Understanding; reduced tourist arrivals; the closure of Malliouhana Hotel and Spa which, up to the turn of 2011, despite its then slow business operations, was still one of Anguilla’s small leading hotels of the world; the bankruptcy auction of Viceroy Hotel which now appears to have settled down and doing well; the auction sale of the Flag/Temenos development and golf course, now awaiting further investment; and the auction relating to Cap Juluca, another of the island’s world-class resorts, now emerging under new ownership. If ever a time there had been a need for a redoubling of our efforts in further developing the tourism sector, it is now. Just recently Government and tourism officials had been scratching their heads to find answers to declines in tourist arrivals and to what Anguilla can do to pep up its marketing initiatives to stay ahead of, or abreast with, other regional destinations. There must be no letting up in seeking new ways to boost tourism, the biggest employment sector on the island and the mainstay of the economy. It was encouraging to hear some positive news about the industry in the budget address delivered earlier this month by the Chief Minister and Minister of Tourism. “Due to the hard work of my tourism team, our arrivals are rebounding and we expect steady growth in that industry thus providing more opportunities for our people,” he stated. It is hoped that this trend will continue into 2012 and beyond. There is a need to spend much time on tourism since it is the main vehicle that drives our economic development. The Sustainable Tourism Master Plan, completed in October 2011, provides for the first time a clear vision ahead for Anguilla; and, if closely followed, it may well provide the answers we need to reorganise the institutional arrangements for the sector, improve air and sea access, enhance and diversify our tourism product and upgrade our standards of service. It must be disappointing that there has been no visible evidence to show that the Chief Minister has yet been able to turn around the economy as he declared he would have done in 18 months. While this was said with good intentions, the reality of the world’s economic plight, and its impact on Anguilla, decreed otherwise. That does not, however, relieve the Chief Minister of his responsibility to try to succeed against all odds. There has been a record of at least three budgets which were not approved by the UK Government between 2010 and 2011, a reflection of the island’s financial woes. While the Chief Minister has made the point that “you can’t tax a dead economy”, there was in fact the imposition of a series of new taxes, levies and increased fees aimed at balancing not only the last two budgets, but the 2012 budget as well. To quote the Parliamentary Secretary in the House of Assembly recently, speaking on one tax against which there has been much public outcry, and on which the Government heavily relies: “No Stabilisation Levy, no budget.” While the 2012 budget makes provision for capital expenditure of 29.21 million dollars, with small inputs from a number of sources, no clear public sector investment projects have in fact been outlined. Government needs to be in a financial position where it can participate with private sector investment to develop Anguilla to a point where there is full employment and a buoyant economy. As we look to the New Year the hope is that,despite the varied uncertainties, there will be a turn around of the economy to the relief of all the people of Anguilla. |
