The Caribbean Commercial Bank (CCB), one of the two indigenous banks temporarily taken over by the Eastern Caribbean Central Bank, has provided the opportunity for the Anguilla Government to borrow EC$20,000,000. This is the usual annual overdraft facility required under the Financial Administration and Audit Act 2010to meet current requirements.
A Motion passed by the House of Assembly authorised the Minister of Finance to borrow the money, under the provisions of the Ordinance, with the consent of the Governor, for a period of twelve months from October 1, 2013 to September 30, 2014. The Motion was moved by Jerome Roberts, Minister of Home Affairs, in the absence of Chief Minister and Minister of Finance, Hubert Hughes, who was off the island at the time.
“The Caribbean Commercial Bank (Anguilla) Limited is the current provider of the facility,” Mr Roberts explained to the House. “In the recent discussions between the Ministry of Finance and the Caribbean Commercial Bank, the bank is willing to continue providing the overdraft facility in the amount of EC$20,000,000 at an interest rate of 6.75 percent with the following conditions: the continuing guarantee to be provided by the Government of Anguilla; and the operating accounts relationship established with the original approval of the facility to be maintained at the Caribbean Commercial Bank (Anguilla) Limited.
Mr Roberts stated that the Ministry of Finance had reviewed the fiscal position and considered it necessary to continue to maintain the facility at the present limit; and the Executive Council had approved the renewal of the facility with the Caribbean Commercial Bank.
Leader of the Opposition, Evans Rogers, commented in part: “Mr Speaker, while there is nothing contentious about this particular position and extension of the overdraft facility, one would have had the impression over the last four years that matters like this would have been sorted out. That is in the sense that the people of Anguilla were promised within weeks that this borrowing and extension or renewal of overdraft borrowing facilitiesmight have been a thing of the past. But it seems as if the Government in office at the moment realises that some of these things that were customary in the past will have to continue, and that all the rhetoric about mismanagement, corruption and squandering really and truly do not refer to certain things.
“That being said, Mr Speaker, this is a necessary position and, irrespective of the politics on the political platform, there are some things that must be continued…As a member of this Honourable House who has, over the years, supported such extensions of borrowing and so forth, it would be hypocritical of me to oppose this. So I stand here in support…of this Motion, as in the past, for extending the overdraft facility for another twelve months.”
Mr Roberts repeated his earlier statement that the Motion “was nothing new…and it will continue before this Honourable House year after year”. He added that “despite the best efforts of any government to have a stable and sound financial account, it is also imperative and critical that the government also secures an added back up in the event of unforeseen circumstances. The overdraft facility is just that vehicle. It is a facility whereby, if government runs short on its finances, it can tap into it to keep the smooth running of this country going forward.”
Mr Roberts and Mr Rogers were the only two speakers on the Motion which received the approval of the House.
The other matter was a slight amendment to the Water and Wells Act, moved by the Minister of Infrastructure, Evan Gumbs. It was given its first, second and third readings and passed. The amendment was to insert two words “or designate” in section two of the parent Act.
