CARICOM leaders say they are stepping up efforts to respond to the rising cost of living across the region, with a range of national and regional initiatives aimed at reducing expenses for households and improving affordability.
The issue featured prominently during a media briefing following the 51st Regular Meeting of the Conference of Heads of Government. Held in Gros Islet, Saint Lucia, from July 5 to 8 under the theme, “CARICOM: From Resilience to Renewal in a Changing World.” According to a CARICOM press release, at the summit, governments’ discussions addressed increasing living costs driven by geopolitical tensions and their impact on global prices.
CARICOM shared that among the measures highlighted were reductions in taxes on imported fuel, adjustments to freight costs, efforts to lower the cost of moving cargo within the region, expanded investment in renewable energy and plans to fast-track the introduction of a regional ferry service.
CARICOM Chairman and Prime Minister of St Lucia, Philip J. Pierre, said the four-day meeting remained focused on improving the daily lives of Caribbean people.
“Our discussions over the past four days were guided by one central objective – ensuring that CARICOM delivers results that people can see and feel in their everyday lives,” he said. “During our deliberations, Heads of Government focused on the issues that matter most to the people of the Region. We agreed to strengthen regional cooperation to protect consumers, improve affordability, and explore additional measures that can provide relief to vulnerable households. We also agree to strengthen consumer protection and work together to address rising prices across the Community.”
Responding to questions from the media, Pierre acknowledged that every CARICOM country is feeling the effects of higher prices and said leaders used the meeting to exchange ideas on policies that have been introduced in their respective countries.
“Every island is suffering from an increase in the cost of living,” he said. “We decided to share the experience among ourselves. Several islands have taken certain measures to reduce the cost of living in their various islands. But there is one factor we have no control over, which is the price of fuel.”
He also reportedly noted that Saint Lucia has removed value-added tax on selected items as part of its response.
Meanwhile, the release said that Barbados PM, Mia Amor Mottley, outlined several initiatives being implemented in her country, including a cost-of-living allowance for pensioners and a 30 percent increase in welfare payments. She also pointed to technology that allows consumers to compare prices between stores in real time.
Mottley identified the proposed regional ferry service as another important tool for lowering transportation costs and reducing the price of goods moving throughout the Caribbean. She said discussions involving St Vincent and the Grenadines, Trinidad and Tobago and Barbados are expected to explore using one of Trinidad and Tobago’s existing ferry vessels as a pilot project while the private sector secures additional vessels.
“We are now about to enter discussions, Prime Minister [Godwin] Friday from St Vincent and the Grenadines, Prime Minister [Kamla] Persad-Bissessar, and myself as lead on CSME (CARICOM Single Market and Economy), to see how best we can utilise one of the Trinidad vessels as a proof of concept while the private sector procures,” she said.
She explained that regulatory work could be completed within the next three months, while acquiring vessels through the private sector could take up to a year.
Reportedly, Mottley also said she has accepted responsibility for advancing treaty arrangements covering the mutual recognition of licences and insurance to allow cargo vehicles to move more easily between participating countries. She added that the pilot project will also examine what infrastructure improvements are needed at regional ports.
Prime Minister of Trinidad and Tobago Kamla Persad-Bissessar highlighted healthcare as another area where regional cooperation could reduce costs for citizens. She said Trinidad and Tobago is prepared to make services available through its national prosthetic centre and specialised children’s hospital at affordable rates while also providing trained doctors to other CARICOM member states.
“We’re talking about cost of living. And in this respect, in the medical field, if we partner together, again, we can bring down the cost of living,” she said.
Outgoing CARICOM Chairman and Prime Minister of St. Kitts and Nevis, Dr. Terrance Drew, said reducing energy costs must remain a regional priority. He called for faster investment in renewable energy, including solar, wind, geothermal, and wave energy, to help stabilize electricity prices and strengthen Caribbean economies.
Renewable energy, he underscored, “can really help, from our perspective, to transform the Caribbean, to transform the Region, and help us to get on a sustainable path of really managing the cost of living of all of our people here in the Region”.
