Business View Caribbean - Sept. / Oct. 2014

52 %XVLQHVV 9LHZ ‡ &DULEEHDQ ² 6HSWHPEHU ‡ 2FWREHU 6W .LWWV 1HYLV BUSINESS VIEW: Can you talk about the pros or cons, or both, of doing business in St. Kitts and Nevis? What are some of the unique characteristics there that are different than other places that are close by? CALVIN CABLE: As Caribbean islands coming out of a British system, we almost all have the same module that we conduct – business. St. Kitts and Nevis, however, have a unique, what is called citizen by investment, program, which a lot of the other islands are now trying to copy. But this is one which allows investors spending in the vicinity of 400,000 U.S. dollars either in building retirement homes or getting involved in timeshares and large hotel-type properties to be granted citizenship of St. Kitts and Nevis. This has been attractive to a lot of persons from the Eastern-bloc countries and other destinations, which do not have ready access to the United States, Canada and Britain. Our passports Talking Business: Calvin Cable allow easy access, so that is one of the most unique types of investments. BV: How long has St. Kitts and Nevis had that program in place? CABLE: This program was in place for about 20 years, but there were some modifications made to it. Previously, I think the levels of investment have been reduced and in some cases, we’ve increased fees. You can get that passport now even without the investment on the ground in terms of concrete. BV: Can you talk about what sort of benefits do you get from offering that program and what sort of people choose to take advantage of it? CABLE: The government gets a lot of revenue for the treasury and for what is considered the development fund, which is kept outside of the main treasury. So there is a lot of trading and job opportunities that are 30 minutes with the executive director of the St. Kitts-Nevis Chamber of Industry and Commerce 6W .LWWV 1HYLV 6HSWHPEHU ‡ 2FWREHU ² &DULEEHDQ ‡ %XVLQHVV 9LHZ offered to young people who are unemployed, which are only possible because of this program. BV: So the chamber doesn’t directly benefit, but it is enhancing the business climate, correct? CABLE: It’s enhancing the business climate. It has increased the spending power of persons who have normally been unemployed and so it rebounds to the business community. BV: Talk about the business climate now that the recession is in the rearview mirror? CABLE: The business climate on these islands, since we import almost all of our food and all of our clothing, etc., is very much linked to the world economy. So, during the world recession in 2008 until, say, up to the present, we were in dire straits. We had low jobs, we had layoffs, businesses had low revenues, etc. We had all of the complaints that exist out there. However, at the present, because of what is called the sugar industry diversification fund – the income that comes from the citizenship process – that has been used to put former sugar workers into alternative jobs, etc. And we are now seeing the economy climbing out of this recession, perhaps better than the rest of the other areas of the Caribbean. We estimate a 3.5-percent growth in this year, and that started in the last half of last year. There’s been a gradual improvement because of the investment people are making in, as I said, holiday homes, timeshares and large hotel properties. There is also an upsurge in construction, and that employs quite a lot of young men. So, for the economy of St. Kitts and Nevis right now, the prognosis is good for the future. BV: Ramping up the attractiveness of the tourism industry in the region is of great importance. Can you talk about that and how vital that is? CABLE: We are all tiny land masses. We have no vast place where you can recognize agriculture, so the quality of foods are good, but the costs of production are high because they cannot be made into very large farms and mass producing any types of produce. However, tourism, because of the geography of the islands, is very attractive and everyone is looking