Clico impasse may be far from over

Caribbean Development Bank (CDB) president Dr Warren Smith is warning that the country cannot afford to bail out is own operations much less those in the Eastern Caribbean. “I don’t think that the Government of Barbados is in any position to be able to dig deep to come up with resources to bail out either their own or the Eastern Caribbean countries, and the Eastern Caribbean countries can’t afford to do that.”

In fact, he went as far as to say that he did not see any solutions to the CLICO situation that were either practical or affordable.

The CDB is a part of a committee trying to seek a solution to the situation which unfolded when CL Financial in Trinidad collapsed in 2009, and has tabled numerous solutions to resolve the British American Insurance problem.

But, Dr Smith warned, the solution to the problem will be a very expensive one, and the committee is recommending a burden-sharing approach between Trinidad and the Eastern Caribbean countries.

However, he also made it clear that any attempt by countries to bail out all CLICO and British American policyholders and investors using state funds will be a dangerous undertaking

Leave a Reply

Reset password

Enter your email address and we will send you a link to change your password.

Get started with your account

to save your favourite homes and more

Sign up with email

Get started with your account

to save your favourite homes and more

By clicking the «SIGN UP» button you agree to the Terms of Use and Privacy Policy
Powered by Estatik
error: Content is protected !!