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These various components are addressed under other necessary conditions to the other SDDs. NC 1.4.2 Optimal Economic Transformation Our economy remains vulnerable to external shocks, in particular to the ebbs and flows in tourism source markets, primarily emanating from North America and parts of Europe. This vulnerability has been exposed time and again.
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While it is critical to pursue sound fiscal strategies as the foundation of our economic resilience strategy, we also recognize that broadening the base of our economy is another important dimension of our economic resilience strategy. Furthermore, there are promising opportunities for strengthening our capacity to generate wealth outside of tourism.
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The GoAB will therefore move to take actions to support potential and emerging opportunities for which there are good prospects in the areas of the marine industry, the agriculture industry, the provision of offshore education, the provision of professional services to foreign markets and creative industries, among other areas. Marine Services Priority focus will be given to the following actions over the Medium-Term.
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Action 1: Update the strategic plan for the sustainable exploitation of our marine space Antigua and Barbuda’s economic zone is 200 times larger than its land mass, but we only significantly exploit the tourism related aspects of our marine space. Through the Antigua and Barbuda Department of Marine Services and Merchant Shipping (ADOMS), we will pursue strategies to expand existing efforts and explore new opportunities to utilize our marine space and resources.
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These could include the generation of energy from ocean currents, wave motion and temperature differences as well as exploration and sustainable extraction of minerals. In that regard the department will update its Medium-Term strategic document. Action 2: Continue efforts to secure the participation of more nationals in the shipping industry The Department maintains a full-fledged international registry with over 1300 registered vessels.
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In November 2011, ADOMS launched its Mega Yacht Registry highlighting competitive rates, efficient services and a very proficient and experienced team. ADOMS will seek to leverage these gains to build vertical and horizontal industry linkages and secure greater participation of nationals in the industry. To help facilitate this, plans are afoot to establish a Satellite Campus of the Caribbean Maritime Institute in Antigua to service the Eastern Caribbean.
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Ultimately, the goal is to create a maritime cluster in Antigua and Barbuda to further cement the country as a major player in the maritime industry in the region. Action 3: Strengthen the legislative framework for the management of the marine sector This may seek to address the challenges arising from the segmentation of responsibilities for managing the marine space.
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This action is also important for setting the appropriate legislative foundation for optimizing the economic benefits that can be derived from our marine space. GoAB Medium-Term Development Strategy 2016-2020 Page 27 Action 4: Negotiate maritime boundary limitation This action is important to clearly identify the marine boundaries within which new economic activity can take place.
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Action 5: Improve data gathering capacity This action will be led by ADOMS and is important in determining and monitoring the extent of the resources that may be available for sustainable exploitation. This could include data on ocean current patterns, sea temperatures, ocean contours among others.
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Off-Shore Educational Institutions There are currently three off-shore educational institutions registered with the Antigua and Barbuda National Accreditation Board – The American University of Antigua (AUA), The American International College of Arts and Sciences (AICASA) and the University of Health Sciences Antigua (UHSA). The industry contributes in varying ways to the local economy, e.g.
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through real estate, construction, activities and through the consumption goods and services; and offers good potential for increased contribution to economic growth.
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Thus, in order to encourage the further development of the industry the following actions will be taken: Action 6: Improve the current institutional and legislative framework to support the growth of this industry This effort will be led by the ministry with responsibility for industry in collaboration with the ministry responsible for education. Consideration will be given devising strategies for attracting operations with strong accreditation.
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Action 7: Actively engage industry players in reviewing actions that may be desirable to attract more international students This effort will be led by the ministry with responsibility for industry which will liaise with other ministries within the development planning and MTDS implementation framework set out in Chapter IV.
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Agriculture The agriculture industry represents a viable avenue for diversifying the economy of Antigua and Barbuda and has significant implications for food security, social protection, sustainable entrepreneurship, livelihoods and promoting health.
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While the sector has declined over the last four decades to the point where its contribution to economic output is very small, the opportunity for significant improvement in the contribution of the industry to economic development, lies in the careful organization of the industry, encompassing, among other areas, the careful targeting of crops, piloting and demonstrating potential with respect to specific areas, the use of more advanced technology, the careful monitoring and evaluation of strategies, the provision of support to farmers including access to appropriate financing, and putting in place institutional arrangements to help overcome diseconomies of scale.
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Furthermore, a significant resurgence in agriculture will require adequate plant protection efforts; enhanced sanitary and phyto-sanitary GoAB Medium-Term Development Strategy 2016-2020 Page 28 systems; the upgrade of irrigation, drainage and road infrastructure; and the strengthening marketing infrastructure and support systems. The ministry with responsibility for agriculture will continue to lead efforts to strengthen the agricultural sector.
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Its efforts have been guided by the National Food and Nutrition Policy (2012) and the related National Food and Nutrition Security Action Plan which are closely aligned to the OECS Action Plan on Agriculture (2012-2022) and the CARICOM Agriculture Policy. While greater efforts to implement the country’s plan of action will depend in part on the availability of resources, priority actions over the Medium-Term will include those listed below.
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Other necessary efforts, including access to appropriate development financing and the provision of adequate business development support, are critical to strengthening agriculture and agro- processing and that are addressed elsewhere under NC 1.4.
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Action 8: Improve access to and generation of water for irrigation Action 9: Improve the marketing of agricultural products For some agricultural product and livestock, Antigua and Barbuda has the potential to significantly reduce imports and to engage in exports.
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Toward this end, the ministries responsible for Agriculture and Trade will collaboration to explore opportunities to work with established businesses currently engaged in the import of such products and to develop adequate mechanisms to facilitate marketing and export of agriculture products. Furthermore, existing mechanisms through the Central Marketing Cooperation (CMC) to facilitate the marketing and distribution of agricultural products will be reviewed and adjusted to improve effectiveness.
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Action 10: Attract new investment in agriculture The Ministry of Agriculture will encourage greater investment in the sector, including through the development of options for the accessing of financing by existing farmers and potential entrants to the sector. The provision of additional access to financing will, among other goals, seek to promote the uses of modern and appropriate methods for production, harvesting and storage.
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Efforts will also be made to encourage greater use of the solar technology for the generation of energy on farms. With regard to investment in modern methods to enhance efficiency of agriculture, opportunities for joint efforts among farmers, including through cooperatives will be encouraged to optimize economies of scale.
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Moreover, to encourage investment in agriculture, the Ministry of Agriculture, will provide adequate extension services and research to support greater efficiency in the production of crops and livestock (including small ruminants and cattle) in which Antigua and Barbuda can develop a competitive advantage. Efforts will also be made to explore the possibility of seed production as a new initiative.
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Action 11: Reduce vulnerability to disaster and climate change risks The Ministry of Agriculture will study the feasibility to develop crop and livestock insurance as a mechanism to reduce the vulnerability of the sector. Moreover, the Ministry of Agriculture, in GoAB Medium-Term Development Strategy 2016-2020 Page 29 collaboration with the Ministry with responsibility for the Environment, will develop programmes to enable the sector to adequately adapt to climate change.
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Action 12: Expand and improve agro-processing This will encompass the production of local juices and other simple processed foods such as: hot sauces, frozen carrots, dried onions, ochras, corned fish, beans, and jams and jellies for local and tourism sectors. Efforts to expand agro-processing will be led by the ministry with responsibility for agriculture in collaboration with the ministry with responsibility for industry.
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Fishing Fishing currently contributes about half of the value added from agriculture and fishing sector. The ministry with responsibility for fisheries will thus continue to implement strategies for the optimal utilization of fisheries and fish resources. Matters relating to marine ecosystems management will be addressed under NC 3.1.1 in relation to SDD 3.
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Actions that will contribute to the improvement in the economic contribution of the sector are listed below, while other critical support actions such as access to appropriate financing and business development support have been addressed elsewhere in this document. Action 13: Continue efforts to encourage increased harvesting of utilized fish species This ministry responsible for fisheries will lead this effort. This action will contribute to ecosystems management as well as to an increase in fish catch.
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Action 14: Encourage the viable development of aquaculture and mariculture This will require the preparation of an aquaculture management plan and will be led by the ministry responsible for fisheries. Action 15: Develop value added products Processes in this regard may include canning, salting and smoking of fish. It may be necessary for the ministry responsible for fisheries to pilot such projects with the aim of attracting private sector participation.
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This will also include the production of shrimp and other high valued products. Export of Services Action 16: Develop and implement a strategy to increase direct benefits of exporting human capital This action will be led by the ministry with responsibility for Finance as an expansion to the Prime Minister’s Scholarship Programme. Antigua and Barbuda’s greatest asset is its human capital. Over the years we have invested much in human resource development.
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However, we have not been able to optimally utilize all of these persons and many have found employment opportunities within the region and further afield. While remittances have contributed much to our economy, there is additional potential that can be exploited from the supply of our human GoAB Medium-Term Development Strategy 2016-2020 Page 30 capital to other countries.
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In order to reap greater benefits we will thus move to better organize the supply of trained individuals to meet international demand. This could include, for instance the organized provision of home care services, trained hospitality professionals and civil engineers, medical doctors, nurses, teachers and skilled technicians. Specialized companies to supply professionals could be established locally to negotiate appropriate service contracts.
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The development of linked investment and savings vehicles to this programme will be advanced, such as: housing; government bonds; private equity investment opportunities and specialized savings programmes.
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Creative Industries Action 17: Study the opportunities to enhance the economic contribution from creative industries The action will be led by the ministry with responsibility for industry and may encompass various areas including manuscripts, music, arranging original Caribbean and international music, steel pan schools, sports, the development of computer applications, fine arts, literature and text book writing. This action will be closely related to action 1 under NC 2.7 below.
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Barbuda Barbuda is a natural paradise with unique pink sand beaches, lagoons, salt ponds and unique flora and fauna species, including one of the world’s largest bird sanctuaries. Barbuda is virtually untouched with significant growth potential which, if exploited in a sustainable manner, can substantially transform the way of life for Barbudans while at the same time, protecting and preserving its natural beauty.
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The transformation of the economy of Barbuda will undoubtedly contribute to sustaining GDP of at least 5% over the medium to long term. Action 18: Develop a strategy for making Barbuda a green, low density, high-end tourism destination This action will be led by the ministry responsible for Barbuda affairs and must be consistent with the tourism master plan.
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Action 19: Develop a strategic plan for the sustainable exploitation of Barbuda’s marine space This action will be led by the ADOMS as a part of the Action 1 of NC 1.4.2. NC 1.4.3 Improved Competitiveness Antigua and Barbuda is a very open, small economy, while its domestic private sector is dominated by small and micro enterprises. Both of these realities have implications for the competitiveness of firms. Strategies to assist firms to access external markets are addressed under NC 1.2.
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However, small firms not only find it difficult to overcome direct trade related challenges, but they are also often less cost efficient than larger firms due to scale. Our strategy to improve competitiveness must therefore address this reality, and will revolve around identifying firms with good potential and helping them reach to the next level.
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The strategy will GoAB Medium-Term Development Strategy 2016-2020 Page 31 also focus on access to appropriate development finance addressed under NC 1.4.4; encouraging the use of appropriate technology addressed under NC 1.4.5; and the provision of incentives addressed under NC 1.4.6. Other elements geared at improving competiveness including reducing the cost of inputs (including the cost of energy), are dealt with under other NCs of SDD 1.
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This sub-area addresses other areas through which firms will be assisted to improve competiveness the provision of business development support, encouraging cooperation among firms as a means of firms overcoming size limitation, partnering with the private sector to build private sector capacity and better organizing economic activity among other areas. Priority actions to be taken over the Medium-Term to build on and strengthen various ongoing public sector efforts follow.
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including Action 1: Undertake more active approaches to identifying and assisting firms with good prospects for further development The ministry with responsibility for industry will lead efforts to design a more active approach to identifying and assisting firms with good prospects to become competitive. This will involve going beyond the sensitization and training, and will require approaches for effectively targeting firms, and providing mechanisms to directly guide and mentor firms identified.
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This action will be coordinated with strategies to provide business development support, those aimed at facilitating access to appropriate development capital and other elements of industrial policy as appropriate. Action 2: Strengthen the provision of business development support Business development support is an important tool for assisting small and micro enterprises become more efficient.
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The Antigua and Barbuda Investment Agency (ABIA) and various other stakeholders have engaged in the provision of such services. Under this action the ministry with responsibility for industry will lead efforts to review the effectiveness and operational efficiency of such services and will put mechanisms in place to improve the coordination and effectiveness of such services, including more active approaches in identifying beneficiaries.
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Action 3: Increase efforts to encourage stronger coordination among firms This action will be critical given the reality of the prevalence of small and micro enterprises. The ministry responsible for industry will lead efforts to design sustainable strategies for cooperation among groups of firms. Such strategies will need to propose appropriate approaches for overcoming the challenges that have led to failure of cooperation models in the past.
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Subject to the design of such models, the ministry will lead efforts to actively identify groups of companies that can benefit from increased cooperation and to actively encourage these enterprises in that direction. NC 1.4.4 Improved Access to Development Finance Access to appropriate financing is a major determinant of the competitiveness of enterprises.
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Commercial banks are the most prevalent financing source in the country, but they are not well suited to financing emerging activity or for financing some stages of business development. The GoAB Medium-Term Development Strategy 2016-2020 Page 32 Antigua and Barbuda Development Bank (ABDB) which was set up to help overcome this challenge, is currently reviewing its operations in order to strengthen its capacity and effectiveness in providing development financing.
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The GoAB recognizes that a broader range of improve firms’ financing structure. financing Overleveraging is a significant factor that leads to underperformance of many enterprises. Consequently, the GoAB will move to develop a more comprehensive development financing architecture and in that vein the following actions will be prioritized over the Medium-Term.
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tools, beyond is necessary loans, to Action 1: Conduct a diagnostic review of the ABDB in order to strengthen its capacity and effectiveness as an effective development financing institution This action is expected to result in greater access to resources from multilateral development finance institutions for on-lending to enterprises.
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This action will also better outfit the institution to work closely with other stakeholders in order to better identify enterprises with potential to become internationally competitive and to assist them in doing so. The action will also contribute to enhancing the capacity of the institution to engage in the development and administration of financing tools other than the traditional provision of development financing loans. This action will be championed by the ministry responsible for finance.
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Action 2: Study the feasibility of the development of a venture capital ecosystem This action goes beyond consideration of the establishment of venture capital funds, but encompasses a more holistic mechanism for identifying firms that can benefit from such funds; working with them, through various stakeholders, to get them to the stage where they can access such funds; and matching enterprises with appropriate types of venture capital options.
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These venture capital options may include family and friends, angel investors, crowd funding, diaspora sources, the ECCB Venture Capital Fund, or other venture capital funds that may be managed by the ABDB or others as appropriate. This action will be led by the ministry responsible for Finance. Action 3: Study the feasibility of improving access to export financing and other working capital requirements The ministry responsible for industry will lead efforts with respect to this action.
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Adequate access to working capital presents yet another challenge to the ability of firms to access export markets and to be more competitive. NC 1.4.5 Technological Adaptation and Innovation (Including Green Technology) In today’s knowledge-driven world, adaptation to new technology and innovation are indispensable to maintaining or enhancing our competitive position.
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Our Ministry of Education Science and Technology, continues to be make efforts to establish a cadre of human resources with skills, knowledge and attitudes that are current and relevant for the global market place. These efforts in the area of education are discussed more fully under NC 1.7. The ministry’s efforts in relation to Science and Technology relate largely to education, however GoAB will move to pursue more direct approaches for encouraging technological adaptation and innovation.
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GoAB Medium-Term Development Strategy 2016-2020 Page 33 The following actions will thus be pursued over the Medium-Term, given that, left to their own devices and without adequate incentive, many enterprises, especially small firms, are unlikely to take sufficient actions to imitate and adapt to new technology and to innovate.
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Action 1: Build institutional capacity to encourage technological adaptation and innovation The ministry responsible for industry will take the lead in making appropriate recommendations to Cabinet for putting in place the suitable institutional arrangements to more directly encourage technological adaptation and innovation.
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The focus will be on assisting businesses to apply existing technology, using a proactive approach to identifying enterprises that is in line with other elements of policy under NC 1.4.
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Recommendations will also be made with respect to the technical skills that will be necessary if GoAB is to assist enterprises to, become aware of technology that may be beneficial to them; analyze the costs and benefits that may be associated with the application of these within the local context; and analyze options for financing or otherwise incentivizing technological enhancements, including through partnerships between local and foreign investors.
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Action 2: Develop an intelligence framework to support technological adaptation and innovation, including green technology Subsequent to the previous action, the agency with responsibility to lead the GoAB’s more direct efforts to encourage technological adaptation and innovation, will establish an intelligence- gathering and trend-monitoring framework to ensure timely awareness of opportunities to grow through technological imitation and adaptation, with a special focus on mainstreaming “green technology”2.
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This new function will gather information on: Relevant market trends, including changing needs/wants of customers in key markets Legislative change in foreign markets Supplier developments What competitors in foreign markets are doing Emerging needs/advances around skills sets and business process Specific new technologies that may be potentially used within targeted sectors (especially “green technology”) Business and consumer behaviours 2 Green technology is defined as technology that is environmentally more benign than other similar technologies and that conserves natural resources.
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Antigua and Barbuda will follow United Nations definitions of green economy and prioritize the application of technologies that result in an economy that is low-carbon, resource efficient, and socially inclusive, GoAB Medium-Term Development Strategy 2016-2020 Page 34 Action 3: Develop a framework and function for rational assessment of specific application of technology The agency responsible for leading the GoAB’s more direct efforts to encourage technological adaptation and innovation will develop a technology assessment framework.
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The framework and functions will focus on: 1. Financial cost/benefit analysis (taking into account impact on natural resources and ecosystem service valuations where available); 2. Impact on the core assets of the company (people, processes, products); 3. Adaptation and improvement of the technology for competitive enhancement (including durability, quality, and reliability); 4.
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Potential impact of the technology on core business considerations such as pricing, positioning, availability, customer support, delivery options, payment and credit terms, warranty cover, upgrades and access to technical support.
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Action 4: Conduct studies on the appropriate green technology options that can be used in Antigua and Barbuda in the short and long term and actively promote the use of such identified technologies Such studies may be undertaken by the agency with responsibility to lead the GoAB’s more direct efforts to encourage technological adaptation and innovation, or by other relevant agency including possibly Antigua Public Utilities Authority (APUA) and the current ministry with responsibility for energy.
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The study will provide a clearer basis for promoting the use of such technologies and will map a general path forward for accelerating the mainstreaming of green technology application in Antigua and Barbuda.
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Action 5: Design programmes to facilitate and incentivize green technology investments and to dissuade the use of environmentally unfriendly technologies The agency with responsibility to lead GoAB more direct efforts to encourage technological adaptation and innovation, will lead efforts to develop options for policies and programmes that incentivize investment in green technologies.
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Such policies and programmes should consider financial as well as legal structures that support or hinder the use of green technologies in industry and at the individual level, and will make recommendations for appropriate reform. Options will also be considered for discouraging the application of technologies with high environmental cost and impact. This will include the use of financial, tax, and other legal and regulatory instruments.
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The incentives or disincentives utilised will be consistent with WTO regulation.
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Areas for consideration may cover: Green Standards for the use of solar power and water storage Incentives for Green Standards in new buildings Incentives to the hotel and restaurant sector to comprehensively retrofit their properties to use solar water heaters, energy-saving devices and equipment GoAB Medium-Term Development Strategy 2016-2020 Page 35 NC 1.4.6 Improved Incentives Regime The provision of investment incentives can play an important role in helping Antigua and Barbuda develop business activity in which it can have a competitive advantage.
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In that regard, it is important to encourage innovation, technological adaptation, first movers, and activity in areas where significantly more activity is desired and can be sustained. Incentives are also important to steer the economy in directions that are sustainable, including encouraging green technologies.
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Government’s incentive regime must complement the free market mechanism, must be part of the broader policy framework for promoting growth and productivity, and must minimize the provision of incentives that are not necessary. The strategy of the GoAB is therefore to strengthen its investment incentive regime in line with those attributes.
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Several fiscal incentive programmes are currently in place including, those under, the Free Trade and Processing Zone (FTPZ); and those under various other pieces of legislation including, the Hotels Aids Act, the Tourism and Business Special Incentives Act (Sunset legislation whose lifespan will be extended); Small Business Development Act 2007, and the Manufacturers Incentive Act 2011.
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While the provisions under these acts are largely with regard to tax incentives, several other government programmes, in effect, provide non-tax incentives. The following actions will be prioritized over the Medium-Term in order to strengthen the use of investment incentives as a policy tool to help improve business competitiveness.
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Action 1: Review the investment incentive regime This review will be led by the ministry with responsibility for finance in collaboration with the ministries responsible for industry, investment promotion and tourism, among others.
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In addition to reviewing the appropriateness and effectiveness of fiscal incentives and the associated foregone revenue with respect to the application the various acts mentioned above, the review will assess the degree to which non-tax incentives are currently provided and actively marketed as such, and the need for designing a comprehensive incentive package encompassing fiscal incentives, training and access to financing, among others, in ways that are both compliant with our WTO obligations and complementary to the free market enterprise.
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This effort will build on assistance being given by the International Financial Corporation (IFC) which set out to review the costs and benefits of the provision of fiscal incentives. This action will also take into consideration regional initiatives aimed at harmonizing tax incentive regimes.
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Action 2: Make adjustments to the investment incentive regime as necessary based on the review of the investment incentive regime This action will be led by the ministry responsible for finance in consultation with the ministries responsible for industry and tourism among others, or as otherwise recommended in the review. The adjusted regime will be review and evaluated periodically.
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NC 1.4.7 Inclusive Growth (Growth with Equity) Inadequate opportunity to participate in and benefit from growth will ultimately adversely impact the cohesiveness of our society and will eventually derail productivity and growth potential. Thus, as we pursue strategies to grow the economy of Antigua and Barbuda, it is important to GoAB Medium-Term Development Strategy 2016-2020 Page 36 ensure that this growth is shared by all Antiguans and Barbudans.
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Moreover, while we will continue to partner with foreign investors, it will also be important to encourage significant participation by Antiguans and Barbudans in the ownership of business enterprises. These considerations will inevitably contribute to the strengthening of national pride and creating stronger national identity. Currently, there are several programs that contribute to the provision of opportunities for Antiguans and Barbudans to share in and benefit from economic growth.
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These range from the minimum wage rate, to other specific programmes within line ministries or SOEs that focus on training, the provision of business development support, and access to finance, among others areas that assist persons to develop business activity and improve competitiveness. The strengthening of such programmes, many of which have already been discussed under NC 1.4 as elements of industrial policy, is an essential component of our strategy for shared growth.
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Beyond these, the GoAB will pursue the following actions over the Medium-Term to further encourage growth with equity. Action 1: Study the potential for enhancing the labour incentive framework The ministry responsible for labour, will study opportunities for improving the labour incentive framework and will encourage and facilitate dialogue between the private sector and labour in that regard.
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This could involve opportunities for the use of bonuses, the sharing of profits and the use of other options such as productivity enhancement tools. These types of incentive may be designed to improve worker reward and overall satisfaction, while encouraging greater worker productivity, so that both the worker and the employer benefit.
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Efforts will be made to pilot such initiatives, to closely monitor their operation, and subsequently, based on successes, to actively promote a more widespread adoption especially among larger enterprises.
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Action 2: Enhance the opportunities and mechanisms for encouraging greater participation of Antiguans and Barbudans in the ownership of large business ventures This action will be led by the ministry responsible for industry and will focus on the effective and efficient ways to organize investment efforts so that Antiguans and Barbudans can have significant stakes in large-scale and transformational projects.
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Such strategies may contemplate more active approaches to promoting the participation of Antiguans and Barbudans in project that may or may not involve the participation of foreign investors. This approach requires building the capacity for identifying potential projects, preparing detailed project proposals, structuring financing, and addressing issues of trust and transparency in order to encourage significant domestic participation.
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NC 1.5 Efficient Markets and Appropriate Enabling Business Environment We will pay much attention to increasing the efficiency of our goods, labour and financial markets, as this is critical to our efforts to improve our international competitiveness. Economic growth will be higher as markets allocate goods and services more efficiently. Thus, we will take actions to strengthen the efficiency with which markets operate.
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GoAB Medium-Term Development Strategy 2016-2020 Page 37 Goods and Services Market Not only would an inefficient goods market directly adversely impact consumer welfare through higher prices for goods produced for final consumption and higher prices for intermediate goods (inputs) but it would also decrease the competitiveness of the goods and services that we supply other markets. Thus, we will encourage greater competition where this is likely to result in more efficient allocation of goods and services.
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Where the size of our market results in non- competitive market structures, we will take steps to strengthen regulations, or to strengthen the institutional framework for production of goods and services where these are currently in the hands of government. This is particularly so with respect to the provision of water, electricity and telecommunications services through the APUA – a government-owned company.
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Action 1: Improve the business model or institutional structure for the delivery utility of services These efforts will be led by the ministry with responsibility for utilities and will build on assistance that is being currently provided by the World Bank to study the opportunities to make each business unit (Electricity, Water and Telecommunications) within the APUA independently profitable. On the basis of this study, appropriate plans will be prepared.
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Action 8 under NC 1.6 provides details on other actions to improve the efficiency in the delivery of utility services. The Labour Market Economies with more flexible labour markets are better able to respond to market signals and hence are better able to compete internationally barring other considerations. Our labour regulations have placed much focus on job security. We will now seek to develop approaches that focus both on worker satisfaction as well worker productivity.
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Action 2: In concert with Action 1 under NC 1.4.7, review the features of labour market regulations that may be adversely impacting economic efficiency in Antigua and Barbuda This action will be led by the ministry with responsibility for labour in collaboration with the ministry responsible for finance. The result of the review will be used to inform actions needed to improve the flexibility of labour markets, consistent with effort to improve worker satisfaction.
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Action 3: Continue efforts to improve labour market information– matching unemployed labour with available jobs With the assistance of the International Labour Organization, the ministry with responsibility for labour is leading efforts to establish a labour market information system. This action will continue and is expected to improve the responsiveness of the labour market. The Financial Market Furthermore, sound and efficient financial intermediations are indispensable for economic efficiency.
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Therefore, along with other countries in the Eastern Caribbean Currency Union (ECCU), we will take steps to strengthen the soundness and efficiency of our domestic financial GoAB Medium-Term Development Strategy 2016-2020 Page 38 market. Such actions are urgent given the vulnerabilities that emerged since 2008 manifested through the failure of two insurance companies which operated in the region and the insolvency of some commercial banks in the ECCU including in Antigua and Barbuda.
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These vulnerabilities threatened to undermine economic stability. We will thus move with haste to address these vulnerabilities while putting in place better regulations to avoid such future occurrences. Action 4: Continue efforts to strengthen the financial sector regulatory environment Action 3 under NC 1.1 will contribute to addressing banking sector vulnerabilities and will follow recent passage (May 2015) of a new Banking Act.
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The new Banking Act provides for the regulation and supervision of banking business, the establishment of a single banking space, the ownership structures for licensed financial institutions, the licensing of financial holding companies, the corporate governance of licensed financial institutions, the framework for the official administration of licensed financial institutions and for incidental and related matters.
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Moreover, the Financial Services Regulatory Commission (FSRC) will continue to lead efforts to strengthen the regulation and supervision of non-bank financial institutions. The regulation and supervision of non-bank financial institutions will be further strengthened through the establishment of a regional regulatory regime that will be linked with the national offices. GoAB will continue to support this regional approach.
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Action 5: Take actions to improve access to appropriate financing This area is addressed in NC 1.4.4. Other Areas Many of our firms are small and operate informally, and this undermines the degree to which they can access financing, attract and build appropriate human resources or benefit from other provisions of the formal economy. Measures to reduce the level of informality in the economy would be expected to strengthen growth, reduce poverty and vulnerability.
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Moreover, we will also take actions to improve the enabling environment for doing business as this is an important element for improving international competitiveness. Action 6: Improve the ease of doing business This area is addressed under Action 4 of NC 1.3. Action 7: Study the factors that may encourage firms to remain informal and in order to inform approaches for reducing informality This action will be led by the ministry with responsibility for finance.
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Factors that discourage firms from operating formally may range from the cost of formal registration, to the provision of direct and indirect incentives that may encourage firms to remain small, including thresholds for tax registration.
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Antigua and Barbuda
https://docs-lawep.s3.us-east-2.amazonaws.com/1694500114623.pdf
https://www.environment.gov.ag/assets/uploads/attachments/c8a8e-goab-medium-term-development-strategy-sept-2015.pdf
GoAB Medium-Term Development Strategy 2016-2020 Page 39 Action 8: Work with the ECCB to investigate the need for a Credit Bureau and if feasible, work towards the establishment of such a unit This action will be led by the ministry with responsibility for finance in collaboration with the ministry with responsibility for industry. It will contribute to enhanced efficiency of financial markets by improving availability of information which financial institutions need to make lending decisions.
Gender Based violence- Violence Against Women
Child marriage
Antigua and Barbuda
https://docs-lawep.s3.us-east-2.amazonaws.com/1694500114623.pdf
https://www.environment.gov.ag/assets/uploads/attachments/c8a8e-goab-medium-term-development-strategy-sept-2015.pdf
This will ultimately impact the cost of capital. NC 1.6 Adequate Infrastructure (Roads, Ports, Transport, Energy, Water, and Telecommunications) Our economic infrastructure is a foundational aspect of our competitiveness. Good transportation infrastructure, including air and sea port facilities, has helped to facilitate the development of our vital tourism industry, alongside reasonable access to electricity, water and telecommunications infrastructure.
Gender Based violence- Violence Against Women
Child marriage
Antigua and Barbuda
https://docs-lawep.s3.us-east-2.amazonaws.com/1694500114623.pdf
https://www.environment.gov.ag/assets/uploads/attachments/c8a8e-goab-medium-term-development-strategy-sept-2015.pdf
However, maintaining and enhancing the competiveness of the tourism industry require us to rehabilitate and upgrade much of our aging transportation infrastructure. Furthermore repositioning the country as a premier world-class destination tourism will also require us to pay much attention to the aesthetics of our infrastructure as an important element of the tourism product that we offer. Moreover, we urgently need to reduce the cost of utilities as a central pillar of our competitiveness strategy.
Gender Based violence- Violence Against Women
Child marriage
Antigua and Barbuda
https://docs-lawep.s3.us-east-2.amazonaws.com/1694500114623.pdf
https://www.environment.gov.ag/assets/uploads/attachments/c8a8e-goab-medium-term-development-strategy-sept-2015.pdf