CDB Holds 2016 Media Conference

The Caribbean Development Bank held its 2016 media conference today at its headquarters in Barbados. President William Warren Smith opened the conference outlining the major issues that the Caribbean region is being challenged by. These include the current state and uncertainties of Caribbean economies and he outlined how the C.D.B. can help in building resilience against external shocks. There was good and bad news, because according to the C.D.B. president, economies are expected to improve in 2016 except for Trinidad and Tobago and Suriname. But the region is facing the loss of correspondent bank relations with U.S. banks. The matter was discussed at the recent inter-sessional meeting of CARICOM heads of government held in Placencia and it came up today at the C.D.B conference attended by media personnel from the region. The C.D.B. says that creative solutions are required including a deeper penetration into international markets. 

Dr. Warren Smith, President, Caribbean Development Bank

Dr. Warren Smith

“This is a real conundrum for us here in the Caribbean region because ironically one of the things that we heard at the recent CARICOM heads discussion was that in the initial interface between some of our Caribbean leaders and Central Bankers and the authorities in the US. What they are saying is that the Caribbean in general is complaint, in other words we are not in violation of the anti-money laundering safety regulations. So in path what is emerging here is that there is risk from different parts of the world, not just from the Caribbean. Part of the challenge is that there are going to be fines now, well there are fines now that will be imposed on entities that are found to be to have facilitated the transfer of monies that can be traced back to either money laundering or terrorism financing. So that the banks here in the regions can well find themselves in a position where they face heavy fines which then raises the question about their own viability as business entities because of the nature of those fines. That is a part of the conundrum that we face.”

More details will be available on the Caribbean Newsline tonight following NEWS Five Live.