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▪ NCB Capital Markets (Barbados) Limited’s initial rating assigned at CariBBB-

▪ Government of Barbados’s local currency rating upgraded to CariBB

▪ PanJam Investment Limited’s initial rating assigned at CariBBB+

▪ Saint Lucia Electricity Services Limited’s rating reaffirmed at CariBBB ▪ TSTT’s existing rating reaffirmed and new proposed bond issue rating assigned at CariA ▪ Jamaica Public Service Company Limited’s initial rating assigned at CariBBB+

▪ Endeavour Holdings Limited’s rating reaffirmed at CariA+

▪ Island Car Rentals Limited’s initial rating assigned at jmBBB+

▪ The Pegasus Hotels of Guyana Limited’s rating upgraded to CariBBB

▪ The National Gas Company of Trinidad and Tobago’s rating reaffirmed at CariAA+

▪ Home Mortgage Bank’s rating reaffirmed at CariA

▪ NCB Cayman Limited’s rating reaffirmed at CariA

▪ NiQuan Energy Trinidad Limited’s initial rating assigned at CariA+

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Restructuring Problem Credits 6th & 7th February 2019 Jamaica

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• Promote the adoption of stronger risk management practices

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REGIONAL

Trinidad and Tobago

CLICO case plagued by late payment woes

LATE receipt of State funds is playing havoc with the administration of

justice and, most dramatically, with the landmark case arising out of the

collapse of insurance giant CLICO, which was rescued with a taxpayer-

funded bailout of over $20 billion.

Lake Asphalt moves on without bitumen lifeline

WITH 80 PER CENT of its revenue gone with the closure of Petrotrin, state-

owned Lake Asphalt Trinidad and Tobago Ltd (LATT) has been stripped of

its security blanket of a guaranteed supply of bitumen from the refinery

and must now make some life-altering decisions if it is to survive and thrive.

SFC leads advancers

ACTIVITY on the first-tier market decreased by 54.02 per cent on a total of

466,334 shares crossing the floor, compared to 1,014,182 shares traded in

the previous week. The value of shares traded was down by 51.18 per

cent to $12,673,938.52 from the previous week's value of $ 25,959,717.59.

Barbados

Mia on a high

Prime Minister Mia Amor Mottley says she feels validated by Government’s

decision to support the Barbados Cricket Association’s (BCA) bid to host

international cricket matches between West Indies and England at

Kensington Oval.

PM Mottley to attend CARICOM-UN talks on Venezuela

Prime Minister Mia Mottley will join two Caribbean Community (CARICOM)

colleagues in New York on Monday for talks with UN Secretary General

Antonio Guterres to discuss the crisis in Venezuela.

Jamaica

Gov't Takes On $2b IDB Loan To Develop High-Skilled Workforce

The government will be using a near $2 billion loan from the Inter-

American Development Bank (IDB) to finance the training of Jamaicans

for high-skilled jobs.

Jamaican Wellness Firm Inks Distribution Deals In Mexico, Colombia

Jamaican health and wellness distribution firm Zimmer & Company has

entered into distribution deals that will see its products being made

available to the market in Mexico and Colombia.

Govt plans to spend millions improving services at tax offices

Taxpayers concerned about the long wait and slow processing at the

main tax offices can expect some relief in the near future.

NCB Capital Markets to waive arrange fees for small companies listing on

Junior Market

NCB Capital Markets is making a greater effort to get behind Small and

Medium enterprises (SMEs) and together with its Group commercial

banking arm will be placing greater emphasis on capacity building for

SMEs that have junior maket listing potential.

Guyana

IMF to have fixed petroleum team at GRA

A team from the International Monetary Fund (IMF) which specializes in

petroleum taxation and audits will be housed at the Guyana Revenue

Authority (GRA) for two years. According to GRA’s Commissioner General,

Godfrey Statia, the team of analysts gets started on February 1.

UG introduces degree programmes in oil and gas

At an official launch on Friday, The University of Guyana (UG) launched

two-degree programmes which are aimed at getting Guyanese ready to

function in the oil and gas sector.

CEMEX opens new concrete plant

Guyana’s economy continues to attract large international companies

who make big investments indicating their confidence in the economy.

Guyana Continued

Honouring FATCA Obligations… GRA hires int’l firm to gather info on

accounts held by US taxpayers

The Guyana Revenue Authority (GRA) has hired international technology

firm, Vizor Solution, to gather information on accounts held by US

taxpayers at financial institutions (FIs). The company will also facilitate the

production of an extract for transmission to the US Internal Revenue

Service (IRS).

Antigua and Barbuda

ABWREC to receive additional manpower

Government has agreed to provide assistance in the form of more

manpower to the Antigua and Barbuda Waste Recycling Corporation

(ABWREC), as the company seeks to cope with increased volumes of

recyclable plastic bottles and aluminium cans.

Dominica

CDB, EU and UK to help Dominica make public buildings more energy

efficient

The government of Dominica’s mission to make its public buildings more

energy efficient and slash its energy bill is getting financial support from

the Caribbean Development Bank (CDB), the European Union and the

United Kingdom’s Department for International Development (DFID).

Dominica Continued

Dominica to provide nearly entire population with geothermal energy,

funded partly by its citizenship programme

In December, Dominica’s energy minister, Ian Douglas, addressed the

government’s plans to build a geothermal plant in the third quarter of

2019. Construction will be set on the outskirts of the capital city of Roseau.

It hopes to power 23,000 homes with clean geothermal energy, which

represents approximately 90% of the entire population.

Dominican Republic

Dominican Republic to get nearly 2,000 hotel rooms for US$200M

The groups Velutini and IEMCA on Fri. announced a joint tourism

development project in Playa Dorada, Puerto Plata, of 1,012 rooms on the

north coast to be built at a cost of US$100 million.

Fuels rise a third straight week, except natural gas

The Industry and Commerce Ministry on Friday posted the fuel prices for

the week from January 26 to February 1, when premium gasoline will rise

RD$2.50 to RD$214.40 per gallon, and regular gasoline will cost RD$197.40,

or RD$2.10 more.

Belize

FUEL PRICES INCREASE MIDNIGHT, JANUARY 25

BELMOPAN, Thurs. Jan. 24, 2019– The Ministry of Finance announces that

at midnight on January 25th, the pump price for regular gasoline will

increase by 20 cents from $9.31 to $9.51 per gallon.

Haiti

Jobs in Haiti down by -3.1%

According to the Haitian Institute of Statistics and Informatics (IHSI), the

Employment Index (EI) in the fourth quarter of fiscal year 2017-2018 shows

a negative annual variation of -3.1% after having increased by +2.5 % in

the previous quarter.

Venezuela

UN calls for dialogue to ease tensions in Venezuela; Security Council

divided over path to end crisis

The top UN political official told the Security Council on Saturday that

dialogue and cooperation were vital to ending the crisis in Venezuela, but

during a contentious debate, Council members disagreed over the

appropriate response to mass protests in the South American country and

competing claims to the presidency.

Other Regional

Beaches Resort Turks and Caicos confirms indefinite closure in 2021

Rumors had been swirling since Thursday that Beaches Resort Villages and

Spa in the Turks and Caicos was planning a long term shut down in 2021

due to a massive bill, which is in dispute, with the Turks and Caicos Islands

Government.

INTERNATIONAL

United States

Oil falls as U.S. adds rigs; still set for best January in 14 years

Oil fell 1 percent on Monday after U.S. companies added rigs for the first

time this year, a signal that crude output may rise further, but the price is

still on course for its strongest gain in the month of January for 14 years.

$1.5 trillion U.S. tax cut has no major impact on business capex plans

The Trump administration’s $1.5 trillion cut tax package appeared to have

no major impact on businesses’ capital investment or hiring plans,

according to a survey released a year after the biggest overhaul of the

U.S. tax code in more than 30 years.

United Kingdom

UK parliament will get second chance to vote on PM May's Brexit deal

British Prime Minister Theresa May intends to give parliament a second

chance to approve a Brexit deal as soon as possible, her spokesman said

on Monday, adding that negotiations to change the deal so it can win

lawmakers’ support were ongoing.

UK union seeks urgent talks with Tesco over job cuts report

British trade union Unite said on Monday it was seeking urgent talks with

the management of Tesco after a Sunday newspaper report that the

supermarket group is planning to cut up to 15,000 jobs.

Europe

Euro zone lending growth defies gloom, M3 jumps in December

Euro zone lending growth held steady last month while a broader

indicator of money circulating in the economy surged, data showed on

Monday, defying multiplying signs of gloom in the 19-member currency

bloc.

Greece to issue new five-year bond 'in near future'

Greece is preparing to issue a new five-year bond in its first attempt to tap

financial markets since it emerged from an international bailout program

last August.

European shares on the back foot ahead of eventful week

European shares opened in negative territory on Monday as optimism

about the end of the U.S. government shutdown faded and investors

braced for an eventful week with key votes on Brexit, Sino-U.S. trade talks

and a Federal Reserve policy decision.

France prepared to step up spending cuts

French Finance Minister Bruno Le Maire said on Monday that he prepared

to step up public spending cuts to finance faster tax cuts if people voiced

a desire for lower tax in a nationwide debate underway.

China

Chinese iron ore traders face uncertainty after Vale's Brazilian mine

disaster

Vale SA’s deadly mine disaster in Brazil has created uncertainty for

China’s iron ore market at a time when demand for supply from the South

American country is rising, multiple Chinese ore traders said on Monday.

China central bank approves S&P Global's entry into China's credit rating

market

China’s central bank said on Monday it had approved the entry of S&P

Global Inc into the country’s credit rating market, as part of a wider drive

to encourage foreign investors to diversify into yuan-denominated assets.

China Continued

China encourages insurers to invest in good quality stocks, bonds

China is encouraging insurance institutions to invest in more good quality

stocks and bonds to improve their portfolios, its banking and insurance

regulator said on Monday.

Global

Stocks edge down on China worries as trade talks, Fed decision loom

World shares slipped into the red on Monday, with equities markets from

Europe to Asia buffeted by nerves over China’s economy and investors

staying cautious ahead of a week packed with major events.

Qatar National Bank hires banks for U.S. dollar bond deal

Qatar National Bank, the largest bank by assets in the Middle East and

Africa, is planning to issue shortly U.S. dollar-denominated bonds and has

hired banks to arrange the debt sale, sources familiar with the matter said.

Saudi government to spend 100 billion riyals on industry plan

The Saudi Arabian government will spend 100 billion riyals ($27 billion) in

2019 and 2020 as part of its industrial development program, Aabed

Abdullah al-Saadoun, deputy minister of Energy, Industry and Mineral

Resources said on Monday.

Climate Investment Funds to issue $500 million green bond this year or next

The Climate Investment Funds (CIF) plans to raise $500 million this year or

next by issuing a green bond to finance renewable energy projects, the

organization’s head said on Sunday.

Rusal shares soar, aluminum falls as U.S. lifts sanctions

U.S. President Donald Trump’s administration on Sunday lifted sanctions on

the core empire of Russian tycoon Oleg Deripaska, including aluminum

giant Rusal and its parent En+, despite a Democrat-led push to maintain

them.

Oil falls as U.S. adds rigs; still set for best January in 14 years Monday 28th January, 2019 – Reuters

Oil fell 1 percent on Monday after U.S. companies added rigs for the first

time this year, a signal that crude output may rise further, but the price is

still on course for its strongest gain in the month of January for 14 years.

The ongoing trade dispute between the United States and China looks

unlikely to end any time soon and the impact of the dispute on the

Chinese economy is increasing.

Brent crude oil futures were down $1.14 at $60.50 a barrel by 1038 GMT,

while U.S. futures were down $1.05 at $52.64 a barrel.

U.S. crude production, which hit a record 11.9 million barrels per day

(bpd) late last year, has undermined sentiment in the oil market, traders

said.

U.S. energy firms last week increased the number of rigs looking for new oil

for the first time since late December to 862, Baker Hughes energy services

firm said in its weekly report on Friday.

“The increase in drilling activity in the U.S. as reported by the oil service

provider Baker Hughes on Friday evening is generating headwind,”

Commerzbank said in a note.

“Clearly the significantly lower prices in the fourth quarter are prompting

shale oil producers to exercise restraint. Because prices have risen

considerably since the start of the year and there is a high number of

drilled but uncompleted wells, drilling activity is likely to recover soon.”

Even with all the uncertainty over the outlook for demand and evidence

of growing supply, the oil market has benefited this month from the start of

another round of production cuts by OPEC and its partners, as well as

robust trade in physical barrels of crude led by China.

The price has risen by 12 percent so far in January, the largest increase in

percentage terms in the first month of the year since 2005, when it rose by

14 percent.

Investors have added to their bets on a sustained rise in the oil price this

month for the first time since September, according to data from the

InterContinental Exchange.

But much of the demand outlook hinges on China and whether or not its

refiners will continue to import crude at 2018’s breakneck pace.

Industrial companies in China reported a second monthly fall in earnings

in December, despite the government’s efforts to support borrowing and

investment.

“Persistent weakness seen in Chinese economic data has raised downside

risks ... of lower crude oil imports by Beijing in 2019,” said Benjamin Lu of

Singapore-based brokerage Phillip Futures.

<< Back to news headlines >>

$1.5 trillion U.S. tax cut has no major impact on business capex plans Monday 28th January, 2019 – Reuters

The Trump administration’s $1.5 trillion cut tax package appeared to have

no major impact on businesses’ capital investment or hiring plans,

according to a survey released a year after the biggest overhaul of the

U.S. tax code in more than 30 years.

The National Association of Business Economics’ (NABE) quarterly business

conditions poll published on Monday found that while some companies

reported accelerating investments because of lower corporate taxes, 84

percent of respondents said they had not changed plans. That compares

to 81 percent in the previous survey published in October.

The White House had predicted that the massive fiscal stimulus package,

marked by the reduction in the corporate tax rate to 21 percent from 35

percent, would boost business spending and job growth. The tax cuts

came into effect in January 2018.

“A large majority of respondents, 84 percent, indicate that one year after

its passage, the corporate tax reform has not caused their firms to change

hiring or investment plans,” said NABE President Kevin Swift.

The lower tax rates, however, had an impact in the goods producing

sector, with 50 percent of respondents from that sector reporting

increased investments at their companies, and 20 percent saying they

redirected hiring and investments to the United States from abroad.

The NABE survey also suggested a further slowdown in business spending

after moderating sharply in the third quarter of 2018. The survey’s measure

of capital spending fell in January to its lowest level since July 2017.

Expectations for capital spending for the next three months also

weakened.

“Fewer firms increased capital spending compared to the October survey

responses, but the cutback appeared to be concentrated more in

structures than in information and communication technology

investments,” said Swift, who is also chief economist at the American

Chemistry Council.

According to the survey, employment growth improved modestly in the

fourth quarter of 2018 compared to the third quarter. Just over a third of

respondents reported rising employment at their firms over the past three

months, up from 31 percent in the October survey. The survey’s forward-

looking measure of employment slipped to 25 in January from 29 in

October.


UK parliament will get second chance to vote on PM May's Brexit deal Monday 28th January, 2019 – Reuters

British Prime Minister Theresa May intends to give parliament a second

chance to approve a Brexit deal as soon as possible, her spokesman said

on Monday, adding that negotiations to change the deal so it can win

lawmakers’ support were ongoing.

The spokesman said he could not imagine any circumstances under

which parliament would not be given another chance to vote on

approving a Brexit deal, and restated that May is committed to leaving

the European Union on March 29.


UK union seeks urgent talks with Tesco over job cuts report Monday 28th January, 2019 – Reuters

British trade union Unite said on Monday it was seeking urgent talks with

the management of Tesco after a Sunday newspaper report that the

supermarket group is planning to cut up to 15,000 jobs.

Tesco is Britain’s biggest private sector employer with a staff of over

300,000.

Unite said it was recognised at four distribution centres with about 1,000

members who deliver to Tesco stores across the UK.

“While the reports centre on job losses in-store, such as at the bakeries

and deli counters, we still need to know what this could mean for our

members,” said Adrian Jones, Unite national officer for retail distribution.

The Mail on Sunday reported that up to 15,000 jobs could be put at risk by

the changes, which are likely to affect the majority of Tesco’s 732 larger

stores.


Greece to issue new five-year bond 'in near future' Monday 28th January, 2019 – Reuters

Greece is preparing to issue a new five-year bond in its first attempt to tap

financial markets since it emerged from an international bailout program

last August.

The bond issue will be launched “in the near future, subject to market

conditions”, authorities said in a bourse filing, without providing further

information on the timing or the amount sought.

BofA Merrill Lynch, Goldman Sachs, HSBC, JP Morgan, Morgan Stanley

and SG CIB have been picked as joint lead managers for the transaction.

The yield on 10-year Greek debt was down 1.5 basis points at 4.07

percent, its lowest since late September last year.

It dropped to a four-month low after the country’s parliament approved a

deal last week that changes the name of neighboring Macedonia,

ending a 28-year row.

Reuters reported last week that the country planned a five-year

syndicated issue once the vote on Macedonia’s name was out of the

way.

Greece, which emerged in August from its third international bailout since

2010, has tested market appetite under the watch of its international

lenders in recent years. It sold 3 billion euros of seven-year bonds nearly a

year ago.

Now, it wants to return to bond markets as a regular borrower.


European shares on the back foot ahead of eventful week Monday 28th January, 2019 – Reuters

European shares opened in negative territory on Monday as optimism

about the end of the U.S. government shutdown faded and investors

braced for an eventful week with key votes on Brexit, Sino-U.S. trade talks

and a Federal Reserve policy decision.

At 0951 GMT the pan-European STOXX 600 was down 0.3 percent with

most bourses and sectors in the red as news of the second consecutive

drop in Chinese industrial profits in December dampened the mood.

“Investors may want to stay cautious ahead of what is going to be a busy

week with Central bank speeches, the Brexit vote in the UK Parliament

and several important data releases in the U.S.” wrote ActivTrade analyst

Pierre Veyret.

A number of corporate developments triggered sharp moves such as for

the shares of Germany’s MorphoSys which sank 5.4 percent, the worst

performer on the STOXX, after a U.S. court ruling on three patents.

Another strong loser was Alstom, which fell 2.1 percent after the French

group and Germany’s Siemens offered new concessions to try to satisfy

antitrust concerns of the European Commission for their plans to create a

joint European rail champion.

Among winners, shares of British online grocer Ocado jumped 3.7 percent

after a report it was in talks about a tie-up with Marks & Spencer to launch

of a food delivery service. Ocado topped the FTSE 100 after hitting its

highest since Sept. 6.

Mining stocks were the standout gainers, up 0.9 percent, as iron ore prices

in China rallied after Brazil’s mining agency ordered Vale, the world’s

biggest iron ore producer, to halt operations at one of its mines.

French engineering consulting firm Altran Technologies lost ground at the

open but limited losses to 1.5 percent after it announced it had been the

target of a cyber attack that hit operations in some European countries.

In the banking sector, Spain’s Bankia was among the few stocks making

gains, rising 0.7 percent after fourth-quarter earnings showed better-than-

expected net interest income.

Switzerland’s CEVA Logistics rose 0.5 percent after it called a 1.66 billion

Swiss franc ($1.67 billion) bid from France’s CMA CGM too low.


Euro zone lending growth defies gloom, M3 jumps in December Monday 28th January, 2019 – Reuters

Euro zone lending growth held steady last month while a broader

indicator of money circulating in the economy surged, data showed on

Monday, defying multiplying signs of gloom in the 19-member currency

bloc.

With the area’s three biggest economies - Germany, France and Italy -

barely growing last quarter and sentiment indicators heading lower, banks

were expected to tighten lending, putting a further brake on growth.

Yet figures published by the European Central Bank on Monday remained

at or near their post-crisis highs, supporting the ECB’s argument that bloc

was experiencing a slowdown and not a downturn or the start of a

recession.

Household lending held steady at post-crisis high of 3.3 percent while

corporate lending expanded by 4.0 percent, not far from its post-crisis

peak of 4.3 percent hit in September.

ECB President Mario Draghi warned last week that the growth dip could

be bigger and longer than previously feared but stuck to his previous view

that the slowdown was temporary and not the beginning of a recession.

Still, markets now see almost no chance of an interest rate increase this

year and instead see more stimulus measures from the ECB, possibly fresh

loans to the bank sector, in part to maintain ample liquidity and the flow

of credit to the corporate sector.

Still, lending may slow in the months ahead after banks in a key ECB

survey recently predicted a slowdown and tighter lending standards.

The annual growth rate of the M3 measure of money supply, which often

foreshadows future activity, jumped to 4.1 percent from 3.7 percent in

November, beating market expectations for 3.8 percent. It was the best

M3 reading since last June.


France prepared to step up spending cuts Monday 28th January, 2019 – Reuters

French Finance Minister Bruno Le Maire said on Monday that he prepared

to step up public spending cuts to finance faster tax cuts if people voiced

a desire for lower tax in a nationwide debate underway.

“Should we go further on tax cuts? The grand debate will offer an answer

to this fundamental question, which involves real choices as a society,” Le

Maire said.

“I for one am ready to reduce public spending on things people do not

consider a priority in order to step up tax cuts,” Le Maire added, speaking

in a business address to business leaders.


Chinese iron ore traders face uncertainty after Vale's Brazilian mine

disaster Monday 28th January, 2019 – Reuters

Vale SA’s deadly mine disaster in Brazil has created uncertainty for

China’s iron ore market at a time when demand for supply from the South

American country is rising, multiple Chinese ore traders said on Monday.

A dam holding mine waste at Vale’s Corrego do Feijao mine collapsed

on Friday, burying mining facilities and nearby homes in the town of

Brumadinho, killing dozens and leaving the community in shock as

hundreds remain missing.

The Corrego disaster is the second deadly collapse at a Vale-owned mine

since 2015, when a dam holding tailings, or mine waste left after ore

extraction, was breached at a mine owned by Samarco Mineracao SA, a

joint venture of BHP Group and Vale.

The Corrego mine accounts for 1.5 percent of output for Vale, the world’s

largest iron ore miner, said Helen Lau, analyst at Argonaut Securities.

However, four Chinese iron ore traders said they were concerned that

supplies of high-grade Brazilian ore could tighten if the government orders

other Vale mines shut to probe for additional safety issues.

“We’re worried that the mine accident might lead to higher premiums on

low-aluminium iron ore,” said an iron ore trader with Zheshang

Development Group. He declined to be identified due to company

policy.

Vale is the world’s top supplier of low-aluminium iron ore, preferred by

Chinese mills for its low impurity level.

The Samarco site remains closed after the 2015 incident, though Vale

Chief Executive Officer Fabio Schvartsman said on Friday the site could

resume one-third of its output in 2020.

Vale did carry out safety tests at its other mines in Brazil after the Samarco

disaster and its main export port in the region, Tubarao, was closed for

four days in 2016 to fix environmental issues.

“(Samarco) led to a long halt in operations and we don’t know if this one

will cause even longer and broader disruption for mining activities at

Vale,” said an iron-ore trader based in Qingdao.

He declined to be identified as he is not authorized to speak to media.

China’s demand for higher grade ore is returning as profit margins at steel

mills have risen in recent weeks because of increasing steel demand.

(Graphic: China crude steel production vs rebar & hot-rolled coil margins -

tmsnrt.rs/2S2A2yQ)

If margins remain high, mills will increase high grade iron ore consumption

to boost output, said the Qingdao trader.

The most-active iron ore futures on China’s Dalian Commodity Exchange

soared nearly 6 percent on Monday trade to 567.5 yuan ($84.31) a tonne,

their highest in 16 months.


China central bank approves S&P Global's entry into China's credit rating

market Monday 28th January, 2019 – Reuters

China’s central bank said on Monday it had approved the entry of S&P

Global Inc into the country’s credit rating market, as part of a wider drive

to encourage foreign investors to diversify into yuan-denominated assets.

The People’s Bank of China (PBOC) said in a statement that it would

continue to push the opening up of its credit rating industry for additional

qualified foreign ratings agencies.


China encourages insurers to invest in good quality stocks, bonds Monday 28th January, 2019 – Reuters

China is encouraging insurance institutions to invest in more good quality

stocks and bonds to improve their portfolios, its banking and insurance

regulator said on Monday.

“This will help ensure stability in the capital markets and will allow insurers

to improve their investment portfolios,” the China Banking and Insurance

Regulatory Commission said in a brief statement posted on its website.


Stocks edge down on China worries as trade talks, Fed decision loom Monday 28th January, 2019 – Reuters

World shares slipped into the red on Monday, with equities markets from

Europe to Asia buffeted by nerves over China’s economy and investors

staying cautious ahead of a week packed with major events.

Major European bourses fell in morning trade, mirroring a retreat for Asian

peers as gloomy data on China’s industrial profits outweighed any boost

from the tentative end to the U.S. government shutdown late last week.

At the start of a busy week, investors were focused on Sino-U.S. trade talks

and the Federal Reserve’s policy meeting.

Also in focus was a looming twist in Britain’s exit from the European Union,

with crucial votes due on Tuesday in the British parliament designed to

break the Brexit deadlock.

By 1150 GMT, The MSCI world equity index, which tracks shares in 47

countries, was down 0.1 percent.

MSCI’s main European Index dropped 0.5 percent, with the broader Euro

STOXX 600 losing the same. Major indexes in France, Germany and Britain

all fell.

In Asia, bourses in Shanghai, Hong Kong, Tokyo and Seoul had earlier all

closed down, though MSCI’s broadest index of Asia-Pacific shares outside

Japan was flat.

Investors said stocks fell on worries over a second straight monthly fall in

profits for China’s industrial firms.

The data suggested trouble ahead for Chinese manufacturers already

struggling with falling orders, job layoffs and factory closures amid a

protracted trade war with the United States.

“A slowdown in the Chinese economy could be sometimes taken as an

idiosyncratic event which would be dealt with by Beijing,” said Philip

Shaw, chief economist at Investec.

“It’s pretty clear that the current situation is more global, in terms of the

tariff tension between the U.S. and China and the threat of that dispute

spilling over more widely.”

Investors are now waiting for Chinese Vice Premier Liu He’s visit to

Washington on Jan. 30-31, for the next round of trade negotiations with

the United States.

With the sides still far from resolving trade issues, the dollar stood firm as

traders sought a safe haven as they await news from U.S.-China talks on

Tuesday and Wednesday.

The dollar index - a gauge of its value versus six major peers - was flat at

95.793.

“In this environment the dollar is holding up well,” said Thu Lan Nguyen, a

forex strategist at Commerzbank. “I assume that this will continue to be

the case, even as the conflict intensifies at the end of the week,” she said,

referring to the talks.

The dollar will also get a strong steer from this week’s Fed meeting, where

the central bank is expected to signal a pause in its tightening cycle and

to acknowledge growing risks to the world’s biggest economy.

Though the Fed has forecast two more interest rate hikes for 2019, a

darkening global economic outlook and highly volatile stock markets

have clouded the policy picture.

BREXIT VOTES

Elsewhere in currency markets, sterling drifted lower ahead of crucial

votes in the British parliament aimed at breaking the Brexit deadlock.

The British currency lost 0.3 percent to $1.3164, as investors consolidated

positions ahead of Tuesday’s Brexit votes.

Lawmakers earlier this month rejected Prime Minister Theresa May’s deal

to leave the EU, which included a nearly two-year transition period to help

minimize economic disruption. That defeat set up a series of votes in

parliament, through which lawmakers and the government will try to find

a way forward.

Elsewhere, Germany’s 10-year government bond yield was marginally

lower at 0.194 percent, having fallen last week when European Central

Bank President Mario Draghi warned that risks to the euro zone economy

had eased.

Draghi is due to speak later on Monday at the European Parliament in

Brussels. Investors said they will look for any further details on potential

changes to monetary policy.

Brent crude futures were down 1.8 percent, at $60.56 a barrel.

The fall came as moves by U.S. firms to add rigs signaled that crude output

may rise further, and worries grew over the signs of economic slowdown in

China, the world’s second-largest oil user.

Gold was slightly down. Spot gold was down 0.2 percent at $1,300.56 per

ounce, hovering just below a more than 7-month high of $1,304.40

reached earlier in the session.


Qatar National Bank hires banks for U.S. dollar bond deal Monday 28th January, 2019 – Reuters

Qatar National Bank, the largest bank by assets in the Middle East and

Africa, is planning to issue shortly U.S. dollar-denominated bonds and has

hired banks to arrange the debt sale, sources familiar with the matter said.

The planned bond issue would be QNB’s first public dollar bond

transaction in over two years.

The lender has hired a group of banks including Barclays, Deutsche Bank,

ING and Standard Chartered to arrange the transaction, said the sources.

QNB did not immediately respond to a request for comment.


Saudi government to spend 100 billion riyals on industry plan Monday 28th January, 2019 – Reuters

The Saudi Arabian government will spend 100 billion riyals ($27 billion) in

2019 and 2020 as part of its industrial development program, Aabed

Abdullah al-Saadoun, deputy minister of Energy, Industry and Mineral

Resources said on Monday.

The program is offering investment opportunities in mining, industry,

logistics and energy sectors inside the kingdom, according to a

document distributed to participants at an investment conference the

deputy minister was addressing in Riyadh.

The program is offering investors the opportunity to invest in projects such

as plants that manufacture rubber, catalysts and vehicles, it said.

Saudi Arabia’s 2019 budget allocated SAR 33 billion for the energy,

industry, mining and logistics sectors, Energy Minister Khalid Al-Falih said in

a tweet in December.

That is more than three times the amount allocated in the previous

budget, he said, in a sign the kingdom is keep to boost diversification in

these key sectors to create jobs for Saudis and wean economy off oil.


Climate Investment Funds to issue $500 million green bond this year or

next Monday 28th January, 2019 – Reuters

The Climate Investment Funds (CIF) plans to raise $500 million this year or

next by issuing a green bond to finance renewable energy projects, the

organization’s head said on Sunday.

The $8 billion fund gets most of its money from development banks and

donor countries and finances more than 300 environmentally-friendly

energy projects in some 72 countries.

“U.S, European and Japanese investors are interested in green bond

offerings,” Mafalda Duarte said in a phone interview, without giving

further details on where the CIF plans to issue the green bond.

Green bonds are fixed income securities that raise capital for projects with

environmental benefits.

The CIF will use the proceeds to fund projects that could range from

promoting the transition to renewable energy and improving resilience to

climate change to stabilizing power grids amid the growing use of

intermittent sources of power.

The CIF also sees opportunities in electrified transport, Mafalda said.

She also stressed the need to cut the cost of concentrated solar power

technology, which uses mirrors or lenses to concentrate a large area of

sunlight, and to promote the integration of regional energy markets.

Such issues will be examined at a conference on Jan. 28-29 marking the

CIF’s tenth anniversary.

The conference will be held in the south-eastern Moroccan city of

Ouarzazate, where the CIF contributed $535 million to building a 580

megawatt (MW) solar power plant, the world’s largest.


Rusal shares soar, aluminum falls as U.S. lifts sanctions Monday 28th January, 2019 – Reuters

U.S. President Donald Trump’s administration on Sunday lifted sanctions on

the core empire of Russian tycoon Oleg Deripaska, including aluminum

giant Rusal and its parent En+, despite a Democrat-led push to maintain

them.

The move, which sent the Russian stock index to an all-time high, has

watered down the toughest penalties imposed since Moscow’s 2014

annexation of Crimea, following a lobbying campaign in the United States

that lasted almost 10 months.

Hong-Kong listed shares in Rusal, the world’s largest aluminum producer

outside China, hit their highest since April on Monday, rising 9 percent.

Aluminum prices on the London Metal Exchange (LME) dropped as much

as 1.4 percent after the open. The sanctions had sent London aluminum

to a seven-year high when they were announced in April last year amid

fears of a supply squeeze.

On Monday, the LME said it had lifted its suspension on storing Rusal-

produced metal in LME-approved warehouses with immediate effect.

“Members may freely enter into contracts with Rusal and its affiliates,” the

LME said in a statement.

DISPUTED DECISION

The decision to lift the sanctions, imposed by the U.S. Treasury in response

to what it called Russia’s “malign activities”, defied a Democratic-led

push in the U.S. Congress to maintain the restrictions.

Earlier this month, Democrats were joined by 11 of Trump’s fellow

Republicans in the U.S. Senate in an effort to keep the sanctions on Rusal,

En+ Group and power firm JSC EuroSibEnergo.

Advocates for keeping the sanctions had argued that Deripaska, an ally

of Russian President Vladimir Putin, retained too much control over the

companies.

Some lawmakers, from both parties, also said it was inappropriate to ease

the sanctions while Special Counsel Robert Mueller investigates whether

Trump’s 2016 presidential campaign colluded with Moscow, something

the U.S. president denies.

But in its statement on Sunday, the U.S. Treasury Department said the three

companies had reduced Deripaska’s direct and indirect shareholding

stake and severed his control.

That action, it said, ensured that most directors on the En+ and Rusal

boards would be independent, including Americans and Europeans who

had no business, professional or family ties to Deripaska or any other

person designated for sanctions.

It added that the companies had agreed to “unprecedented

transparency for the Treasury into their operations” including extensive

auditing, certification and reporting requirements.

Deripaska himself remains subject to U.S. sanctions.

CHANGES IN RUSAL, EN+

After the Treasury announcement, Rusal said its chairman, Jean-Pierre

Thomas, had resigned as part of the deal to lift the U.S. sanctions.

Its parent company, En+ Group, also announced the resignation of

several of its board members and the appointment of new directors, a

move intended to satisfy U.S. Treasury demands that the boards of both

Rusal and En+ Group be made up of independent directors.

“The new board of directors will take additional actions ... to demonstrate

the board’s absolute commitment to transparency, accountability and

good corporate governance,” En+’s board chairman Greg Barker said in

a statement.

These will include the establishment of a separate board committee for

compliance and the retention of an independent expert counsel to

advise the board, Barker said.

In addition, En+ announced that Swiss company Glencore would swap

shares in Rusal for a direct ownership interest in En+.

Trump administration officials, and many Republicans who had supported

lifting the sanctions, had said they were worried about the effect on the

global aluminum industry. Rusal is the world’s largest aluminum producer

after China’s Hongqiao.

They also said Deripaska’s decision to lower his stakes in the companies so

that he no longer controlled them showed that the sanctions had worked.

Moscow has denied seeking to influence the U.S. election. Deripaska had

ties with Paul Manafort, Trump’s former campaign manager. Manafort

pleaded guilty in September 2018 to attempted witness tampering and

conspiring against the United States.


UN calls for dialogue to ease tensions in Venezuela; Security Council

divided over path to end crisis Sunday 27th January, 2019 – Caribbean News Now

The top UN political official told the Security Council on Saturday that

dialogue and cooperation were vital to ending the crisis in Venezuela, but

during a contentious debate, Council members disagreed over the

appropriate response to mass protests in the South American country and

competing claims to the presidency.

“We must try to help bring about a political solution that will allow the

country’s citizens to enjoy peace, prosperity and all their human rights,”

Rosemary DiCarlo, the UN Under Secretary-General of Political and

Peacebuilding Affairs, urged the Security Council as she briefed an urgent

meeting of the 15-member body on Saturday morning.

The meeting was requested late last week by United States Secretary of

State Mike Pompeo in the wake of days of political unrest in Venezuela,

marked by popular protests that erupted on Wednesday after the leader

of the opposition legislature, Juan Guaidó, declared himself interim

president and called for fresh elections, a direct challenge to President

Nicolás Maduro, who had been sworn in to a second term in office just

two weeks earlier.

In a statement issued by his spokesperson on Wednesday, UN Secretary-

General António Guterres urged parties to “lower tensions” in Venezuela

and called for all relevant actors to commit to inclusive and credible

political dialogue. Concerned by reports of casualties during

demonstrations and unrest in and around the capital, Caracas, the UN

chief also called for a transparent and independent investigation of those

incidents.

On Saturday, DiCarlo described the situation in Venezuela as “dire”, and

as having both an economic and political dimension.

“The population is affected in a systemic way, nearly all 30 million

Venezuelans are affected by hyperinflation and a collapse of real

salaries; shortages of food, medicine and basic supplies; deterioration of

health and education services; deterioration of basic infrastructure such

as water, electricity, transport and urban services,” she told the Council.

Years of political strife boil over into street protests

DiCarlo went on to lay out the political landscape in the country since the

parliamentary elections of December 2015, when the opposition won a

large majority of seats in the National Assembly. Subsequently, the

Supreme Court ruled that the Assembly was “in contempt” and that all its

actions were “null and void”.

In 2017, a National Constituent Assembly was established through

elections in which the opposition parties did not participate. The National

Constituent Assembly took over key functions of the legislative branch

and undertook a process of constitutional reform that remains

inconclusive and is not recognized by the opposition parties.

Attempts to bring about political dialogue started as early as May 2016,

through an initiative facilitated by three former presidents from the

Dominican Republic, Panama and Spain, under the auspices of the Union

of South American Nations (UNASUR).

“Despite some initial progress, no concrete agreements were reached

through this initiative, which was suspended by the beginning of 2017,”

she said, adding that attempts to resume and continue dialogue faltered

in February 2018 over a disagreement was the electoral calendar and

guarantees to ensure free, transparent and credible elections.

Subsequently, the government went ahead with presidential elections in

May 2018. President Nicolás Maduro was declared the winner over two

other candidates. Most of the opposition did not participate in the

elections or recognize the results. On 10 January, Nicolás Maduro was

sworn in as president for a second six-year term.

On 23 January, large scale opposition protests culminated with Juan

Guaidó, president of the opposition-led National Assembly, announcing

that he did not recognize President Maduro or his government.

“While the protests were largely peaceful, there were incidents of

violence,” Dicarlo said, noting that according to the Office of the UN High

Commissioner for Human Rights, (OHCHR), credible local sources have

reported that at least 20 people have died in the unrest. Many more have

reportedly been reportedly injured and detained in violent incidents.

Call for a political solution

Recalling that the UN secretary-general had offered his good offices to

help resolve the crisis, DiCarlo stressed that the main concern is the well-

being of the Venezuelan people and their ability to enjoy their full rights.

“The UN has been providing assistance, particularly in the areas of health

and nutrition. And the Secretary-General had asked the International

Organization for Migration (IOM) and the UN High Commissioner for

Refugees (UNHCR) to establish a mechanism to support Venezuelans

leaving the country.”

“There are divergent visions of what the future should hold for Venezuela.

But we must all be guided, however, by the pursuit of the well-being of the

Venezuelan people, and work together so that their needs are fully met,”

she said.

A divided Security Council

DiCarlo’s call for cooperation and dialogue was echoed by many of the

Council’s 15 members during the contentious debate that followed her

briefing, even as speakers for the United States and Russia sparred over

the path to end the crisis.

The US State Department on Wednesday ordered the departure from

Venezuela of some non-emergency employees, following a decision by

the Trump administration, and several other nations, to recognize Mr

Guaidó as Venezuela’s rightful president.

President Maduro responded by cutting diplomatic ties with the US.

On Saturday, US Secretary of State Mike Pompeo called on the UN to

recognize Guaidó as Venezuela’s interim president, and declared: “Now

it is time for every other nation to pick a side. No more delays, no more

games. Either you stand with the forces of freedom, or you’re in league

with Maduro and his mayhem.”

But Russia’s UN Ambassador, Vassily Nebenzia, rejected that view, saying

the US was imposing its own “approaches and recipes” to resolve the

problems on the ground in Venezuela. “This meeting is yet another

attempt by the United States to affect regime change and [the Russian

Federation] regrets that the UN Security Council has been drawn into such

an unethical ploy.”

The two diplomats had faced off ahead of the meeting when the Council

held a procedural vote on whether the session would even go forward, as

‘the situation in Venezuela’ is not an official item on the Council’s

agenda.

But by a vote of nine in favour (Belgium, Dominican Republic, France,

Germany, Kuwait, Peru, Poland, United Kingdom, United States) to four

against (China, Equatorial Guinea, Russian Federation, South Africa), with

two abstentions (Côte d’Ivoire, Indonesia), adopted the agenda item.

During the debate, French Ambassador Anne Gueguen said it was

“entirely legitimate” that the Council considers the topic, as the crisis in

Venezuela was spilling into neighbouring countries. France called for a

political and negotiated solution to the crisis. “Mr Maduro must

understand that this is his last opportunity and he must take it,” she

warned.

She said that if elections are not organized and held in eight days, France

was ready, along with the European Union, to recognize Guaidó as the

interim president. She urged authorities to refrain from the use of force

against democratically elected officials, members of civil society and

peaceful protestors.

Jorge Arreaza, Venezuela’s minister for foreign affairs, rejected what he

saw as US attempts to interfere in his country’s affairs, as well as Guaidó’s

presidential self-proclamation, which he deemed illegal.

He said the Trump administration was trying to build a physical wall on its

border with Mexico, while also erecting an “ideological wall” and

resurrecting Cold War strategies aimed at bringing misery to wider Latin

America. Nonetheless, Caracas, he declared, would find its own way

forward, without interference. “No power… can dictate to my country its

destiny or its future.”


Dominican Republic to get nearly 2,000 hotel rooms for US$200M Saturday 26th January, 2019 – Dominican Today

The groups Velutini and IEMCA on Fri. announced a joint tourism

development project in Playa Dorada, Puerto Plata, of 1,012 rooms on the

north coast to be built at a cost of US$100 million.

In a meeting with Tourism minister Francisco Javier García in Madrid’s

Tourism Fair (Fitur), investors said the project Green One Playa Dorada will

create direct and indirect jobs for Puerto Plata, strengthening tourism’s

growth and the area’s economy.

In that same venue that concludes tomorrow Sunday, Spanish-Dominican

mogul Juan Jose (Pepe) Hidalgo, who owns the multinational Globalia,

announced several tourism projects in the Dominican Republic at a cost

of around US$100 million. He said he already has the land to build 800

rooms in Bayahíbe and then build a highrise in Boca Chica.


Fuels rise a third straight week, except natural gas Friday 25th January, 2019 – Dominican Today

The Industry and Commerce Ministry on Friday posted the fuel prices for

the week from January 26 to February 1, when premium gasoline will rise

RD$2.50 to RD$214.40 per gallon, and regular gasoline will cost RD$197.40,

or RD$2.10 more.

Regular diesel will cost RD$172.40, or RD$2.80 more and premium diesel

will cost RD$184.10 will, an increase of RD$3.20.

Avtur will cost RD$135.50 per gallon, up RD$2.00; kerosene will cost

RD$162.00, a RD$2.20 increase, and fuel oil will cost RD$112.95, an

increase of RD$2.20.

Propane gas (LPG) will cost RD$105.50 per gallon, or RD$0.70 more and

natural gas remains at RD$28.97 per cubic meter.

The Central Bank’s posted average exchange rate of RD$50.44 per dollar

was used to calculate all fuel prices.


CLICO case plagued by late payment woes Sunday 27th January, 2019 – Trinidad Express Newspapers

LATE receipt of State funds is playing havoc with the administration of

justice and, most dramatically, with the landmark case arising out of the

collapse of insurance giant CLICO, which was rescued with a taxpayer-

funded bailout of over $20 billion.

When the matter was passed to him by then-Central Bank governor Ewart

Williams in 2010, Director of Public Prosecutions (DPP) Roger Gaspard SC

said he could never have expected that so many years later, his office

would still be putting it together.

By his calculation, late payments have set back the CLICO investigation

by 'at least a year and a half' while increasing its cost to taxpayers which,

according to figures released in Parliament by Attorney General Faris Al-

Rawi last month, currently stands at about $180 million.

Asked when he expected the investigation to be completed, Al-Rawi had

said the time frame 'rests exclusively with the Office of the DPP'.

Not exactly so, according to Gaspard.

Big league of white-collar cases

In an interview with the Sunday Express last Friday, Gaspard said: 'The

nature of this investigation involves certain evidentiary platforms with a

reliance on IT (information technology). Having to stop and start back

tends to increase cost and results in a loss of time.'

This does not include the cost of flying foreign experts in international

fraud in and out of the country whenever their work is aborted due to

non-payment.

He acknowledges with its mammoth global footprint and intricate

financial dealings, the CLICO case has pitchforked Trinidad and Tobago

into the big league of white-collar criminal cases, well beyond the human

and physical resources of his office and those of the Trinidad and Tobago

Police Service.

Just the paperwork alone has strained both storage and scanning

capacity.

'No DPP in this hemisphere would have had a case of this magnitude,' he

said, explaining his resort to the services of British lawyer Edward Jenkins

QC, well-known for cases involving business crime and fraud.

The launch of a commission of enquiry in 2012 in the early stages of the

investigation, and even before critical files had been passed by the

Central Bank to the DPP, complicated matters and put the DPP on the

wrong side of a public thirsty for justice when he tried to stop the airing of

potential evidence before the commission.

Seven years later, with a cynical public even less inclined to trust the

system, Gaspard offers the assurance that the investigation is 'closer to the

end than to the beginning', with the major costs behind it.


Lake Asphalt moves on without bitumen lifeline Sunday 27th January, 2019 – Trinidad Express Newspapers

WITH 80 PER CENT of its revenue gone with the closure of Petrotrin, state-

owned Lake Asphalt Trinidad and Tobago Ltd (LATT) has been stripped of

its security blanket of a guaranteed supply of bitumen from the refinery

and must now make some life-altering decisions if it is to survive and thrive.

For now, one of the more extreme options is off the table.

Earmarked for 49 per cent divestment in the 2019 State Enterprise

Investment Programme, the Sunday Express understands that the decision

has been put 'on hold', giving the management and board a chance to

stabilise and turn around the fortunes of LATT.

The company's first order of business was to secure a supply of bitumen for

its customers at home. Last week, chairman Christopher John-Williams

confirmed that its first bitumen shipment of 100,000 imperial gallons

imported from Barbados had arrived. Another was on the way. In the

process, the additional costs incurred for shipping, storage and transport

has led Lake Asphalt to increase its prices by 30 to 40 per cent.

With the Petrotrin refinery under continued maintenance while its

successor board reviews purchase and lease offers, including from the

Oilfields Workers Trade Union, there is a good chance that prices could

ease by mid-year with a resumption of refinery operations, officials said.

Lake Asphalt's main strategies for survival and growth, however, lie in

product innovation and the opening of new markets through dealerships

beyond its current network of China, Germany, Saudi Arabia, Bahrain,

Philippines and Jamaica.

The company is particularly excited about the potential of inventions by

chemist, Dolly Nicholas, a legend in the local scientific community, who

has several patents to her name and now has a pending patent for the

manufacture of Trinidad Lake Asphalt Cold Milled. Nicholas' method

could revolutionise the packaging and transportation of LATT's asphalt

which, John-Williams noted, has undergone no innovation for over 100

years, ever since the British started packaging raw natural asphalt in bulk

form in wooden drums.

By contrast, Nicholas' Cold-Milled TLA produces a powdered product

without additives to retain its 100 per cent TLA quality. If all goes well, TLA

Cold-Milled could go to market by the end of this year. A lot is resting on

the success and marketing of this product, not the least of which is the

survival and expansion of LATT on the basis its own resources. Companies

from China have expressed the most interest in different forms of business

relationships with LATT.

Airport paved with concrete instead

However, not all has worked out. Following a state visit to China last year,

Prime Minister Dr Keith Rowley had high hopes of a market for Trinidad

asphalt in the US$13.8 billion Beijing Daxing International Airport, which is

scheduled to open on September 30th as the world's largest airport. That

did not materialise. The airport is being paved with concrete instead.

A three-year asphalt supply contract signed between LATT and China

Railway in 2011 ended without delivering anything close to the promised

US$50 million in revenue. This, despite a take-or-pay clause which, John-

Williams confirmed, was never enforced. In another case, an MOU signed

with Beijing Oriental Yuhong Waterproofing Technology Company Ltd for

the establishment of a manufacturing plant at La Brea has not taken off.

That contract is in dispute.

On the immediate horizon, however, is an order from Beijing Construction

and Engineering Group which has the contract to build the $702 million

Phoenix Park Industrial Estate which is being financed through

concessional loans from the Government of China.

And then there are the back-to-back local and national elections, due

this year and next year, when the demand for asphalt for road-paving at

home can rise to record levels.

Currently operating on the cusp of possibility but not yet opportunity,

John-Williams and his board are focusing on nuts and bolts. He said the

company is in the process of completing a major auditing exercise

involving ten years of unaudited accounts. They hope to have its

financials current by the end of this year.

If there is a silver lining in the abrupt rupture of Lake Asphalt's cosy

relationship with Petrotrin, described by John-Williams as one in which LATT

was a 'ward' of Petrotrin, it would be the challenge to find its own feet in

exploring the fullest potential of the extraordinary La Brea Pitch Lake, the

largest natural deposit of asphalt in the world. But for that, it would have

to be willing to go beyond mere mining.


SFC leads advancers Sunday 27th January, 2019 – Trinidad Express Newspapers

ACTIVITY on the first-tier market decreased by 54.02 per cent on a total of

466,334 shares crossing the floor, compared to 1,014,182 shares traded in

the previous week. The value of shares traded was down by 51.18 per

cent to $12,673,938.52 from the previous week's value of $ 25,959,717.59.

The volume leader last week was GraceKennedy Ltd (GKC) capturing

15.87 per cent of the market activity or 73,994 shares traded, followed by

ANSA McAL Ltd (AMCL) with 15.32 per cent or 71,461 shares traded. In

third place was T& TNGL (NGL), with 13.68 per cent or 63,799 shares

traded.

The indices ended the week in mixed territory. The Composite Index

decreased by 0.02 per cent or 0.27 points to close at 1,305.17. The All

Trinidad and Tobago Index rose by 0.06 per cent or 1.09 points to end at

1,706.08. The Cross Listed Index closed at 122.19, down by 0.19 per cent or

0.23 points and the Small and Medium Enterprise Index ended at $ 99.50.

Last week there were nine stocks advancing and six stocks declining,

while two stocks are at their 52-week high and three stocks at their 52-

week low.

Major advance

Sagicor Financial Corporation (SFC) was the major advance, up 3.15 per

cent or $0.27 to close the week at $8.83. In second place was ANSA

Merchant Bank Ltd (AMBL) with an increase of 1.32 per cent or $0.50 to

close at $38.50, followed by One Caribbean Media Ltd (OCM) up 0.97 per

cent or $0.10 to close at $10.45.

The major decline was Guardian Holdings Ltd (GHL) down 2.37 per cent or

$0.45 to end at $18.50, followed by National Flour Mills Ltd (NFM) down by

1.21 per cent or $0.02 to close at $1.63. In third place was JMMB Group Ltd

(JMMBGL) with a decrease of 1.12 per cent or $0.02 to end at $1.77.

There was no activity on the Second Tier Market this week.

On the TTD Mutual Fund Market 91,336 CLICO Investment Fund (CIF) units

traded with a value of $1,861,569.59. CIF's unit price closed at $20.70, an

increase of 2.42 per cent or $0.49. Also, 6,230 units in Calypso Macro Index

Fund (CALYP) traded with a value of $85,517.00. CALYP's unit price ended

at $14.00, a decrease of 3.45 per cent or $0.50 from the previous week.

CinemaOne Ltd (CINE 1) on the Small and Medium Enterprise Market

closed at $9.95 with no shares traded last week.

This week MPC Caribbean Clean Energy Ltd (MPCCEL) was listed on USD

Equity Market with no shares traded and closed at US$1.


ABWREC to receive additional manpower Monday 28th January, 2019 – The Antigua Observer

Government has agreed to provide assistance in the form of more

manpower to the Antigua and Barbuda Waste Recycling Corporation

(ABWREC), as the company seeks to cope with increased volumes of

recyclable plastic bottles and aluminium cans.

A week ago the management of ABWREC announced that it would not

be collecting waste until January 28, due to an existing backlog which

had to be cleared first.

Following the disclosure, officials from the Ministry of Health and the

Environment invited the management of the recycling plant to a meeting

to discuss possible solutions.

Present at the meeting were Health Minister Molwyn Joseph; Environment

Implementation Coordinator Indira James-Henry; President of the Rotary

Club of Antigua Sundown, Jonah Ormond; Chairman of ABWREC, Mario

Bento; and Past President of Rotary Club of Antigua Sundown, Herald

Rolland.

In a post on its Facebook page the ministry said during the meeting it was

disclosed that ABWREC’s temporary closure resulted from a shortage of

labour to cope with the increased volume of recyclable plastic bottles

and aluminium cans.

The ministry committed immediately to assist ABWREC by organising an

additional eight labourers as per that specific request, and it is

anticipated that the additional support will be realized by today.

Both parties also discussed long-term strategies to deal with a more robust

and extensive recycling programme, and agreed to establish a closer

collaboration in order to meet the national demands.

ABWREC is a non-profit business and a project of the Rotary Club of

Antigua Sundown in partnership with the government through the

National Solid Waste Management Authority, the Environment Division,

and the Central Board of Health. Its mission is to assist in bulk waste

reduction and the removal of non-biodegradable materials from Antigua

& Barbuda through recycling.


CDB, EU and UK to help Dominica make public buildings more energy

efficient Friday 25th January, 2019 – Dominica News Online

The government of Dominica’s mission to make its public buildings more

energy efficient and slash its energy bill is getting financial support from

the Caribbean Development Bank (CDB), the European Union and the

United Kingdom’s Department for International Development (DFID).

CDB’s board of directors on Thursday approved a grant of US$127,000

from the bank’s sustainable energy for the Eastern Caribbean (SEEC)

programme to help the Dominican government conduct energy audits

on 15 public buildings and facilities.

The identified buildings, which include major government complexes such

as the Financial Centre, the Douglas-Charles Airport and Dominica State

College, currently consume some 4,459,402-kilowatt hours of energy

annually, costing more than EC$4 million a year.

The audits will analyse the energy performance of the buildings, and

identify and recommend cost-effective and feasible energy efficiency

measures.

Acting head of the Renewable Energy/Energy Efficiency Unit, CDB,

Joseph Williams, noted that the project could result in cost and carbon

emission savings for Dominica.

“Through this project, the government of Dominica could benefit from a

reduction in its annual expenditure on electricity of an estimated US$2

million. Implementing energy efficiency measures could result in a

decrease of about 30 percent in energy consumption and savings of

1,929 megawatt hours of electricity per year, equivalent to a reduction of

1,254 tonnes of carbon dioxide emissions, helping Dominica meet its

nationally determined contributions under the Paris Agreement.”

SEEC is a multi-donor trust fund for which CDB is the lead finance institution

and executing agency. The programme provides blended resources to

address energy security issues through renewable energy and energy

efficiency solutions, particularly in the public sector.

The project is in line with CDB’s strategic objective of supporting inclusive

growth and sustainable development within its borrowing member

countries as well as the bank’s corporate priority of strengthening and

modernising social and economic infrastructure.


Dominica to provide nearly entire population with geothermal energy,

funded partly by its citizenship programme Sunday 27th January, 2019 – Caribbean News Now

In December, Dominica’s energy minister, Ian Douglas, addressed the

government’s plans to build a geothermal plant in the third quarter of

2019. Construction will be set on the outskirts of the capital city of Roseau.

It hopes to power 23,000 homes with clean geothermal energy, which

represents approximately 90% of the entire population.

Funding for the geothermal project was partly acquired through

Dominica’s citizenship by investment (CBI) programme. Additional funds

came from the World Bank, Caribbean Development Bank and the Inter-

American Development Bank.

Though small in size, Dominica is considered the best second citizenship to

invest in, according to an independent study by the Financial Times’

publication, PWM. After they pass the due diligence checks, citizenship

hopefuls then choose to either invest in real-estate or contribute to a

government fund. The latter is called the Economic Diversification Fund

(EDF) and it sponsors public and private sectors in Dominica that need the

financial support or have economic potential.

Each eligible person to become a citizen of Dominica adds at least

US$100,000 to the EDF. If they apply jointly as a family, which is possible

under Dominica’s CBI programme, these contributions amount to

US$175,000 for a couple, US$200,000 for a family of four, and another

US$25,000 for any additional dependents. Eventually, the money goes

towards modernising the local infrastructure, schools, hospitals, and even

develop thriving industries like tourism and IT.

The UN predicts that Dominica will have the greatest GDP growth in 2019

in the Caribbean region. Considering the constant flow of foreign

investment, Dominica is prepared to set long-term goals that exceed

sustainability expectations on a global scale. After Hurricane Maria in

2017, Prime Minister Roosevelt Skerritt pledged to make Dominica the

“world’s first climate resilient nation”. He immediately launched the

Climate Resilient Execution Agency of Dominica, otherwise known as

CREAD. It aims to consolidate sustainability efforts, raise funds and provide

essential services.

The geothermal plant will have a substantially positive impact on the

island’s national advancement and the lives of its citizens. “With the

commissioning of this plant, we will be in a position to benefit from clean,

reliable, low-cost, renewable, high-quality energy supply in the future,

which will benefit all sectors of productive activity in Dominica,” Douglas

said.

In addition to exploring the benefits of renewable energy, the island’s

plastic ban has been in operation as of January 1. It was described by

National Geographic as one the world’s most comprehensive plastic

bans. This follows the island’s “Housing Revolution” initiative, which builds

new homes that can withstand most known weather events. Like the

geothermal project, the scheme is funded by the CBI programme.


Beaches Resort Turks and Caicos confirms indefinite closure in 2021 Saturday 26th January, 2019 – The Antigua Observer

Rumors had been swirling since Thursday that Beaches Resort Villages and

Spa in the Turks and Caicos was planning a long term shut down in 2021

due to a massive bill, which is in dispute, with the Turks and Caicos Islands

Government.

Minutes ago, and in response to Magnetic Media queries, Beaches

confirms that yes, it is true.

“Beaches Turks & Caicos Resort Villages & Spa will be closed from

September 3rd to October15th in 2019 and from September 7th to

October 22, 2020, and then for an indefinite period from January 2021.”

Government taxes were reportedly calculated in a way that is not sitting

well with Sandals Resorts International, which owns the Beaches family

resorts. The calculations by the Ministry of Finance and backed by the

Attorney General’s Chambers have reportedly been in dispute for years.

The lingering bill in dispute has now ballooned to some $60 million, we are

told.

Finance Ministers have asked for the debt to be treated with leniency to

no avail and once again exposes the topsy-turvy order of governance in

the Turks and Caicos Islands, which is actually led by the Civil Service and

not elected politicians.

“The upcoming closures of Beaches Turks & Caicos are the result of

several critical and long-standing issues which have impacted our

operations over the past several years. We apologize for any

inconvenience caused to our customers and look forward to welcoming

them back soon.”

Naturally, this decision by Beaches Resorts is being cited as catastrophic

for the Turks and Caicos Tourism industry, as Beaches is a key linchpin in

the success of air arrivals to Providenciales, in particular.

Beaches explained: “Guests traveling between now and January 2021

that are not impacted by these closures will receive the vacation

experience that we have become known for. All features and facilities of

the resort will be open and operating per usual. For impacted guests, we

are committed to making this as seamless as possible by allowing them to

change their travel dates to Beaches Turks & Caicos or travel on their

original travel dates to one of our other locations in Jamaica, Beaches

Negril or Beaches Ocho Rios, at no additional cost, including airfare

change fees. Guests may also choose to travel to any of our 16 Sandals

Resorts.”

Magnetic Media has reached out to Premier and Finance Minister

Sharlene Robinson on the matter.

The statement from Beaches Resort is titled: ‘BTC Pending Closure’.


Mia on a high Sunday 27th January, 2019 – Nation News

Prime Minister Mia Amor Mottley says she feels validated by Government’s

decision to support the Barbados Cricket Association’s (BCA) bid to host

international cricket matches between West Indies and England at

Kensington Oval.

Given projections that Barbados stood to gain $80 million in foreign

exchange, and following West Indies’ massive victory in the first Test that

featured outstanding performances from four local boys, Mottley also

pledged Government’s commitment to any sporting activity that would

redound to the benefit of the country.

In an interview with THE NATION after West Indies crushed England by 381

runs on Saturday on the back of sterling contributions from captain Jason

Holder and fellow Barbadians Shane Dowrich, Kemar Roach and Roston

Chase, Mottley expressed delight at the turn of events.

“I am on top of the world. This is even more special for me. One of the first

decisions I made after being sworn in as Prime Minister was to agree to

host this match and the One-Day Internationals. To have this kind of

validation with this kind of victory, it doesn’t get better than this – a Bajan

double century, a Bajan century, a ‘barriffle’ of Bajan wickets in the first

and second innings, and then to have a Bajan sub as wicketkeeper when

the chips were down,” she said.


PM Mottley to attend CARICOM-UN talks on Venezuela Sunday 27th January, 2019 – Barbados Today

Prime Minister Mia Mottley will join two Caribbean Community (CARICOM)

colleagues in New York on Monday for talks with UN Secretary General

Antonio Guterres to discuss the crisis in Venezuela.

According to a statement from the CARICOM Secretariat, issued on

Sunday evening, the regional delegation will be led by CARICOM

Chairman, Prime Minister Dr Timothy Harris of St Kitts and Nevis, and will

also include Trinidad and Tobago’s Prime Minister Dr Keith Rowley.

Grenada’s Minister of Foreign Affairs, Peter David, and CARICOM

Secretary General Irwin LaRocque will also attend the talks at UN

Headquarters.

The meeting is a follow up to the decision of CARICOM Heads of

Government at their Special Emergency Meeting on Thursday which

discussed the ongoing conflict in Venezuela.

The CARICOM Leaders agreed to request a meeting with the UN

Secretary-General which he accepted.


Gov't Takes On $2b IDB Loan To Develop High-Skilled Workforce Sunday 27th January, 2019 – Jamaica Gleaner

The government will be using a near $2 billion loan from the Inter-

American Development Bank (IDB) to finance the training of Jamaicans

for high-skilled jobs.

The contract for the loan, valued at US$15 million, was signed on Friday

and is repayable over 24 years. The interest rate was not disclosed.

The funds will be channelled through the Global Services Sector Project

(GSS), which is the vehicle being used by the government to develop a

high-skilled workforce that will enable Jamaica to take advantage of

high-value jobs in the global marketplace.

The Ministry of Finance explained that the GSS project is comprised of two

main components. The first component seeks to improve the skills

development system to provide the GSS with better skilled workers,

particularly, in higher value-added segments. The implementing entities

for this component are HEART/NTA; the Ministry of Education, Youth and

Information; and the Business Process Industry Association of Jamaica.

The finance ministry explained further that the second component, for

which JAMPRO is the executing agency, will attempt to strengthen

Jamaica’s institutional capacity to increase investment and promote

exports in the global services sector. It is expected that Jamaica’s

capacity to attract investment and increase exports in high-valued

segments will be significantly enhanced.

According to Finance Minister Nigel Clarke, “the Government of Jamaica

is particularly committed to expanding and deepening human capacity

development as we seek to increase Jamaica’s institutional capacity to

attract Foreign Direct Investment (FDI) and increase exports.”

Clarke noted that as the market for global services continues to expand,

Jamaica must leverage its strategic assets - location, people, and

language – to not only develop the Business Processing Outsourcing

Sector, but to create opportunities for additional skill levels to take

advantage of other segments of the global services sector.

“The GSS project demonstrates the growth of the Global Services Sector

(Global Services) in Jamaica, particularly in higher-value added segments

– Information Technology Outsourcing (ITO) and Knowledge Processing

Outsourcing (KPO),” he said.


Jamaican Wellness Firm Inks Distribution Deals In Mexico, Colombia Monday 28th January, 2019 – Jamaica Gleaner

Jamaican health and wellness distribution firm Zimmer & Company has

entered into distribution deals that will see its products being made

available to the market in Mexico and Colombia.

According to Chief Executive Officer T’Shura Gibbs, Zimmer Mexico will

seek to penetrate the vast Mexican customer base with a wide array of its

products, while Colombian firm Medical Extractos, a leading

manufacturer of pharmaceutical and botanical products, will handle the

distribution of the Jamaican firm’s beauty and cosmetic line into that

market.

”Zimmer has always been looking for opportunities to expand and grow

our distribution footprint, and we are particularly interested in the markets

that have us working in the Caribbean and Latin America,” Gibbs told The

Gleaner.

The Montego Bay-based company has been expanding since it began

operations last year when Gibbs decided to leave her executive position

at the Jamaica Public Service Company and start her own business.

A CHANCE TO DO MORE

Zimmer & Company has focused on the hemp-based CBD (cannabidol)

wellness aspect of the industry and now carries a line of 150 products in its

portfolio.

“Some of the markets that we target would historically survive off the

crumbs of (the cake baked by) developed countries, but what cannabis

offers these countries is the ability to bake the cake themselves,” board

Chairman Douglas Gordon told The Gleaner. “Purely from what it means

in economic terms to these countries, we believe there should be more

synergistic relationships because this is a way for us to generate wealth

and a much better socio-economic framework for our populations.”

The company is actively pursuing deals in Europe and the continent of

Africa, an accomplishment Gordon would savour.

“As Caribbean nationals, it would be a real source of pride for us to

become a dominant name in the continent of Africa,” he said. “Europe is

a huge market and would also be an awesome accomplishment.”


Govt plans to spend millions improving services at tax offices Sunday 27th January, 2019 – Jamaica Observer

Taxpayers concerned about the long wait and slow processing at the

main tax offices can expect some relief in the near future.

Minister of Finance and the Public Service Dr Nigel Clarke, says that there

will be major improvements over the next few months.

“In another few months, or maybe weeks, I will be outlining a strategic

approach to the problem,” Dr Clarke told last Wednesday's Mayberry

Investment Limited's (MIL) monthly investment forum at the Knutsford

Court Hotel, New Kingston,

“We have a sort of three-year plan to upgrade the tax offices across the

country, to make them more customer-friendly, and to take some of the

heavy activities that are repetitive and move them into other areas, so

that the ones that require more time and more customer interface have

that space,” Clarke said.

He added that there are also plans to construct drive-through facilities, at

the offices where there is enough space to accommodate it.

“We are going to be making some changes in Kingston, as well, and we

are working exactly on that, you will hear me speak about that shortly,”

he said.

The Second Supplementary Estimates, approved by the House of

Representatives recently, indicates that $47.3 million of the amount will be

spent on a new car park for the Falmouth Tax office, and $29 million as

additional requirement to complete purchase of land for the construction

of a new Collectorate in Cross Roads, Kingston.

Dr Clarke also responded to questions about the possibility of

compensation for businesses affected by the current major road works

projects; China's involvement with the restructuring on the island's physical

infrastructure and Bernard Lodge; and the Jamaica Public Service(JPS)

Company's anticipated reduced reliance on Petrojam for fuel.

He said that he acknowledged that there has been a lot of short-term

pain for small businesses affected by the current Legacy road works

programme.

“Let me acknowledge that there has been a lot of short term pain, and

we have to make trade-offs. We are not going to move forward without

trade-offs. But, there are very few things that involve 100 percent gain. To

move forward, invariably, there is a cost and the cost in this case is that it

has inconvenienced a lot of people and a lot of businesses for sure, and

where it is justified to do so, the government has been making a deal.

For example, where there is a broken main or telephone lines, they have

been repaired, and so forth, he said.

He stated, however, that with the increased budget, approved recently

for the Major Infrastructure Development Programme (MIDP) in the

supplementary estimates for the Ministry of Economic Growth and Job

Creation, the government is bringing forward the completion of several of

the major legacy projects.

“So soon and very soon that pain will go, and you will be left with long-

term gains,” he added.

In response to a question that some people don't feel there has been

enough communication from government to the businesses about the

projects, Clarke said it was a fact that some people feel that the

communication has not been direct enough in terms of people who are

directly affected by the works.

However, he said it would be considered as a lesson in how to handle

these issues in the future.

Clarke said that, in terms of the country's relationship with Chinese

investors and construction companies, going forward, Jamaica's options

will be wider than they have been prior to their involvement.

“China has been a great friend to Jamaica,” he said, noting their support

for the economy during the depression of 2008/2009.

“However, going forward, as our fiscal situation improves, our options will

open up, including in the area of financing,” he added.

Dr Clarke said that the anti-Chinese sentiments that are being expressed

are misplaced and are, probably, grounded in newspaper reports about

what is happening in other countries.

He noted that Jamaica's total loan portfolio with China was 3.9 per cent

of the country's total loan portfolio. But he explained that none of the

peculiar arrangements that exist between China and those countries are

included in their loan agreements.

“So, people have nothing to fear in that regard. But, I think we should be

fair as well, that we have had a very productive bilateral relationship with

China,” he stated.

On the issue of JPS' expected reduced fuel purchases from the Petrojam

refinery, Dr Clarke said that the substitution of LNG would reduce the

power company's monthly purchase of fuel from the refinery from the

current $20 million to $5 million.


NCB Capital Markets to waive arrange fees for small companies listing on

Junior Market Sunday 27th January, 2019 – Jamaica Observer

NCB Capital Markets is making a greater effort to get behind Small and

Medium enterprises (SMEs) and together with its Group commercial

banking arm will be placing greater emphasis on capacity building for

SMEs that have junior maket listing potential.

To kick-start this effort NCB Capital Markets will waive its arranger fees for

all junior market mandates signed with it between now and September

30, 2018.

This means that junior market IPOs arranged by NCB Capital Markets will

be done free of broker fees.

“This demonstrates the NCB Financial Group's commitment to our SMEs as

well as the further development of the equities market and its potential

impact on nation building,” said the CEO of NCB Capital Markets, Steven

Gooden.

Over the last two financial years, NCB has been involved in over US$1.7

billion of capital markets and structured products transactions across the

region.

“Last year we would have been involved in close to half of the entire

Jamaican dollar denominated private placements, in terms of value,

executed under the FSC's Exempt Distribution regime. We would have also

executed a similar percentage in value of equities traded on the Jamaica

Stock Exchange (JSE), said Gooden.

Speaking at the 14th Regional Conference on Investments & the Capital

Markets at the Pegasus on Tuesday night, Gooden said the starting point

for any business enterprise is capital or risk capital.

He noted that for a developing country, access to bank financing is

relatively good but to access it you need risk capital, a type of funding

that falls outside the mandate of a commercial bank.

“Capital in the form of equity or some form of subordinated debt is a key

ingredient for credit expansion . As such the capital markets provide that

bridge for those that are in need and those that have the risk capital to

invest. These suppliers of capital may be in the form of institutional

investors or the average person through direct investments or indirectly

through pension schemes,” Gooden added.


IMF to have fixed petroleum team at GRA Sunday 27th January 2019 – Kaieteur News

A team from the International Monetary Fund (IMF) which specializes in

petroleum taxation and audits will be housed at the Guyana Revenue

Authority (GRA) for two years. According to GRA’s Commissioner General,

Godfrey Statia, the team of analysts gets started on February 1.

He said that the funding for this exercise is made possible through the IMF

and the British.

Since its first report to the Government about two years ago, the IMF has

said that GRA should be the single revenue collection agency for the

petroleum sector. The Fund contends that this is a reasonable decision

given the key role played by the PSA and the pay-on-behalf arrangement

for corporate income tax in existing contracts (where the contractor’s

income tax obligations are settled from the government’s share of the

profit oil).

The Fund had also noted that the Petroleum Industry Taxpayer Unit

attached to the large taxpayer office in the GRA should be prioritized. It

said that this effort is supported by a peripatetic advisor from the US

Treasury office of technical assistance.

The Fund said it will be important for this unit to start verifying and

undertaking audits of cost incurred during the exploration and

development phase, which is getting underway now.

The financial organization also said it would be advantageous to establish

close working relations between the GRA and the sector regulators

(Ministry of Natural Resources, Guyana Geology and Mining Commission

and the prospective Petroleum Commission) to ensure that the limited

petroleum sector expertise in government is applied most efficiently.

(KIANA WILBURG)


UG introduces degree programmes in oil and gas Sunday 27th January 2019 – Kaieteur News

At an official launch on Friday, The University of Guyana (UG) launched

two-degree programmes which are aimed at getting Guyanese ready to

function in the oil and gas sector.

The programmes are the Associate Degree in Science (Petroleum

Engineering), which is being offered in collaboration with the University of

the West Indies (UWI); and a Master’s Degree in Science (Petroleum

Engineering), which is being done in partnership with the University of

Trinidad and Tobago (UTT).

Vice-Chancellor of UG Professor Dr. Ivelaw Lloyd Griffith said, “We found it

necessary to build partnerships to tap into the expertise of people who

are in Guyana and out of Guyana.”

“This programme is enabled to help us deal with some realities that we

aren’t able to deal with ourselves.”

According to him, the pursuit of partnerships will be more forthcoming as

the university serves to meet the needs of the country–beyond oil and gas

development.

Pro Vice-Chancellor and Principal of UWI, Professor Brian Copeland,

posited that locals ought to position themselves to foster development in

their country and contribute to the development of the Caribbean.

“These degree programmes are the first critical steps which would equip

and encourage graduates to take responsibility to use their knowledge

and expertise to ensure that there is accountability for Guyana’s natural

resource.”

In a recent forum hosted by the Energy Department, UG Registrar, Dr.

Nigel Gravesande, informed young people about the programmes and

indicated that there were already 74 persons who would have signed up

for them.

Dr. Gravesande had stated that the Associate Degree will be a two-year,

full-time programme of study in which a strong foundation in

Mathematics, Physics, and fundamentals in Petroleum technology will be

established during the first year of study.

In the first semester of the first year, he emphasized that students will be

required to complete a workshop skills training course to help them with

the practical or hands on skills that will be required for the industry.

In the second semester of the first year, emphasis will be focused on the

technical aspects of Petroleum Engineering. These include drilling,

production, reservoir characterization, and management skills.

All students will be required to complete a mandatory in-house industry

project which will incorporate the knowledge gained from all the courses

covered in the Associate Degree Programme.

Once successful, the students can choose to move on to the master’s

degree programme in Petroleum Engineering.


CEMEX opens new concrete plant Sunday 27th January 2019 – Kaieteur News

Guyana’s economy continues to attract large international companies

who make big investments indicating their confidence in the economy.

CEMEX’s TCL Guyana Incorporated (TGI) was the latest company to

demonstrate this confidence with the opening of its new concrete plant,

according to the government release.

The plant located on Lombard Street, Georgetown, which was officially

opened Thursday, aims to serve Guyana’s expanding economy

particularly in light of the potential production of oil and gas around the

corner.

Minister of Finance Winston Jordan making brief remarks during the simple

ceremony said that he welcomes all investments that will sever Guyanese

and boost the country’s economy. Minister Jordan noted that cement is

an important part of the building infrastructure not only in Guyana but

around the world.

“Given the oil and gas that is meant to flow if not late this year then

certainly early next year then Guyana indeed will be poised for a take-off,

a long sustained, high-end growth and cement will definitely play a great

part in that and of course when we are speaking about climate change

and resilient infrastructure, when we talking about a country that is six feet

below sea level, cement as a bulwark against the ocean and the rivers

will be very important,” he stated.

Also attending was Mexico’s Ambassador to Guyana, Ivan Roberto Sierra

Medel, who observed the launch of the concrete plant is the starting

point of a transformational process in Guyana.

“Today, the company that specialises in building a better future, CEMEX, is

confirming a long-term bet on the bright future of Guyana,” he said.

The Ambassador also highlighted that with the growing relationship

between Guyana and Mexico, other companies have already signalled

their interest to invest in the economy.

Business Manager of TGI Roger Ramdwar, General Manager of Arawak

Cement Company Limited Yoga Castro Izaguirre and TCL Guyana

Incorporated, and President of Guyana Manufacturing and Services,

Shyam Nokta, all applauded the opening of the company.

The company’s self-compacted concrete is expected to eliminate the

need for vibrating equipment at job sites. It is also said to reduce the time

for each pour as concrete freely flows into the moulds and create a high-

quality finish, reducing both rendering time and expenditure.


Honouring FATCA Obligations… GRA hires int’l firm to gather info on

accounts held by US taxpayers Saturday 26th January 2019 – Kaieteur News

The Guyana Revenue Authority (GRA) has hired international technology

firm, Vizor Solution, to gather information on accounts held by US

taxpayers at financial institutions (FIs). The company will also facilitate the

production of an extract for transmission to the US Internal Revenue

Service (IRS).

This move is in line with Guyana’s obligations under the Foreign Account

Tax Compliance Act (FATCA).

The Foreign Account Tax Compliance Act requires Tax Authorities in

countries with a signed Model 1 Intergovernmental Agreement (IGA) with

the US, to report information to the IRS. Guyana signed its IGA with the USA

on October 17, 2016.

Signed at the Ministry of Finance in Georgetown, the US-Guyana IGA

allows for the exchange of banking and tax information for citizens

residing in both countries as foreign nationals and required the

Government of Guyana to amend Section 63 of the Financial Institutions

Act, to designate GRA as the Competent Authority, on behalf of the

Government of Guyana.

FIs are thus required to undertake certain due diligence and verification

procedures to identify accounts held by US persons and report

information on these accounts to the GRA which will, in turn, report the

information to the IRS.

According to Vizor Software, the contract awarded by GRA is for its AEOI

(Automatic Exchange of Information) Solution. The feature highlights of

the Vizor AEOI solution include Financial Institution self-registration and

account creation; Extensive validation of FATCA data; Configuration

options for running in “fully automated” mode; and Management reports

for monitoring, tracking and reviewing information within the system by

the competent authority and automated exchange of information with

the IRS.

Vizor Software is the global leader in cross-border information exchange

solutions for Tax Authorities with over 15 jurisdictions having already

implemented its solution to facilitate FATCA exchanges. The company

notes that its proven software platform can be implemented in as little as

five weeks and is continuously upgraded to ensure compliance with any

future changes to the standards.

It has said that the extensive validation of all submitted data greatly

reduces the administrative burden and risk for the Competent Authority.

FIGHT AGAINST OFFSHORE TAX EVASION

Guyana and the USA had signed the IGA as a commitment to fighting

offshore tax evasion.

FATCA, which was enacted in 2010 by the US Congress, is designed to

prevent tax fraud and evasion by US taxpayers using offshore banking

facilities. It creates a new regime of automatic tax information sharing

between financial institutions.

At the 2016 signing, Finance Minister, Winston Jordan, had said Guyana

chose to be involved in this important venture not only because it will help

to reduce tax evasion in the United States, but also, in Guyana, through

the exchange of information between the two countries.

To fulfill the potential of FATCA to be a potent weapon in the fight against

tax evasion and avoidance, the Finance Minister had said that Guyana

would be required to undertake a number of measures to improve and

strengthen its legislative and institutional arrangements.

“Thus, for example, Guyana amended Section 63 of the Financial

Institutions ACT, Chap 85:03, Laws of Guyana, to designate the Guyana

Revenue Authority as the competent Authority, on behalf of the

Government of Guyana.

“This will allow Financial Institutions to provide the GRA with customer

information on reportable accounts,” the economist said.

The Finance Minister said that the sharing of information across countries is

important for the enforcement of domestic tax laws.

“By working together to increase transparency, both Guyana and the US

will be able to detect and deter abuse of the tax system in both countries.

This will enable better accountability within the global financial sector. The

FATCA Agreement represents another step in our countries’ cooperation

with each other, in order to combat money laundering and tax evasion

and avoidance.”

Jordan continued, “Improving financial regulation and cooperation with

international regulators has become an urgent priority in recent years, as

the loss of correspondent banking relationships, due to de-risking, has put

pressure on financial institutions in Guyana and the rest of the Caribbean

region.”

He added, “Healthy correspondent banking relationships are essential

because they facilitate trade, foster economic growth; create legitimate

avenues for growing remittances and providing access to financial

services.”

The Finance Minister had said that the adverse effects of de-risking on

international trade, financial stability and growth, and money transfers

(including remittances) have already been felt in many countries.

He said that if de-risking continues unchecked, all Caribbean states can

expect to experience some level of macroeconomic instability, financial

exclusion and, ultimately, economic collapse.


FUEL PRICES INCREASE MIDNIGHT, JANUARY 25 Saturday 26th January 2019 – Amandala

BELMOPAN, Thurs. Jan. 24, 2019– The Ministry of Finance announces that

at midnight on January 25th, the pump price for regular gasoline will

increase by 20 cents from $9.31 to $9.51 per gallon.

This increase in the price is principally due to tightening global demand

reflecting extreme winter conditions in North America and Europe,

together with uncertainties in geopolitical conditions in several major oil-

producing countries in the Middle East and in Latin America.


Jobs in Haiti down by -3.1% Sunday 27th January 2019 – Haiti Libre

According to the Haitian Institute of Statistics and Informatics (IHSI), the

Employment Index (EI) in the fourth quarter of fiscal year 2017-2018 shows

a negative annual variation of -3.1% after having increased by +2.5 % in

the previous quarter.

No sector is spared, the public sector is the most affected with an annual

decline of 3.9%. EI level of the NGO and International Organizations (IO)

sector of 1.1% and the private sector 0.7%

The decline of the EI in the public sector for the fourth quarter of fiscal

year 2018 is caused directly by the drop recorded in its component "Public

Administration" which records a between July - September 2017 and July -

September 2018, a decrease of 4.3%.

For its part, the EI of the NGO sector and the IOs, after three consecutive

quarters of slowdown, finally regressed. The year-on-year NGO EI

decreased by 0.8% while the EI of the IOs decreased by 33.3% year-on-

year.

For a second consecutive quarter, the secondary sector suffered a fall,

followed this time by the tertiary sector, which is also experiencing a

decline. Secondary sector EI drops 4.3% year-over-year. The Tertiary

Employment Index shows a negative annual variation of 3.0%.

All components of the secondary sector posted downward trends. The

Employment Index in the Buildings and Public Works sector, which fell by

7.7% and the Industry Index by 5.0%, contributed significantly to the 4.3%

drop in the sector. The negative annual variation of 0.4% in the Electricity

and Water business strengthens the downward trend.

As for the tertiary sector, the fall of its EI of 3.0% is caused by the observed

decline of the Non-Merchant Services and Financial Institutions branches.

The Employment Index level of the Non-Merchant Services division

decreased by 4.1%. The Financial Institutions branch fell by 0.6% for the

same period. However, the negative annual variation of the sector is

mitigated by the good performance of the branches that maintain

positive year-on-year growth such as: Transport and Communications

(6.7%), Other Merchant Services (4.6%) and Commerce, Restaurants and

Hotels (3.1%) %).


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