By Dana Malcolm

Staff Writer

October 6, 2022 – Central Banks in advanced nations must stop pushing up interest rates now or risk sending the globe into recession where developing nations suffer most according to the UN.

In the last several months, The U.S. Federal Reserve, the Bank of England and Bank of Canada have all spiked interest rates in an effort to control borrowing power, buying power and possibly push down inflation

A new report from the United Nations Conference on Trade and Development is warning them to cease and desist.

“The world is headed towards a global recession and prolonged stagnation unless we quickly change the current policy course of monetary and fiscal tightening in advanced economies.”  It said, mincing no words, the agency described the potential global recession as ‘policy induced’ by developed countries.   And this recession could be worse than the 2008 crisis.  This is especially true for developing countries like those in the Caribbean.

“While all regions will be affected, alarm bells are ringing most for developing countries, many of which are edging closer to debt default.” The agency said.

And if it happens the recession could set developing nations back years in the struggle to increase their standards of living.

“As climate stress intensifies, so do losses and damage inside vulnerable economies that lack the fiscal space to deal with disasters let alone invest in their own long-term development— The global slowdown will further expose developing countries to a cascade of debt, health, and climate crises.”

If the globe proceeds as is the world will lose 20 percent of its income by and push developing economies growth rate below 3 percent which the UN says  is ‘insufficient for sustainable development’

By Dana Malcolm

Staff Writer

#TurksandCaicos, October 6, 2022 – Former TCI employed lawyer at the Office of the Director of Public Prosecutions, Sophia Thomas has been suspended from practicing as a lawyer for six months from November 1st according to Jamaican media.

The Jamaica Gleaner says Thomas was sentenced in her native Jamaica after becoming the first prosecutor in the country’s history to be found guilty of professional misconduct.  That guilty verdict was from earlier this year.

The case was brought against her in 2017 by the accused in a fraud case.  Thomas was found to have ‘violated the canons of professional ethics’ during the case which had to be thrown out because of the mix-up.

Despite this very serious charge, the Director of Public Prosecutions moved forward with hiring Sophia Thomas in October 2021.  In late August and amidst public outcry, it was determined that it was best for Thomas to resign the position until exonerated.

Despite the damning verdict and decision, it is likely the embattled lawyer will appeal.  In August her attorney Hugh Wildman told Magnetic Media that not only did he have concerns about expertise of the lawyers in the case, his client was declared guilty before proceedings were even over.

As reported by Jamaican media and confirmed by Wildman, Thomas presented a photocopied document to the court.  Thomas said it was the original but there were at least 11 discrepancies between it and the actual original.

Apparently the original could not be found and the witness who penned it was asked to rewrite it resulting in the changes.

In addition to the suspension, Thomas is ordered to pay legal costs amount to $400,000.

By Shanieka Smith

Staff Writer

#TurksandCaicos, October 6, 2022 – In his presentation to Parliament, the Deputy Premier and Finance Minister announced a budget deficit which includes FortisTCI and the Royal TCI Police equally sharing $5 million aimed at paying consumers’ electricity bills and beating back deadly crime.

Deputy Premier and Finance Minister of the Turks and Caicos Islands Hon. E. Jay Saunders addressed the Second Supplementary Estimates Expenditure for the financial year 2022-2023 in his speech at the House of Assembly on Monday afternoon. Sanders presented these estimates per standing orders 32, sections 118 and 51 from the TCI constitution.

“Globally, 2022 has been challenging for everyone,” the Deputy Premier said as he started his speech.

He proceeded to discuss proposals from the second supplementary appropriations bill.

Saunders said the estimates propose a revision of the revenue upward by $1.45 million bringing it to a total of $404.2 million. Expenditure will also be increased by $18.4 million.

The governor explained that funding for these revisions will be taken from the country’s cash reserve, which will result in a budget deficit. Although deficit budgets for this financial year are being proposed, “we do plan to return to surplus budgets in the medium term if not before,” Sanders continued and reassured the citizens that this will not become a trend.

Saunders stated that sustainability ratios are still being met even in deficit, and the islands’ liquid cash reserve is currently at $240 million. This equates to 212 days, which suggests that the Turks and Caicos islands would survive for 212 days if no money was coming in.

“My goal as minister of finance is to extend that to 365 days,” said the Deputy Premier.

He said he believes that these proposed supplementary estimates will not only continue to address inflation in the islands but also provide some relief for the most vulnerable citizens. He mentioned that the surge in crime – addressed earlier by the Premier – is a major issue and the estimates will allow the government to respond “aggressively”.

Rebuilding better after hurricane Fiona is also a priority for the government as too much is being spent on repairs rather than building sustainably. The Deputy Premier said this would be addressed in his next budget speech and throughout the rest of the year.

The Deputy Premier continued by addressing a few of the initiatives to that government funds would be allocated. A sum of $2.5 million will subsidise a portion of FortisTCI bills for the billing period from September to December. Saunders explained that this would assist residential customers while the government aims to find long-term measures to cut electricity costs.

Another 2.5 million will be used to combat the crime surge by way of raising police subsidies, purchasing equipment and increasing staff. Saunders said one outcome is sure from this “it is our victory, not theirs” referring to criminals on the islands.

Other initiatives included a stimulus for residents, hurricane relief, tourism, professional development, and foster care and social welfare benefits.

Jay Saunders closed his speech by encouraging the citizens from Joshua 1:9, “I would like to encourage the good people of the Turks and Caicos islands… despite the trying times that our country is going through, to be strong, to not be frightened or dismayed for the Lord your God is with you wherever you go.”