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Airline Industry fears bankruptcy in two months; countries summoned to find a rebound plan

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#World – March 16, 2020 — In two months, airline companies will be bankrupt as cash flows are drying up and the industry is calling on global governments to coordinate in order to avoid a collapse.

“Forward bookings are far outweighed by cancellations and each time there is a new government recommendation it is to discourage flying. Demand is drying up in ways that are completely unprecedented. Normality is not yet on the horizon.”

The position was, mere hours ago, shared within a media release from the Center for Aviation, CAPA and is another casualty of fears linked to COVID-19.

“…while governments are grappling with the health challenges of coronavirus, it is clear that there is little instinct to act cooperatively. Messages are mixed and frequently quite different.

Advetisement

Each nation is adopting the solution that appears best suited to it, right or wrong, without consideration of its neighbours or trading partners.”

Last week, International Air Transport Association, IATA forecast an economic free fall of $113 billion; now it appears the entire industry is at risk due to the unprecedented actions which governments are taking in the effort to contain the spread of the coronavirus, which emerged in December 2019.

Worldwide, over 181,000 people have tested positive for COVID-19, and while more than 78,300 people have recovered; the death toll in three months is significant at slightly above 7,100 people.

Today, France, Canada and Trinidad and Tobago closed their borders to visitors. 

Airport in Trinidad and Tobago

CAPA said, in most cases, these decisions are being made unilaterally with no consultation.

“Each nation is adopting the solution that appears best suited to it, right or wrong, without consideration of its neighbours or trading partners.  When, for example President Trump peremptorily announced the effective cancellation of airline access to most Europeans, he didn’t even advise his European government counterparts in advance, let alone consult with them. Other governments have performed little better.”

CAPA, in its analysis pointed out that the industry accounts for 20 percent new jobs worldwide and worries that a rebound will be skewed and possibly, detrimental to lesser known airline companies.

 “The alternative does not bear thinking about. An unstructured and nationalistic outcome will not be survival of the fittest.  It will mostly consist of airlines that are the biggest and the best-supported by their governments. The system will reek of nationalism.  And it will not serve the needs of the 21st century world.

Flights are being cut, planes grounded and staff laid off; among those reporting on the negative effects of the travel restrictions being imposed in response to the rapidly spreading COVID-19 virus are American Airlines, which has cut flights by 75 percent and Delta Airlines, which has dropped 40 percent of its commutes.

Magnetic Media is a Telly Award winning multi-media company specializing in creating compelling and socially uplifting TV and Radio broadcast programming as a means for advertising and public relations exposure for its clients.

Caribbean News

From Pathways to Investment: Tackling the US $6 Billion Food Challenge for the Caribbean

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By Kenroy Roach

The Caribbean’s food systems challenge is fast evolving into a broader development challenge.

Despite decades of policy attention and investment, the region remains one of the most food import-dependent in the world, spending over US$6 billion annually. At the same time, countries continue to grapple with food insecurity, high rates of diet-related non-communicable diseases, climate vulnerability, and exposure to external shocks that can disrupt supply chains and drive up food prices almost overnight.

For Small Island Developing States (SIDS), food security has shifted from an agriculture focus alone, it’s about economic resilience, health, climate resilience and sustainable growth.

Recognizing this reality, Caribbean governments have elevated food systems transformation as a regional priority through the CARICOM 25 x 25 Plus Five Agenda, which seeks to reduce food import dependence while strengthening domestic production, regional trade, and resilience. Across Barbados and the Eastern Caribbean, governments have also developed National Food Systems Pathways that identify the investments, partnerships, and policy reforms needed to transform food systems and accelerate progress toward the Sustainable Development Goals (SDGs).

Yet one challenge has remained persistent: financing.

In the face of high levels of public debt and limited fiscal space, while public investment remains critical, Caribbean governments simply cannot shoulder the financing burden alone. Transforming food systems at scale requires mobilizing far greater private capital, alongside development finance and public resources.

This was the rationale behind the recent convened in Barbados.

The Forum brought together governments, investors, international financial institutions, private sector leaders, regional organizations, and the United Nations around a simple proposition: food systems should be viewed not only as a development priority, but also as an investable asset class.

A distinguishing feature of the innovative gathering was its focus on attracting private investment—particularly private equity, impact investment, and blended finance solutions capable of supporting businesses and infrastructure across food value chains. By helping enterprises access growth capital and connecting investors with scalable opportunities, the initiative sought to unlock financing that complements public investment rather than adding to already constrained public balance sheets.

A key outcome was the launch of a regional Deal Book comprising approximately US$320 million in investment opportunities across seven countries, spanning agriculture, fisheries, agro-processing, logistics, and strategic food systems infrastructure. The Deal Book created a practical bridge between capital seeking opportunities and opportunities seeking capital, while enabling direct engagement between governments, enterprises, and investors.

The results were encouraging.

Across four sector-focused deal rooms, participants explored investment-ready and near-investment-ready opportunities and discussed blended finance private equity, risk-sharing, and partnerships to advance projects toward implementation.

The Forum highlighted a shift in perspective: food systems are now seen as strategic drivers of economic diversification, resilience, competitiveness, and growth. Investments across production, processing, logistics, and distribution can strengthen regional supply chains, create new businesses, generate jobs, and reduce vulnerability to external shocks.

For the United Nations, this experience reinforced an important lesson.

Transforming food systems requires more than the technical expertise of individual agencies. It requires integrated solutions that connect agriculture, nutrition, health, climate resilience, trade, private sector development, and financing.

This is where the Resident Coordinator System plays a critical role.

Across Barbados and the Eastern Caribbean, the Resident Coordinator Office has united UN system capabilities around a common food systems agenda. Working with FAO, WFP, the UN Food Systems Coordination Hub, and other partners, the RCO has helped align policy support, technical expertise, partnerships, and financing with nationally identified priorities.

The Forum demonstrated this integrated approach by convening governments, investors, development finance institutions, private sector actors, and UN agencies around a common objective. It showcased the UN’s comparative advantage as a trusted broker capable of connecting development priorities with investment opportunities.

The Forum’s success will be measured not by dialogue generated, but by investments mobilized, businesses expanded, and progress made toward resilient, competitive Caribbean food systems across the Caribbean.

Its most important outcome may therefore be what comes next.

The work starts now.

Kenroy Roach is Head of the UN Resident Coordinator Office for Barbados and the Eastern Caribbean

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Saudi Arabia, UAE Among Global Partners Joining CARICOM Summit in Saint Lucia

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Deandrea Hamilton | Editor

 

GROS ISLET, Saint Lucia — The 51st Regular Meeting of the Conference of Heads of Government of the Caribbean Community (CARICOM) officially opened on Sunday, July 5, with Caribbean leaders joined by influential international partners including Saudi Arabia, the United Arab Emirates, Afreximbank and the Commonwealth Secretariat.

Hosted by Saint Lucia’s Prime Minister Philip J. Pierre, who assumed the rotating CARICOM Chairmanship on July 1, the Opening Ceremony at Sandals Grande St. Lucian brought together Heads of Government from The Bahamas, Barbados, Belize, Dominica, Grenada, Guyana, Haiti, Jamaica, Antigua and Barbuda, St. Kitts and Nevis, St. Vincent and the Grenadines, Suriname and host Saint Lucia.

Associate Members also participated in the opening, including the Turks and Caicos Islands, British Virgin Islands, Bermuda, the Cayman Islands and Martinique, which is attending as CARICOM’s newest Associate Member. Anguilla was represented by Premier Cora Richardson-Hodge, the territory’s first woman premier, underscoring the growing role of women in Caribbean leadership.

Among the distinguished international guests were His Excellency Adel al-Jubeir, Saudi Arabia’s Minister of State for Foreign Affairs; Her Excellency Noura bint Mohammed Al Kaabi, UAE Minister of State for Foreign Affairs; Dr. George Elombi, President and Chairman of Afreximbank; and Shirley Botchwey, Secretary-General of the Commonwealth.

Their participation reflects increasing international interest in the Caribbean as governments pursue partnerships in climate finance, trade, food security, investment, regional security and sustainable development.

The Opening Ceremony featured remarks from Prime Minister Pierre, outgoing CARICOM Chairman Terrance Drew and CARICOM Secretary-General Carla Barnett. Business sessions continue through July 8, with leaders expected to deliberate on climate resilience, the CARICOM Single Market and Economy, reparations, regional security, food and nutrition security, Community enlargement and foreign relations.

As deliberations begin, the presence of global powers alongside a full complement of Caribbean leadership reinforces CARICOM’s expanding influence—not only as the region’s principal integration movement, but increasingly as a respected voice on the international stage.

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Caribbean News

Migration Is No Longer Just About Borders

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What Caribbean migration dialogues reveal about the region’s future

 

By Patrice Quesada, Coordinator, IOM Caribbean

Migration has become one of the defining issues shaping the Caribbean’s future—not simply because people are moving, but because our economies, labour markets, populations and climate realities are changing.

Over the past several weeks, I have participated in migration discussions at the global, regional and national levels. While each conversation was different, they all pointed to the same conclusion: the Caribbean is beginning to recognize migration not only as a border issue, but as a development issue.

The challenge now is moving from dialogue to action.

From Global Commitments to Caribbean Solutions

That shift was evident during the International Migration Review Forum held at the United Nations in New York, where Caribbean participation was particularly strong. Delegations from ten Caribbean countries, including ministerial representatives from Barbados and Belize, reinforced the region’s growing commitment to shaping international migration policy.

Two messages emerged clearly.

First, migration governance must be grounded in each country’s realities and supported by concrete national commitments. Second, migration cannot be viewed in isolation. It is closely linked to labour markets, demographic change, climate vulnerability and long-term development planning.

Every Caribbean Country Has Its Own Story

Across the region, governments are approaching migration through different lenses.

In Saint Lucia, the launch of the country’s draft migration policy reflected concerns about declining birth rates, labour shortages and continued emigration. The discussions recognised that labour needs, diaspora engagement, remittances, return migration and protection must all work together within one national strategy.

Jamaica demonstrated how migration planning can begin at the local level, with Clarendon becoming the country’s first parish to integrate migration considerations into its long-term development strategy.

Guyana, meanwhile, is managing migration in the context of rapid economic growth, balancing increased labour demand with worker protections and orderly migration systems.

Barbados has also begun incorporating migration into broader population planning as it addresses demographic decline and an ageing population.

The Bahamas has focused on disaster preparedness, bringing together government agencies to strengthen national plans for managing inter-island and cross-border movement during emergencies while safeguarding the rights and dignity of displaced people.

Different countries face different challenges—but all are recognising migration as an essential part of national planning.

The Caribbean’s Greatest Untapped Asset

One message resurfaced repeatedly throughout these discussions.

The Caribbean diaspora should no longer be viewed simply as a source of remittances.

Across the region, citizens living abroad continue to contribute through investment, entrepreneurship, professional expertise, advocacy and, in many cases, by returning home with new skills and experience.

The opportunity now is to engage the diaspora more deliberately as a strategic development partner.

Turning Dialogue into Action

Technical discussions held throughout May demonstrated that governments are beginning to move beyond policy conversations.

CARICOM, supported by the International Labour Organization and the Inter-American Development Bank, convened regional labour migration specialists to explore how migration can help address workforce shortages while ensuring fair recruitment and decent working conditions.

Together, these initiatives suggest the Caribbean is entering a new phase—one where migration is no longer viewed simply as movement across borders, but as a tool for economic resilience, demographic planning and sustainable development.

The conversations have begun.

The next challenge is ensuring they lead to meaningful action.

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