Tweet

 

Opinion Editorial by Jerry S. George

 

MY OPINION: Interestingly I received two pieces of information regarding the St, Kitts-Nevis Citizenship-by-Investment programme yesterday which have made me stop to consider. First is this advisory issued by the Financial Crimes Enforcement Network which has raised a red flag on the much touted Kittian program. http://timescaribbeanblog.wordpress.com/2014/05/21/us-treasury-department-issues-advisory-on-st-kitts-nevis-citizenship-investment-program/
They are charging that the passports thus acquired “are being employed to facilitate financial crime.”
Then there is the Article IV report on the recent assessment by the IMF which acknowledged that “the economic recovery in St. Kitts and Nevis has gathered momentum” and pointing to “a strong expansion in construction activity related to large Citizenship-by-Investment (CBI) inflows.” Clearly the Citizenship by Investment programme has done what the government wants it to do and indeed what it can do, but clearly it is not being done as best as it can be if the information in this Advisory is to be taken on board.
That the Advisory claims that Iranians have been “arriving in Canada with Kittitian passports, even diplomatic passports,”must be a worrying development for all of us in the OECS. The IMF in concluding their report did point out that “ongoing reforms will be needed, as well as an effective and transparent framework to manage CBI (Citzenship by Investment) and SIDF resources.”
I believe these are issues which transcend sovereignty and all of us in the OECS Union should demand a change in this situation because like it or not, it would affect us negatively sooner than later. Here is the IMF Article IV report http://www.imf.org/external/np/sec/pr/2014/pr14237.htm
Other countries in the OECS which have Citizenship by Investment programs or are planning to have would be collateral damage – sitting ducks – as a result of this seeming abuse by St Kitts. They stay quiet to their own economic peril while St Kitts reap what seems as a windfall at the moment but could potentially also be a poisoned chalice for all!