Housing Reform: Support for Public Servants
Press Secretary Melissa Paul addressed the press during Monday’s Office of the Prime Minister (OPM) Pre-Cabinet briefing, highlighting key achievements of the Government this past September 2024. The St. Lucian government achieved significant milestones in housing, healthcare, and economic reform, Press Secretary Melissa Paul announced. These initiatives reflect the government’s ongoing commitment to improving the quality of life for all St. Lucians.
Ms. Paul explained that on September 10, Parliament approved a $20 million loan guarantee from the National Insurance Corporation (NIC) to the St. Lucia Development Bank (SLDB). The funding will provide public servants with 100% loan financing, eliminating the need for a down payment. In addition, public servants will receive a $1,000 grant to cover legal fees and a waiver of stamp duties on the first $400,000 of their mortgage.
“This initiative will make homeownership more accessible for our public servants,” Paul said. Private sector borrowers who qualify can also benefit from the stamp duty waiver.
This plan delivers on Prime Minister Philip J. Pierre’s 2024-2025 Budget Address promise to expand homeownership opportunities for St. Lucian families. Paul added that the public is encouraged to contact the SLDB for more information.
Healthcare Investments: St. Jude and Millennium Heights
On September 13, St. Lucia and the Saudi Fund for Development signed contracts with joint ventures between St. Lucian and Saudi firms to complete the reconstruction of St. Jude Hospital. The project is funded by a $75 million concessional loan from the Saudi Fund for Development.
Paul noted that this reconstruction will transfer health services back to St. Jude, after 15 years of operating out of the retrofitted George Odlum Stadium. “The upgraded facility will significantly enhance healthcare delivery with 100 additional beds,” Paul added.
In August, the government provided $11 million to the Millennium Heights Medical Complex (MHMC) through the Citizenship by Investment Program. The funds will reduce MHMC’s debt and allow it to focus on improving healthcare services. The financial relief will also enable critical infrastructure upgrades, improve staff capacity, and enhance patient care.
Talks are ongoing to establish a sustainable financial plan to ensure MHMC’s long-term viability.
Economic Reform: New Insolvency Act
On September 16, Prime Minister Pierre introduced the New Insolvency Act in Parliament. This legislation aims to modernize the credit sector and support St. Lucians facing financial difficulties.
The Act allows borrowers to negotiate with creditors for partial or full debt forgiveness. It also establishes a low-cost process for debt restructuring, helping borrowers and creditors reach mutually beneficial agreements. “Borrowers can halt creditor actions and protect their assets while resolving debts,” Paul explained.
The National Competitiveness and Productivity Council (NCPC) led the drafting of the Act, which aligns with international financial standards set by the World Bank and IMF.
Economic Growth Projections
As the economy recovers from the pandemic, St. Lucia is expected to see real GDP growth average 5% in 2024, Paul stated. The Eastern Caribbean Central Bank (ECCB) projects continued growth, signaling the success of the government’s focus on sustainable development.
Source/Photo: OPM Pre-Cabinet Press Briefing
