Opposition Member Hon Julian Fraser (R3) in echoing calls from the other members said, 'The British Virgin Islands has never defaulted on a loan payment ever and there's no indication that it will anytime soon'. Photo: Facebook

Premier and Minister of Finance Hon Andrew A. Fahie (R1) has returned from the United Kingdom where his main mission was to find common ground with the UK on the Loan Guarantee and is expected to update the public during a press conference scheduled for the Premier's Conference Room, Central Administration Complex, at 2:00pm today, September 17, 2019. Photo: VINO/File

With opposition meetings on the United Kingdon/Virgin Islands relations and the UK Loan guarantees continue tonight September 17, 2019, in the Cane Garden Bay community, Opposition Leader Marlon A. Penn(R8) says BREXIT is another factor that remains a concern for the Territory. Photo: Facebook

"We've been talking about Brexit a lot... and the instability at the UK right now. Its something that we really need to be mindful of... we've brought this to the attention of the Premier, we've written to him formally [but] we wouldn't disclose what's in the details of that letter," Hon Penn said on September 12, 2019, at the Valarie O. Thomas Community Centre in Sea Cows Bay.

"But we've written to him to say look, we've seen these issues [they are] major issues for us, have major implications of national interest we all need to work together," the Opposition Leader said.

Over the past weeks, the Opposition Members of the Virgin Islands House of Assembly (HoA), including Hon Penn, Hon Julian Fraser RA (R3), Hon Melvin M. Turnbull (R2) and Hon Alvera Maduro-Caines (R6) have contended that the territory should take the UK deal on the Loan guarantee and get on with rebuilding efforts.

VI repays its loans - Hon Fraser 

Hon Fraser in echoing calls from the other members said, "The British Virgin Islands has never defaulted on a loan payment ever and there's no indication that it will anytime soon," Hon Fraser said.

He assured that the money would not be at risk if taken; however, those funds would have to be handled by the Recovery and Development Agency (RDA), which was cited as an agency of concern by Hon Maduro-Caines. 

Premier and Minister of Finance Hon Andrew A. Fahie (R1) has said the terms of the Loan Guarantee are not in the best interest of the territory.

Further, he said the Virgin Islands may have trouble paying back the loans since the financial services industry is expected to take a hit with the United Kingdom mandating that the beneficial ownership of VI companies be made publicly accessible by 2023.

This timeline represents a three-year extension by Order of Council to the initial deadline that the UK had outlined in its Sanctions and Anti-Money Laundering Act. The Act was forcing the VI to implement what are known as public registers of company beneficial ownership by the year 2020.

Hon Fahie believes the issue could be resolved with the revisiting of the Protocols for Effective Financial Managament regading borrowing ratios.

Premier Fahie to update public on UK visit

The Premier has since returned from the United Kingdom where his main mission was to find common ground with the UK on the Loan Guarantee and is expected to update the public during a press conference scheduled for the Premier's Conference Room, Central Administration Complex, at 2:00pm today, September 17, 2019.

The United Kingdom (UK) through a recovery and reconstruction package for the Virgin Islands (VI) had promised up to £300 million in loan guarantees and £10 million in grants to support the Territory's recovery after Hurricanes Irma and Maria of 2017, however, the guarantee comes with stipulations that the Premier says is far from reasonable.

According to Premier Fahie, prior to his departure to the UK last week, "As we go off to the UK to redefine the conditions surrounding the Loan Guarantee, the principles that the People of the BVI must be economically empowered, and Cabinet must steward the outcome of the procurement, with all loan funding going to the consolidated fund or a special fund to be set up with criteria to be met before transferring to the Recovery and Development Agency."