‘What UK has done to us is a disgrace’- Hon Fraser
Hon Fraser was speaking at a public meeting at St Mary’s Church Hall on Virgin Gorda, last evening, March 7, 2018 where he presented the case that the Territory could become the victim of countries and institutions whose agenda is to enrich themselves while making other countries heavily indebted and ultimately getting the upper hand over those countries’ government and economy.
His fear is that the borrowing of millions of dollars for the hurricane recovery efforts without proper planning in place to allow the Virgin Islands and Virgin Islanders to truly benefit will only place the Territory in huge debt for generations to come with nothing to show for it.
He warned especially against going to the International Monetary Fund (IMF) for major loans, recommending that the Territory borrows in small amounts, from “local” institutions.
Government had announced that some $721M will be needed over the next five years to restore and develop the Virgin Islands following the devastation of hurricanes Irma and Maria in September 2017 and has been seeking loans to this end with permission and guarantees from the United Kingdom.
‘UK has done us a disgrace’
But Hon Fraser is not impressed that the United Kingdom has not sought to help its Overseas Territory in a more substantial way, saying that persons should make no mistake about the importance of the Virgin Islands to the United Kingdom Government.
He said the VI is “hugely important” to the Government of the United Kingdom. “But what they have done to us is a disgrace as far as coming forward to our aid with assistance. Somewhere along the line I understand that they gave us 11 million pounds, which is a real joke.”
According to Hon Fraser, the UK had told the VI that it must have liquid assets of 25% of its recurrent expenditure, which at the time was quoted at around $75M. The purpose of the liquid asset was to mitigate against any debt to the United Kingdom Government in the case of a disaster in the Virgin Islands.
“We had the disaster, we had the money, but unfortunately the disaster was greater than anticipated by the United Kingdom Government. Our disaster is in the hundreds of millions, not $75M, so we have done our part. We have done exactly what you asked us to do…Up came a liability of hundreds of millions…this is your liability.”
Hon Fraser said he expected the United Kingdom Government to do for the VI what the US, Dutch and French Government have done for their territories, “but no they are saddling us with debt by guaranteeing us loans for us to borrow.”
Making the case of the importance of the VI to the UK, Hon Fraser said 23,000 properties worth $63B in England and Wales alone are owned by companies registered in the Virgin Islands, some 11,700 companies.
Companies registered in the VI own a quarter of all the foreign owned properties in the UK, Hon Fraser added.
“Just to let you know the value of this Territory to the United Kingdom. So don’t get the impression that we are doing them any favours, when we tell them they are responsible for certain things, take care of it…They need us, it’s not the other way around.”
Interactive meeting
Meanwhile, the public meeting was attended by close to 50 persons, many of whom expressed their concerns about the borrowing of loans and the general state of the Territory some six months after the Category 5 hurricanes, Irma and Maria, in September 5, 2017.
Also at the meeting was Ninth District Representative Dr The Honourable Hubert R. O’Neal.
27 Responses to “‘What UK has done to us is a disgrace’- Hon Fraser”
Too true! You call it as it is!
All those houses are held by BVI companies to ensure that Inheritance Tax does not need to be paid in the UK. A loophole soon to be closed and then there will be no benefit to owning through a BVI company. The British government will be delighted for there not to be a need for BVI companies to hold properties.
You "mentioned HISTORY and FACTS".
Here's another one:
History is full of facts. An infinite number of them. You choose these ones as a way to see the present. This is your choice. But that's all. Your choice. Others know what you are saying to be true, but some will look at many other facts, and add those into the equation. By setting up your world view based only on those facts, you narrow the possible interpretations of the present. You want to lock us into a colonial-slavery paradigm because of the injustices of those eras. But is that the best way to make things better for the human beings living here in the BVI right now and tomorrow? Your understandable anger at the past is in danger of limiting our possibilities for the betterment of the people here and now.
I suggest you don't just read one kind of history book. read as many as you can and your views will be more informed and more practical. That's how we figure out today and tomorrow.
that is ok; now some of the same people who voted need assistance it’s a problem(go figure)
https://www.youtube.com/watch?v=Y7tvauOJMHo