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Infrastructure, inflation & the cost of living

August 27th, 2022 | Tags: Virgin Islands economics inflation cost of living
Dickson C. Igew. Photo: VINO/File
Dickson C. Igwe

Poor social and physical infrastructure is costly to residents and causes inflation to inflict greater woe on a society.

Inadequate water supply, unhygienic garbage dumps, and garbage strewn neighborhoods, dirty streets with a lack of good drainage, poor sewage disposal, poor sanitation, dangerous and uneven pavements, poor and deadly road networks, lack of policing, limited sports facilities, untended public parks, schools poorly maintained, and the list goes on. The preceding defines underdevelopment in its starkest form.

Countries poorly governed fail to meet the most basic benchmark of good governance: providing residents with a safe and wholesome existence.

In late 2022, after over 30 years of self-rule, there is no reason for Road Town to become a stench-ridden swamp, after an hour of rainfall, with residents tip-toeing over pools of water and crates strewn on the ground to walk on.   There is no excuse for anarchy on the roads, with music booming from cars with oversized speakers, scooter riders ripping through motorists dangerously without helmets and silencers, deafening trucks, and cars using the public roads as a racetrack.

The measure of what is developed is as simple as visiting a country that has invested in its physical and social infrastructure. The contrast is as clear as day and night between a country that takes its infrastructure development seriously and one that takes this most basic requirement of good governance for granted.

Countries with great infrastructure allow a traveler to amble pleasantly about its towns without the unpleasant smells, dodgy walkways, and dangerous traffic.

Tourists can visit local museums and galleries, and enjoy the culture and history. Travelers can explore the country on cheap and efficient public transportation. Visitors experience first-class customer service in great hotels and stores. The reality is that good public infrastructure does not simply improve the standard and quality of life it, it lowers the cost of living, and drives a higher standard of living.

Countries with good public infrastructure are less expensive and more cost-effective for their both their residents and visitors.

Moreover, great infrastructure offers benefits not easily costed; increased safety of residents; a clean and wholesome environment; better access to efficient public services; ease of doing business; a greater experience for tourists and travelers, and the list goes on.

Ultimately, a country that invests innovatively in its social and economic infrastructure brings down the costs of doing business and further reduces the cost of living for residents: an important factor in today’s inflationary environment.

The next time you amble about Road Town and get hit by the smell of deteriorating garbage, your shoes get dirty because the roads are unwashed, you trip over a gap on the pavement, and are accosted by booming loudspeakers, understand you are experiencing existence as a dweller of undeveloped land.

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5 Responses to “Infrastructure, inflation & the cost of living ”

  • Just saying (27/08/2022, 12:14) Like (3) Dislike (0) Reply
    We need a government that cares
  • sn (27/08/2022, 14:49) Like (3) Dislike (0) Reply
    this is the most sensible thing I’ve seen published on this site for a long time. with all the money generated over the last 30 years the infrastructure should be the envy of the Caribbean.
  • Yep (27/08/2022, 16:52) Like (4) Dislike (0) Reply
    @ SN ) YOU GOT IT RIGHT , AND WE ALL KNOW WHERE THE DOLLARS ???? WENT , AND THOSE WHO ARE SUPPOSED TO BE LOOKING OUT FOR THEIR PEOPLE , ARE DOING JUST THAT ( LOOKING OUT ) BUT FOR THEMSELVES . AND THESE BUNCH OF PRETENDERS JUST USING EXCUSES LIKE > RACISM , COLONIALISM REPARATION A DISTRACTION TO DECIEVE THEIR OWN PEOPLE , THE SAME PEOPLE THAT THEY SWORE TO SERVE AND THEIR OWN COUNTRY THAT SHOULD OF BEEN FURTHER AHEAD ????
  • E. Leonard (30/08/2022, 14:35) Like (3) Dislike (0) Reply
    Realistically, the Virgin Islands [British] should be farther down the growth and development road than it is. Its infrastructure should at least be teetering near First World status than it current state. It had the means and opportunity to be in better shape but that window is closing and closing fast. A major factor for the lack of progress is the lack of a national development plan and effective execution of such a plan. Peeking back several decades under UK grant-in-aid program, the VI delivery of services was approaching a vanishing point. Former legislators planned and worked diligently to climb out of the hold the VI was in, shedding grant-in-aid in the late 70s under the Wheatley administration. The poor state of the infrastructure cheats and cost VI residents. It cheats residents out of a better quality of life and standard of living; it digs into their wallets through increased/increasing cost of living, ie, cost of vehicle maintenance and repair due to poor road network, etc. Poor infrastructure also adversely impacts economic development.
  • BVI tourist (31/08/2022, 12:29) Like (0) Dislike (0) Reply
    Mr. Igwe, if you want money for infrastructure, you need income. Your government has cut off a big source of income - day tourists from USVI. The costs and regulations put on the charter boat industry have made these trips come to a halt. Your govt used to charge $75pp for tourists just to enter. How much money has the BVI's lost between customs fees and money no longer spent at your local businesses? They can't use Covid as an excuse anymore. Look at how the USVI has rebounded from the pandemic compared to the BVI. Who is doing better financially and why? It's the difference in policies.


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