Ambassador Irwin LaRocque, Assistant Secretary General, Trade and Economic Integration and other Representatives of the CARICOM Secretariat, Permanent Secretary Ambassador Colin Murdoch, members of the media,
Last July, when CARICOM Heads of Government met here in Antigua and Barbuda, they endorsed my proposal to convene a Regional Symposium on Services to develop a Regional Policy and Strategy for the further development of the Services Sector.
Earlier today, I received a brief from the Assistant Secretary-General on the status of preparations for the Symposium which will be held in Antigua and Barbuda in July of this year.
As Lead Head of Government with responsibility for Services within the Quasi Cabinet of the Conference of Heads of Government, I am satisfied with the level of preparation that has been made so far.
The data and even mere observation indicate that the regional economy is services driven. With an annual GDP averaging around US$30 billion between 2005 and 2007, it is estimated that the services sector contributed US$20 Billion or 64.8 per cent with an even higher average percentage for the OECS. The contribution is just about the same level in terms of employment.
I am heartened by the data on Antigua and Barbuda for the same period, especially 2007. Antigua and Barbuda was the largest economy in the OECS, generating almost US$ 900.0 million in output during 2007. The Services sector contributed US$738.0 million or 83.5 per cent of total GDP in 2007.
The economic significance of the Services Sector to the regional economy has long been recognized and this is reflected in the Revised Treaty of Chaguaramas which makes provisions for both the trade in services and the development of the Services Sector. This is a major element of the CARICOM Single Market and Economy, the Community’s flagship programme.
By virtue of the rights enshrined in the Treaty, our private sector is now able to export services anywhere in the Single Market. They can establish a business in another Member State or they can move temporarily to provide a service.
The next important step is for the Services Private Sector to organise itself to better realise the opportunities provided by the Single Market.
The CARICOM Secretariat has been encouraging and working with the Private Sector to form National Services Coalitions that will provide support to their Members to better position them to increase their competitiveness and enhance exports.
To date, eight National Coalitions have been established (Barbados, Belize, Dominica, Guyana, St. Kitts and Nevis, Saint Lucia, St. Vincent and the Grenadines and Trinidad and Tobago.)
We, in Antigua and Barbuda, are working with the Private Sector to launch our Coalition shortly. Work is also underway to establish a Regional Coalition of Services to coordinate the efforts of the National Coalitions.
Given the importance of Services to the regional economy, we must plan for and provide the necessary support for its further growth and development. The Regional Symposium on Services, scheduled for July here in Antigua and Barbuda, provides the opportunity for us to map the Community’s future in Services in a more structured way.
Let me now give some details on the planned Symposium.
The Symposium has three objectives:-
1. To sensitise the key stakeholders in the sector on how to capitalise on the Region’s comparative advantage in the area of Services for export and for the increased development of the Community;
2. To develop a Draft Plan of Action for the period 2009-2014; and
3. To agree on the elements of the Services component of the Regional Strategic Plan for Development within the context of the CSME.
About one hundred delegates are expected to participate, and will comprise Chief Executive Officers and owners of large, medium, and small firms operating in the sector, industry specialists, consumer and labour representatives, members of the academic community from the Region, representatives of international organisations, international services experts, and Senior Government Officials.
Twenty-four concept papers have been commissioned to be completed by 15 June 2009. The papers will outline the current status of the various sectors, the needs of the sectors, the constraints and recommendations on a strategy for the development of the sector both within the context of the Single Economic Space and negotiated trade agreements.
Some of the sectors these papers will address are Tourism, Financial Services, Transport Services, Cultural and Entertainment Services, Health and Education Services, Sporting Services, and Computer and Related Services, to name a few.
Members of the donor community are fully supporting this Symposium. I would like to thank the United Kingdom Department for International Development (DFID), the Spanish Agency for International Cooperation for Development (AECID), the United Nations Development Programme (UNDP) and the United Nations Conference on Trade and Development (UNCTAD) for their interest and support.
We anticipate further donor support for the preparation and implementation of the Service Sector Strategic Plan. In this regard, discussions with donors have already begun and I anticipate the support of Member States, which will be critical for this exercise.
I have already requested the CARICOM Secretariat to put the arrangements in place to ensure that the necessary follow-up from the Symposium will be done. I am also reminding the Secretariat how critical it is to ensure the involvement of the Private Sector in the preparation of the Regional Strategic Plan for Services and Draft Plan of Action.
Without a doubt, the urgent formation of the Regional Coalition, which would be a vehicle for involving the Private Sector in the Plan’s formulation, is necessary. The Strategic Plan will be submitted to a Special Meeting of the Council for Trade and Economic Development (COTED) for consideration, adoption and implementation. The COTED has already agreed to focus particularly on Services.
Thank you very much.
I now invite members of the media to pose any questions you may have.
