(CARICOM Secretariat, Georgetown, Guyana) Progress reports on the harmonisation of a range of Instruments required to complement and give effect to the macro-economic policy framework for the Single Economy were considered by the Caribbean Community (CARICOM) Ministers attending the Tenth Meeting of CARICOM's Council for Finance and Planning (COFAP) in Georgetown on Saturday 21 May. The Single Economy is one arm of the CARICOM Single Market and Economy (CSME) with the other being the Single Market.
Addressing delegates at the start of the Meeting, CARICOM Secretary-General, His Excellency Edwin Carrington informed that the draft CARICOM Financial Services Agreement was among the instruments to be considered by the COFAP. He said in an effort to solicit the involvement of Member States through feedback, national consultations relevant to the proposed agreement were held in Belize, Guyana, Jamaica and Trinidad and Tobago.
Mr. Carrington stated too that the COFAP discussions would focus on the draft framework document relating to “Modalities for an Integrated CARICOM Stock Exchange System” considered crucial for the furtherance of capital market development and financial services policy harmonisation in the Region. In addition, Ministers responsible for Finance were set to mull over the draft CARICOM Agreement on Investment. This Instrument deals with intra-CARICOM capital flows and Mr. Carrington informed that national consultations were held in Belize, Guyana, Jamaica and Trinidad and Tobago to take on board the views of stakeholders.
Pointing to the intra-CARICOM capital flows, the Secretary-General noted that a substantial increase has already been recorded, with investment by Trinidad and Tobago in other parts of the Region accounting for TT$250 million in 2004. “This is in anticipation of the liberalisation of the Regional cross-border investment regime, ” he said.
The draft CARICOM Investment Code, which represents a harmonised regime for the treatment of investment from extra-Regional sources, was also set aside by the COFAP for discussion. To this end, Mr. Carrington related that the regime, when adopted by Member States would pave the way for foreign investors to operate under “one common regional investment system,” rather than rules pertaining to fourteen (14) different investment jurisdictions.
At their 25th Meeting, CARICOM Heads of Government earmarked mid-2006 for the finalisation of the schedule of completion for the various instruments.
Under the Revised Treaty Establishing the Caribbean Community, including the CARICOM Single Market and Economy, COFAP is tasked with primary responsibility for economic policy coordination and financial and monetary integration of Member States, which are considered critical to the establishment of the Single Economy.
